Starting a business is exciting, but let’s be real—it can also feel overwhelming. One of the biggest hurdles? Figuring out how to do things the right way legally, especially when money is tight.

I recently got a question from a stay-at-home mom in Texas who wants to start a personal styling business. She feels called to step into this business, but there’s one problem—she doesn’t have the money to register an LLC yet.

If that sounds familiar, you’re in the right place! Let’s break down some realistic ways you can start your business legally without an LLC right away.

First Things First: A Quick Disclaimer

Before we dive in, let me just say—I’m not a lawyer. This is not legal advice. Please, please, please seek legal counsel for your specific situation. What I’m sharing here is based on my own experience and research, so use it as a guide but always double-check with a professional!

The Reality of LLC Costs

Registering an LLC in Texas costs about $325 if you do it yourself. If you hire a lawyer to do it for you, expect to pay anywhere from $500 to $650. That extra cost usually includes services like creating an operating agreement (which outlines how your business is run) and filing for an EIN (a tax ID number from the IRS).

For a lot of new business owners, those numbers can feel like a roadblock. But don’t worry—you have options!

Option 1: Ask Family or Friends for a Loan

I know, I know—asking for money isn’t always fun. But hear me out.

If you have family or friends who believe in what you’re doing, they may be willing to help. You could ask for a small loan to cover the LLC fees and negotiate a repayment plan that works for you.

The reason I suggest this before turning to credit cards or business loans is simple: you’re not yet making money from your business. Taking on debt right away can add unnecessary stress, so borrowing from loved ones (with clear repayment terms) might be a smarter choice.

Option 2: Start With a DBA (Doing Business As)

A DBA (also known as a fictitious name or assumed name) allows you to operate under a business name without forming an LLC. This is a super affordable way to start legally while keeping your costs low.

Here’s the catch:

• A DBA doesn’t provide liability protection. If something goes wrong, you (personally) are responsible, not just your business.
  
• But if your business is low-risk (like personal styling or coaching), this could be a great temporary solution.
  

In Texas, registering a DBA with your county costs between $15 and $35—way more budget-friendly than an LLC!

Once you start making money, you can upgrade to an LLC when you’re ready.

Option 3: Register a DBA Under an Existing LLC

Now, this one is a little different—but it worked for me when I started!

If your spouse or someone close to you already has an LLC that’s in a related industry, you might be able to register your new business as a DBA under their existing LLC.

Why does this help?

• You get to operate under an LLC without paying for a brand-new one right away.
  
• It offers more legal protection than a solo DBA.
  

Later, once your business is making steady income, you can transfer the DBA to your own LLC (with the help of a lawyer).

That’s exactly how I got started—my husband already had an LLC, so I registered my business as a DBA under it. Once I had the money to form my own LLC, I made the switch.

Quick Recap: Your Action Plan

So, what should you do if you can’t afford an LLC right now? Here’s a game plan:

1. Ask Family or Friends for a Small Loan – Keep it simple and work out a flexible repayment plan.
   
2. Register a DBA With Your County – It’s cheap, easy, and gets you started legally.
   
3. Use an Existing LLC – If your spouse or someone close to you has one, you might be able to register your business under it temporarily.
   

Remember: None of these options are permanent. They’re stepping stones to get your business up and running so you can start making money. Once you’re in a better financial position, go ahead and register your LLC.

You’ve Got This!

Starting a business with limited funds is totally possible—you just have to be smart about your first steps. No matter which path you choose, the key is to start where you are and take action.

I hope this helps you feel more confident about launching your business legally without an LLC right away! If you have any questions, feel free to reach out—I’d love to help.

And hey—if this blog post was helpful, share it with a friend who’s in the same boat. Let’s help more people take that first step toward building their dream business!

Until next time, keep going. You already have everything you need to start that business!