The 2025 Texas Legislative Session, which concluded on June 2, marked a significant win for small business owners across the state, with several key bills that promise to impact Texas’ dynamic business landscape. As the state continues to recover from the economic challenges of the pandemic, the state legislature has passed critical legislation that will provide long-term benefits for small businesses, workers, and entrepreneurs alike.
Key Legislative Wins for Texas Small Business Owners
Over the course of the legislative session, small business owners across Texas closely monitored more than 200 proposed bills related to business operations, taxation, and economic growth. Of these, several bills made it through the legislative process and were signed into law, offering much-needed support to small businesses.
SB 22: Boosting the Texas Film Industry
One of the most highly anticipated pieces of legislation is Senate Bill 22, which allocates $300 million over the next two years to film production projects within Texas. With Texas increasingly positioning itself as a major hub for film and television production, the passage of this bill is expected to create thousands of jobs, boost local economies, and attract new businesses to the state.
The film industry in Texas has been growing steadily over the past decade, with major film studios like Netflix, HBO, and Universal Pictures increasing their investments in the state. However, the competition for production dollars is fierce, with other states offering more substantial incentives. SB 22, therefore, comes as a much-needed victory for Texas, aiming to level the playing field and make the state a more attractive destination for filmmakers.
“The passage of SB 22 will provide a significant boost to our state’s economy,” said state Senator John Whitmire, who sponsored the bill. “This bill supports our small businesses in the film industry, ranging from set construction to catering services, and helps position Texas as a leader in the entertainment world.”
SB 3070: Strengthening the Texas Lottery
Another significant bill, Senate Bill 3070, focuses on the Texas Lottery Commission, which faced uncertainty in recent years over its future operations. Under the new legislation, the Texas Lottery will continue to operate under a new state agency, ensuring that the state’s lottery programs remain functional and sustainable for the long term.
The Texas Lottery is one of the state’s largest sources of revenue, funding educational programs and public health initiatives. SB 3070 ensures that lottery revenues will continue to flow into critical public services, helping support Texas’ education system and public health efforts without disrupting operations.
Advocating for Small Business Tax Relief
In addition to specific industry-focused bills, small business tax relief was also a major priority for lawmakers. Many small business owners in Texas have faced significant challenges due to the global pandemic and its lasting economic impact. With fewer customers and rising costs, small businesses have struggled to stay afloat, and many have turned to government programs for support.
During the 2025 legislative session, several key measures were enacted to provide direct relief for small businesses. One such measure included a tax cut on commercial property for small businesses, allowing owners to retain more of their revenue and invest it in growing their operations. Additionally, legislators voted to extend pandemic relief programs for struggling small business owners, ensuring that businesses have the financial support they need as they continue to recover.
“The tax cuts and relief programs introduced this year are vital for small businesses, especially those who have been hit the hardest by the economic fallout of the past few years,” said Texas Governor Greg Abbott, who signed the measures into law.
Supporting the Entrepreneurial Ecosystem
In addition to legislative wins for established small businesses, Texas lawmakers have also focused on supporting entrepreneurs and startups. Senate Bill 40 aims to make it easier for new businesses to get off the ground by providing grants for aspiring entrepreneurs and offering tax incentives for businesses that hire local talent.
The bill has been widely praised for addressing the unique challenges faced by entrepreneurs, particularly those from underrepresented groups. According to the Texas Economic Development Corporation, the bill is expected to create thousands of new jobs and provide critical support to startups that are shaping the state’s economy.
Conclusion: Looking Ahead
As Texas small business owners celebrate these victories, they are also looking ahead to future legislative sessions. While the 2025 session has delivered important wins, business leaders remain committed to advocating for further improvements to the state’s business environment.
Small business owners hope that continued collaboration with lawmakers will result in additional reforms, such as expanding healthcare access for workers, creating more opportunities for diverse entrepreneurs, and improving infrastructure to support business growth.
