Texas LLC Statistics

Texas LLC Formation Statistics


Many people dream of starting a business, and a crucial step in this process is choosing the right structure. LLCs have emerged as a top choice for entrepreneurs, but how popular are they really? This article will reveal the latest LLC formation statistics, uncovering surprising trends and insights.
LLC Corp Nonprofit LP PC PA Total
2015 136,007 23,038 10,901 5,791 756 603 177,096
2016 151,036 22,648 11,829 5,207 686 536 191,942
2017 167,954 22,321 12,421 4,603 729 434 208,462
2018 193,290 24,516 12,878 4,705 703 412 236,504
2019 204,555 22,170 13,084 4,616 580 308 245,313
2020 257,292 22,255 13,799 4,134 518 268 298,266
2021 350,146 25,102 14,259 5,722 565 254 396,048
2022 351,055 23,083 14,445 4,636 662 227 394,108
2023 365,507 22,166 15,972 3,978 653 215 408,491

*The data above was shared with us by the Texas Secretary of State in response to an open records request.


  • The total number of new LLCs filed in Texas has increased each year since 2015
  • The share of new entities being registered as LLCs has grown each year since 2015
  • The number of new LLCs has almost tripled since 2015
  • 2021 witnessed a 136% surge in new LLCs, the highest annual increase over prior year
  • In 2015, LLCs represented about three-quarters of all new Texas entities (77%)
  • In 2023, nine out of ten new entities were LLCs
  • The total number of new entities across all types has increased each year
  • The total number of new entities spiked in 2020 and 2021

2023 LLC Formation Statistics

In 2023, there were 408,491 new business entities formed in Texas. 365,507 (89.48%) of these new entities were LLCs.

2022 LLC Formation Statistics

In 2022, there were 394,108 new business entities formed in Texas. 351,055 (89.08%) of these new entities were LLCs.

2021 LLC Formation Statistics

In 2021, there were 396,048 new business entities formed in Texas. 350,146 (88.41%) of these new entities were LLCs.

2020 LLC Formation Statistics

In 2020, there were 298,266 new business entities formed in Texas. 257,292 (86.26%) of these new entities were LLCs.

Frequently Asked Questions

How many LLCs are formed in Texas for each corporation?

In 2023, there were 16.5 Texas LLCs formed for each new Texas corporation.

How many LLCs are active in Texas?

As of June 1, 2023, there were 1,715,476 active Texas LLCs (out of 2,399,662 total active Texas entities). In other words, 71.5% of all active Texas entities are LLCs, making the LLC the most popular entity type in Texas.

LLCs are the most popular entity type because they:

  • are easy to create and use
  • are flexible (many governance & taxation options)
  • protect the LLC's owners from personal liability
  • insulate the LLC's assets from the LLC's owners' creditors
  • profits and losses can be passed through without facing corporate taxes

References

The Texas Secretary of State supplied the data contained in this article in response to open records requests from attorney Zachary Copp.

Zachary Copp, Esq.

Attorney at Copp Law Firm, PC

Mr. Copp is a graduate of the University of Texas at Austin and the founder of the Copp Law Firm. He has been licensed in Texas for 20 years and has personally formed over 3,500 Texas LLCs since 2015. He was recognized as a Rising Star by SuperLawyers® for seven straight years. See full bio →