Per the law, all businesses (except sole proprietorships and general partnerships) operating in Texas must have a registered agent on file. This agent serves as the link between the business and third parties, including the government, facilitating effective communication to keep your business in the loop. Due to the importance of this role, it’s always best to ensure you have the right person or business providing this service. Where you do not feel you are getting the right representation, it is always best to change registered agent in Texas. We show you how you can do this to boost your business representation.
Why You Might Need to Change Your Registered Agent in Texas?
A registered agent represents your business by receiving official and legal correspondence on its behalf and forwarding the documentation to you. As such, the more effective they are, the more compliant your business can be, thus boosting your good standing with the state. Below are good reasons to change registered agent in Texas:
- Unreliability. An agent’s job is to receive documents relating to your business compliance and notify you of impending cases and deadlines. As such, it’s important for them to be prompt with their communication. If they are not doing this, it is a good idea to change the registered agent in Texas.
- Unavailability. Your agent must be available during regular business hours to receive important correspondence. Suppose they are no longer available to receive paperwork on behalf of your business, e.g., they are not in the state. It is best to get someone who can fully represent your business.
- Incomprehensiveness. Businesses have varying needs at different stages of their lives. For example, you may only have needed someone to receive business documents, but now you need mail forwarding. You would need to find an agent who can provide this additional service.
- Relocation. Some agents only provide their services in Texas, while others provide coverage in other regions. As such, if you want to move your business to another state, you may need to find an agent who can represent you in Texas and beyond.
Can you relate to any of these reasons? If yes, now might be the best time to change registered agent in Texas and avoid falling out of good standing with the state.
How to Change Your Registered Agent in Texas?
The state understands that entrepreneurs may want to change their business representation at some point during their business lifetime. They have thus set out the right steps to follow to implement this change, as follows:
- Find an agent who is a good fit for your business. If you are changing your representation, it’s important to note what the previous agent lacked and to find an agent who does not have similar shortcomings. Additionally, you should ensure that the agent meets the requirements below:
● They must be at least 18 years old or be a registered business in the state.
● They must have a physical address in the state.
● They must be available during regular business hours. - Get consent from the new agent. Given the role of a registered agent, the new appointee must be aware of their responsibilities and must consent to representing your business. This consent can be written or electronic, establishing a contract between your business and them.
- Complete and submit the Change of Registered Agent Form in Texas. You must update your business information with the Texas Secretary of State (SOS). Here is how you can go about this:
● Online: Log into your SOS account, find the form, fill it out, and submit it via the site.
● Mail: Print out the form, fill it out, and mail it to the SOS office.
● In-person: Print out the form, complete the required details, and submit it to the SOS office in person. - Pay the filing charges. The state will charge you a fee to accept the application – the amount depends on the structure of your business. You will pay for this when you submit your application.
- Inform your current agent. It’s important to ensure the transition to your new agent is smooth for all involved. You can do this by alerting your current agent of the impending change so they can forward all the pending documents.
The state will process your request and notify you once the change is visible in your records, allowing your new agent to receive your business communication.
How Do I Change My Registered Agent in Texas for an LLC?
Business entities have different procedures when it comes to making changes in their businesses. Below is the right procedure to change the registered agent address in Texas for an LLC:
- Review your operating agreement. If you have an agreement on how you should change your business information, it’s important to ensure you follow this process. You should also inform stakeholders about this business move.
- Find a new agent. Ensure you comply with the registered agent requirements in the state, which are as follows:
● They must be at least 18 years old or a registered business operating in the state.
● They must have a physical address in the state.
● They must be available during the standard business hours.
Most of all, they should meet your preferences for an agent so they are a good fit for your business. - Get the agent’s consent. The relationship between your business and your agent is contractual. Moreover, you will list their address in public records. It is important to get their consent, whether in electronic or written form, to establish this agreement.
- Complete and submit form 401. LLC owners must fill out the Statement of Change of Registered form, as this allows them to inform the state of the change in business address. Below are ways you can do this:
● Online. You can find the form on the SOS website. Log into your account, fill out the necessary details, and submit it via the site.
● Mail. You can print the form from the SOS site, fill it out, and mail it to the SOS office.
● In-Person: You can print out the form, fill it out by hand, and submit it to the SOS office in person. - Complete the payment. Changing your registered agent details comes with a fee. Pay this as you submit the form to allow the state to process your request.
- Notify your current agent. As you change registered agent address in Texas, informing your current agent helps you pave the way for a smooth transition.
If the information is correct and your registered agent qualifies to take up the role, the state will process your request and inform you once the new details are on file.
FAQs
Is there a fee for Changing the Registered Agent in Texas?
As you change your registered agent, you will incur a fee. The charge depends on your business structure, as the state charges fees on a sliding scale.
How Long Does It Take to Change the Registered Agent in Texas?
Processing timelines to change registered agent in Texas depend on the application method you choose. Below are your options:
- Online. You can change registered agent in Texas online within a week. In most cases, processing takes three to five business days.
- Mail. You can wait up to two weeks to get a response from the state – this time often does not include the mailing times.
- In-person. This process is often fast, with most businesses getting responses in just a few days.
The time taken also depends on the number of applications the state is handling. If there is backlog, you may have to wait more than the average periods.
Can I Change My Registered Agent in Texas at Any Time?
Often, businesses need to change their registered agents within a short period due to legal and business concerns. But is there a limit on when you can effect this process? Not at all. The state does not restrict filing periods. You can file a change of registered agent at any time of the year.
What Happens If I Don’t Have a Registered Agent in Texas?
The laws in Texas stipulate that all businesses in the state must have a registered agent on file while exempting general partnerships and sole proprietorships. But what happens to businesses that do not comply?
- Increased risk of penalties and fines. The state sends out reminders about upcoming deadlines through your agent. Moreover, service of process comes through your agent. If you do not get these alerts, you can fail to act on time, exposing you to penalties and fines.
- Loss of good standing. If you often miss out on deadlines, the state will penalize you, which will affect your standing. This effect ripples through your ability to attract investors which can hurt your business growth.
- Business dissolution. You stand to lose your business license if you do not have an agent on file or lose good standing with the state.
It is thus better to change registered agent in Texas to ensure you have good representation for your business.
Can I Be My Own Registered Agent in Texas?
If you are at least 18 years old, have a physical address in Texas, and are available during public hours, you can represent your business. However, it is best to hire a professional agent to boost your business privacy and free up your time so you can focus on building your business.
Reliability and efficiency are key to registered agent services. And with Passportology, which offers its services across different states, you can change registered agent in Texas while enjoying coverage for all your government services.