Texas SMS Compliance: What SB 140 Means for Your SMS Marketing Strategy

So Texas decided to get serious about SMS marketing regulations. As of September 1, 2025, Senate Bill 140 (SB 140) officially treats text message marketing like traditional telemarketing calls.

But before you start stress-eating your way through the office snack drawer, take a deep breath. Yes, Texas Senate Bill 140 (SB 140) is a big deal. No, it’s not the end of your SMS marketing dreams. If you’re sending marketing texts to Texas residents, here’s what you need to know and what you need to do about it.

Effective September 1, 2025, Texas has expanded its definition of “telephone solicitation” to include SMS and MMS marketing messages. This means text-based marketing now falls under the same regulatory framework as telemarketing calls in the Texas Business & Commerce Code.

The law doesn’t just add SMS to existing rules. It creates new requirements specifically for text marketing that go beyond federal TCPA regulations.

Hang with us, we’ll talk about the changes and challenges, then we’ll show you what you need to do!

Registration Mandate: Businesses using SMS marketing to Texas residents must register with the Texas Secretary of State. This includes paying application fees per business location and posting a bond.

Enhanced Opt-Out Systems: You need reliable, prompt mechanisms for handling unsubscribe requests and respecting the state’s Text No-Call list. Your current “STOP” functionality might not be enough.

Comprehensive Record-Keeping: Document every aspect of your SMS campaigns–opt-ins, message content, timing, and opt-out requests. The state can request these records during compliance reviews.

Disclosure Requirements: Marketing texts must include specific disclosures about your business identity and contact information.

The penalties are significant enough to get your finance team’s attention. SB 140 imposes fines up to $5,000 per violation, and violations are automatically considered “unfair and deceptive practices” under Texas consumer protection law.

This classification opens businesses to private lawsuits with statutory damages between $500 and $1,500 per unlawful text, plus potential attorney fees and court costs.

For context: if you send 1,000 non-compliant texts to Texas residents, you could face penalties ranging from $500,000 to $5.5 million. That’s not a rounding error.

The law applies to businesses that qualify as “sellers” under the Texas Business & Commerce Code and use SMS for marketing purposes. This includes:

There are narrow exceptions for certain transaction-related communications, but most marketing texts will fall under these new rules. Not sure if this applies to you? We are not lawyers, and we do not provide legal advice, so connect with your legal team to make your own determination. 

Before you start updating your resume or considering a career in artisanal candle-making, remember this: compliance isn’t punishment. It’s protection. These rules exist to maintain the trust between businesses and consumers that makes SMS marketing so effective in the first place.

Like any new law, there is some ambiguity and confusion as to how it will be applied and interpreted. In a recent legal challenge, the Texas Attorney General provided the opinion that these updates should not apply to text messages sent with prior consent. The problem is that this opinion is not a binding ruling (yet), and it does not prevent private citizens from pursuing cases under this law, which may result in frivolous or nuisance claims as some have experienced in Florida. 

Audit your Texas SMS activities: Look at your customer database and identify how many Texas customers or Texas phone numbers you text for marketing purposes. Check your recent campaigns. Are you sending promotional offers, sales alerts, or appointment reminders with marketing content (1) to Texas residents, including individuals with a Texas area code or a Texas address, or (2) from within Texas?

Review how people sign up for your texts: Do customers clearly agree to receive marketing messages? Can you prove they opted in? Look for language like “By providing your phone number, you agree to receive marketing texts.”

For examples of compliant wording and full message flow, here’s our Call-To-Action guide: https://help.mobiniti.com/en/articles/7943164-call-to-action-message-flow

Determine if you need to register: If you’re sending marketing texts to Texas residents or from Texas and operate as a business (not just sending internal communications), you likely need to register with the Texas Secretary of State, but you should consult with your legal team (as we are not lawyers, and we do not provide legal advice). 

Complete your registration: Visit the Texas Secretary of State website and file the required paperwork. You’ll need to pay fees and post a bond: think of this as getting a business license specifically for SMS marketing. Bonds can be obtained same day, for as low as 1% of the bond amount (or $100) if you qualify. Here are a few providers SuretyBonds.com, Surety Bonds Direct, and Surety1

Fix your text templates: Add your business name and contact information to your marketing messages. Instead of just “Flash sale today only!”, your texts should include something like “ABC Store: Flash sale today only! Contact us at 555-123-4567. Reply STOP to opt out.”

Set up proper record-keeping: Start saving copies of every opt-in confirmation, every marketing text you send, and every unsubscribe request. Use spreadsheets, CRM systems, or dedicated compliance software–whatever works for your business size.

Of course, if you’re using a specialty platform like Mobiniti, you don’t have to stress about juggling spreadsheets! Tracking opt-ins, opt-outs, and even the source of each subscriber is built in! With Mobiniti, you’re covered on compliance without needing a filing cabinet full of screenshots.

Train your team: Make sure everyone who touches your SMS marketing understands the new rules. This includes customer service reps who might manually send texts and marketing team members creating campaigns.

Schedule regular check-ups: Set quarterly reminders to review your Texas SMS compliance. Are you still following the rules? Have any processes slipped?

Get legal guidance: Have an attorney review your SMS marketing practices annually, especially if your business is growing or changing how you use text marketing (again, we are not attorneys, and we do not provide legal advice).

Build compliance into everything: When you launch new SMS campaigns or update your processes, ask “Does this meet Texas requirements?” before you launch, not after.

Texas SB 140 represents a trend toward stricter state-level SMS regulation. Other states are watching Texas’s approach, which means similar laws could emerge elsewhere.

The businesses that get ahead of this trend–by building robust compliance systems now–will have a competitive advantage as the regulatory landscape continues to evolve.

Strong compliance doesn’t have to hurt your marketing effectiveness. In fact, it can improve it. Consumers trust businesses that follow the rules, and trust drives higher engagement rates and customer loyalty.

The key is building compliance into your marketing strategy from the ground up, not treating it as an afterthought. This means:

Texas SB 140 isn’t trying to kill SMS marketing–it’s trying to professionalize it. The September 1, 2025, effective date means compliance is now mandatory, not optional. The businesses that adapt quickly and thoroughly will maintain their competitive edge in SMS marketing.

The alternative–hoping enforcement will be lax or that you won’t get caught–is a risky bet with your business’s financial future.

At Mobiniti, we’re tracking these regulatory changes across all states to help you navigate these changes without losing your sanity or your marketing effectiveness. Because the goal isn’t just to follow the rules. It’s to use compliance as a foundation for sustainable, profitable customer relationships.

Need help navigating Texas SMS compliance requirements? Mobiniti’s compliance team stays current on state and federal regulations so your marketing team can focus on what they do best: growing your business.