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Fill Your Texas 503 Form

The Texas 503 form, also known as the Assumed Name Certificate, is a document that allows businesses to operate under a name different from their legal entity name. This filing is essential for any domestic or foreign corporation, limited liability company, or partnership that wishes to inform the public of its assumed name. Understanding the requirements and implications of this form is crucial for compliance and protection of your business interests.

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Dos and Don'ts

When filling out the Texas 503 form, it is essential to follow certain guidelines to ensure your application is processed smoothly. Here are eight things to keep in mind:

  • Do clearly state the assumed name under which your business will operate in Item 1. Ensure it is not the same as your legal entity name.
  • Don't forget to include the legal name of your entity in Item 2. This name should match the one in your formation documents.
  • Do identify the type of entity you are filing under in Items 3 and 4. If your entity type is not listed, select “other” and specify.
  • Don't leave out your entity's jurisdiction of formation in Item 5. This information is crucial for proper processing.
  • Do provide your principal office address in Item 6. This should be a physical or mailing address where you can be reached.
  • Don't overlook the duration of the assumed name certificate in Item 7. Specify whether it is for ten years or a shorter period.
  • Do indicate the counties where the assumed name will be used in Item 8. Be precise about your business locations.
  • Don't forget to sign the form. Ensure that the person signing is authorized to do so on behalf of the entity.

By adhering to these guidelines, you can avoid common pitfalls and ensure that your assumed name certificate is filed correctly.

Sample - Texas 503 Form

Form 503—General Information

(Assumed Name Certificate)

The attached form is drafted to meet minimal statutory filing requirements pursuant to the relevant code provisions. This form and the information provided are not substitutes for the advice and services of an attorney and tax specialist.

Commentary

A domestic or foreign corporation, limited liability company, limited partnership, limited liability partnership, or other foreign filing entity that regularly conducts business or renders a professional service in this state under a name other than its legal name (the name stated in its certificate of formation or comparable document) must file an assumed name certificate with the secretary of state. (Texas Business & Commerce Code [TBCC] § 71.103).

Effect of Filing: The effect of filing is to give notice to the public that the entity is conducting business under that name. The filing of an assumed name shall not constitute actual use of the assumed name for determining priority of name; nor does the filing of assumed name give the registrant any right to use the name when contrary to the common law or statutory right of unfair competition, unfair trade practices, common law copyright or similar law (TBCC § 71.157). Since the filing is a notice filing, the secretary of state does not have the authority to review the name of the certificate to determine if the filing conflicts with another name on file with this office.

Changes to Information: There is no procedure for an amendment to or correction of an assumed name certificate. If there is a material change in the information on the certificate, a new certificate should be filed (TBCC § 71.152). The new certificate should be filed within 60 days after the occurrence of the events which necessitate the filing. An event that causes the information contained in a certificate to become materially misleading includes a change in the name or form of business of the assumed name registrant.

Duration: The assumed name certificate shall be effective for a term not to exceed ten years from the date the certificate is filed and may be renewed by filing a new certificate within six months of the expiration of the original certificate (TBCC § 71.151). A registrant may abandon the assumed name certificate before the expiration of the period of duration by filing an abandonment of the certificate (Form 504).

Noncompliance: The TBCC in sections 71.201 through 71.203 provides both civil and criminal penalties for failure to file the assumed name certificate.

Legislative Change: HB 3609, effective September 1, 2019, was enacted by the 86th Legislature and amended chapter 71 of the Business & Commerce Code to eliminate the county-level filing requirement for a corporation, limited liability company, limited partnership, limited liability partnership, or other foreign filing entity that conducts business under an assumed name.

Instructions for Form

Item 1—Assumed Name: The assumed name certificate must state the assumed name under which the business or professional service is or is to be conducted. An entity may conduct business or professional services under multiple assumed names, but a separate assumed name certificate must be filed for each assumed name. Please note that if the name entered as the assumed name in item 1

Form 503

Instruction Page 1 – Do not submit with filing.

is exactly the same as the legal name of the entity on file with the secretary of state, the certificate will be rejected for failing to provide an assumed name.

Item 2—Entity Name: The assumed name certificate must contain the legal name of the entity as contained in its certificate of formation or comparable document filed with the secretary of state. An incorporated entity, such as a bank or trust company, whose organizational documents are not filed with the secretary of state, would set forth the legal name of the entity as contained in its organizational documents.

Items 3 and 4—Type of Entity and File Number: Identify the type of entity that is filing the assumed name. If there is not a check box that applies to the entity, check “other” and then specify the type of entity in the space provided. It is recommended that the file number, if any, assigned by the secretary of state be provided to facilitate processing of the document.

Item 5—Jurisdiction: The certificate must state the jurisdiction of formation of the entity filing the assumed name certificate.

Item 6—Principal Office Address: Provide the street or mailing address of entity’s principal office.

Item 7—Period of Duration: An assumed name certificate is effective for a term not to exceed a period of ten years from the date of filing the certificate. Check the applicable box to specify the duration which the entity determines should be the duration of the filing of the assumed name certificate. The entity may opt to make the duration the maximum period of ten years, a period of less than ten years or until a date certain which date is not more than ten years from the date of filing.

Item 8—County or Counties in which the Assumed Name Used: The assumed name certificate is required to state the counties in which the assumed name will be used. If the entity will potentially use the assumed name in all counties in Texas, check the box for “All.” If the entity wishes to exclude certain counties but will use the assumed names in most counties, check the box for “All counties with the exception of the following counties” and list the excluded counties. If the entity will only conduct business in specific counties, check the box for “Only the following counties” and list those specific counties.

Execution: A certificate filed with the secretary of state shall be executed by an officer, general partner, member, manager, representative of or attorney in fact for the corporation, limited partnership, limited liability partnership, limited liability company, or foreign filing entity. A certificate executed by an attorney in fact shall include a statement that the attorney in fact has been duly authorized in writing by the principal to execute the certificate. Please review the form carefully. Pursuant to section 71.203, a person commits an offense under section 37.10, Penal Code, if the person intentionally or knowingly signs or directs the filing of an assumed name certificate that the person knows contains a materially false statement.

Payment and Delivery Instructions: The filing fee for an assumed name certificate filed with the secretary of state is $25. Fees may be paid by personal checks, money orders, LegalEase debit cards, or American Express, Discover, MasterCard, and Visa credit cards. Checks or money orders must be payable through a U.S. bank or financial institution and made payable to the secretary of state. Fees paid by credit card are subject to a statutorily authorized convenience fee of 2.7 percent of the total fees.

Form 503

Instruction Page 2 – Do not submit with filing.

Submit the completed form in duplicate along with the filing fee. The form may be mailed to P.O. Box 13697, Austin, Texas 78711-3697; faxed to (512) 463-5709; or delivered to the James Earl Rudder Office Building, 1019 Brazos, Austin, Texas 78701. If a document is transmitted by fax, credit card information must accompany the transmission (Form 807). On filing the document, the secretary of state will return the appropriate evidence of filing to the submitter together with a file- stamped copy of the document, if a duplicate copy was provided as instructed.

Revised 08/19

Form 503

Instruction Page 3 – Do not submit with filing.

Form 503 (Revised 08/19)

Return in duplicate to: Secretary of State P.O. Box 13697 Austin, TX 78711-3697

512463-5555 FAX: 512 463-5709

Filing Fee: $25

This space reserved for office use.

Assumed Name Certificate

Assumed Name

1.The assumed name under which the business or professional service is, or is to be, conducted or rendered is:

Entity Information

2. The legal name of the entity filing the assumed name is:

State the name of the entity as currently shown in the records of the secretary of state or on its organizational documents, if not filed with the secretary of state.

3. The entity filing the assumed name is a: (Select the appropriate entity type below.)

For-profit Corporation

Limited Liability Company

Nonprofit Corporation

Limited Partnership

Professional Corporation

Limited Liability Partnership

Professional Association

Cooperative Association

Other

Specify type of entity. For example, foreign real estate investment trust, state bank, insurance company, etc.

4.The file number, if any, issued to the entity by the secretary of state is:

5.The state, country, or other jurisdiction of formation of the entity is:

6.The entity’s principal office address is:

Street or Mailing Address

CityState CountryPostal or Zip Code

Period of Duration

7a. The period during which the assumed name will be used is 10 years from the date of filing with the secretary of state.

OR

7b. The period during which the assumed name will be used is

 

years from the date of filing

with the secretary of state (not to exceed 10 years).

 

 

 

OR

 

 

 

7c. The assumed name will be used until

 

 

(not to exceed 10 years).

 

mm/dd/yyyy

 

 

 

Form 503

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County or Counties in which Assumed Name Used

8.The county or counties where business or professional services are being or are to be conducted or rendered under the assumed name are:

All counties

All counties with the exception of the following counties:

Only the following counties:

Execution

The undersigned signs this document subject to the penalties imposed by law for the submission of a materially false or fraudulent instrument and also certifies that the person is authorized to sign on behalf of the identified entity. If the undersigned is acting in the capacity of an attorney in fact for the entity, the undersigned certifies that the entity has duly authorized the undersigned in writing to execute this document.

Date:

Signature of a person authorized by law to sign on behalf of the identified entity (see instructions)

Form 503

2

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Documents used along the form

The Texas 503 form, known as the Assumed Name Certificate, is a critical document for businesses operating under a name different from their legal name. However, it is often accompanied by several other forms and documents that facilitate compliance with state regulations and ensure proper business operations. Below is a list of these related documents, each serving a unique purpose.

  • Form 504—Abandonment of Assumed Name Certificate: This form is used when a business wishes to abandon its assumed name before the expiration of the certificate. Filing this form officially notifies the state and the public of the abandonment.
  • Form 807—Credit Card Payment Authorization: When filing the Assumed Name Certificate via fax, this form is necessary to authorize payment by credit card. It ensures that the filing fee is processed correctly.
  • Certificate of Formation: This document outlines the legal structure of the business entity, including its name, purpose, and registered agent. It is foundational for any business entity in Texas and must be filed with the Secretary of State.
  • Form 501—Certificate of Formation for a Corporation: This specific form is used by corporations to establish their legal existence in Texas. It includes vital information such as the corporation's name, address, and type of business.
  • Form 302—Application for Certificate of Authority: If a foreign entity wishes to conduct business in Texas, this form must be filed. It grants the entity the legal authority to operate within the state.
  • Form 401—Annual Franchise Tax Report: All Texas entities must file this report annually to maintain good standing. It provides the state with financial information about the business.
  • Form 803—Statement of Change of Registered Agent: If a business changes its registered agent or office address, this form must be submitted to update the state records accordingly.

These documents play essential roles in the business lifecycle in Texas. Properly managing them ensures compliance with state laws and helps maintain the integrity of business operations. It is advisable for business owners to familiarize themselves with these forms to navigate the regulatory landscape effectively.

Common mistakes

Filling out the Texas 503 form can seem straightforward, but many people make common mistakes that can lead to delays or rejections. Understanding these pitfalls can save time and ensure compliance with state regulations.

One frequent error is failing to provide a valid assumed name in Item 1. The name must differ from the legal name of the entity. If the assumed name is identical to the legal name, the form will be rejected. It's essential to choose a name that clearly distinguishes the business from its legal entity.

Another mistake involves the entity name in Item 2. The legal name must match exactly with the name on the certificate of formation or other relevant documents. If there are discrepancies, the filing may be deemed invalid. Always double-check the spelling and format before submitting.

Many people also overlook the requirement to specify the type of entity and file number in Items 3 and 4. If the correct type is not selected, or if "other" is chosen without further specification, this can lead to confusion and potential rejection. Providing the file number, if available, can expedite processing.

In Item 5, the jurisdiction of formation must be clearly stated. Failing to do so can result in an incomplete application. Ensure that this information is accurate to avoid any complications.

Providing an incorrect or incomplete principal office address in Item 6 is another common mistake. This address must be the official location where the entity conducts business. A missing or incorrect address can hinder communication from the Secretary of State’s office.

Another oversight occurs in Item 7, where the period of duration is specified. Some filers forget to check the applicable box or mistakenly choose a duration that exceeds the maximum of ten years. This can lead to unnecessary delays, so it’s crucial to follow the instructions carefully.

Lastly, the execution section often sees errors. The certificate must be signed by an authorized individual. If someone signs without proper authorization, it could lead to legal issues. Always ensure that the signer has the authority to act on behalf of the entity.

By being aware of these common mistakes, individuals can navigate the Texas 503 form process more effectively. Taking the time to review each section carefully can prevent unnecessary complications and ensure compliance with state requirements.

Misconceptions

Understanding the Texas 503 form is essential for businesses operating under an assumed name. However, several misconceptions can lead to confusion. Here are seven common misunderstandings:

  • Filing the form guarantees name protection. Many believe that submitting the Texas 503 form gives exclusive rights to the assumed name. In reality, it only serves as a public notice and does not protect against conflicts with existing names.
  • Only new businesses need to file. Some think that only startups must file an assumed name certificate. However, any business entity, including established ones, must file if they operate under a name different from their legal name.
  • Changes can be made easily after filing. It is a common belief that amendments can be made to the assumed name certificate. In fact, if there are significant changes, a new certificate must be filed instead.
  • The form can be filed in any county. There is a misconception that businesses can file the Texas 503 form in any county. The filing must be done with the Secretary of State, and the counties where the name will be used must be specified on the form.
  • Filing is optional for all entities. Some assume that filing the assumed name certificate is optional. This is incorrect; entities conducting business under an assumed name are required to file to comply with Texas law.
  • Filing lasts indefinitely. Many believe that once the assumed name certificate is filed, it lasts forever. In fact, it is valid for a maximum of ten years and must be renewed or abandoned before expiration.
  • Legal advice is not necessary. Some think they can handle the filing without consulting a legal expert. While the form is straightforward, it is wise to seek legal advice to ensure compliance with all relevant laws and regulations.

Key takeaways

  • The Texas 503 form is used to file an assumed name certificate for businesses operating under a name other than their legal name.

  • Filing the form serves as a public notice that a business is using an assumed name. However, it does not guarantee the right to use that name if it conflicts with existing trademarks or copyrights.

  • Each assumed name requires a separate certificate. If the assumed name is identical to the legal name, the filing will be rejected.

  • The assumed name certificate is valid for up to ten years and can be renewed by filing a new certificate within six months of expiration.

  • Changes to the information on the certificate necessitate filing a new certificate; there is no amendment process for existing certificates.

  • Failure to file the assumed name certificate can result in civil and criminal penalties, highlighting the importance of compliance with the Texas Business & Commerce Code.

File Characteristics

Fact Name Details
Governing Law The Texas Business & Commerce Code (TBCC) § 71.103 governs the filing of the assumed name certificate.
Duration of Filing An assumed name certificate is effective for a maximum of ten years. It can be renewed by filing a new certificate within six months of expiration (TBCC § 71.151).
Filing Requirements Entities must file an assumed name certificate if they conduct business under a name different from their legal name. Each assumed name requires a separate filing.
Consequences of Noncompliance Failure to file an assumed name certificate can result in civil and criminal penalties as outlined in TBCC §§ 71.201-71.203.

How to Use Texas 503

Once you have gathered the necessary information, you can begin filling out the Texas 503 form. This form is essential for businesses that wish to operate under an assumed name in Texas. Follow these steps carefully to ensure that your submission is complete and accurate.

  1. Item 1—Assumed Name: Write the assumed name under which your business will operate. Ensure it differs from your legal name to avoid rejection.
  2. Item 2—Entity Name: Provide the legal name of your entity as it appears in your certificate of formation or similar document.
  3. Items 3 and 4—Type of Entity and File Number: Select your entity type from the options provided. If none fit, check “other” and specify. Include your file number if applicable.
  4. Item 5—Jurisdiction: State the jurisdiction where your entity was formed.
  5. Item 6—Principal Office Address: Enter the complete street or mailing address of your principal office.
  6. Item 7—Period of Duration: Indicate how long the assumed name will be used. You can choose a maximum of ten years, a shorter period, or a specific end date.
  7. Item 8—County or Counties: Specify the counties where the assumed name will be used. You can select “All,” list exceptions, or specify certain counties.
  8. Execution: Have an authorized person sign the document. If an attorney in fact is signing, include a statement of authorization.
  9. Payment and Delivery: Include the $25 filing fee. Submit the completed form in duplicate. You can mail, fax, or deliver it in person to the Secretary of State.