Yikes, that's tough. Sorry about that.
This is in no way legal advice, but here's what I'd do. I'd find an attorney in Texas (try asking the bar if they has a reduced fee panel) who practices mediation, too. I'd have her evaluate my case as to value and cost to litigate.
If it seemed too high (and this is only for you to judge) I'd find a local (to you is fine) mediation non-profit to handle the case. You can also just look for a business mediator. Either way, you're likely to get a more workable, less expensive answer. Because if this guy can't pay and you get a court judgment, you'll be chasing him. In mediation you can work out a payment plan.
Hope it all works out.
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