Starting a business in the U.S. as a non-resident might sound like a complex process, but the truth is, it’s more accessible than you’d think. The United States remains one of the most entrepreneur-friendly countries in the world, offering a well-established legal and financial system that supports new businesses—even from abroad. Whether you’re launching a startup, an online store, or a consulting business, the steps to get started are surprisingly clear.
Choose the Right Business Structure
LLC vs. C-Corp
One of the first decisions you’ll need to make is what kind of business structure fits your goals. For international founders, the two most popular choices are forming either an LLC or a C-Corp.
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An LLC is simpler and typically the go-to choice for smaller businesses or solo founders. It offers flexibility in taxation and management while protecting your personal finances from legal or business risks. You can choose whether to be taxed as a sole proprietorship or a corporation, and paperwork is generally lighter.
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A C-Corp is often the better option if you’re planning to raise funding or bring on shareholders. It allows for issuing multiple classes of stock, which is attractive to investors. The downside is potential double taxation—at both the corporate and shareholder levels. However, many fast-growth startups still choose C-Corps because they scale better and are required by most U.S. venture capitalists.
Why You Can’t Form an S-Corp
You can’t form an S-Corp unless you’re a U.S. citizen or permanent resident. These are off-limits to non-residents due to IRS restrictions. Even if you meet the other requirements for an S-Corp, your non-resident status disqualifies you automatically.
Pick the Best U.S. State for Incorporation
Why Delaware, Wyoming, or Nevada?
While you can form a business in any state, some are especially friendly to foreign founders:
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Delaware is known for its business-friendly laws, predictable legal system, and low barriers to entry. No physical presence is required. It also has a specialized business court (the Court of Chancery) that helps resolve disputes quickly.
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Wyoming and Nevada offer affordability, privacy, and no corporate income tax. Wyoming has especially low annual fees and lets you remain anonymous as an owner if that’s important for your privacy.
If you plan to operate from a specific U.S. location physically, it’s often best to register your business in that state. Otherwise, states like Delaware, Wyoming, and Nevada offer cost and compliance advantages for online or remote businesses.
Step-by-Step: How to Register Your U.S. Business
1. Choose a Unique Business Name
Use your chosen state’s Secretary of State website to confirm the name is available. Some states allow you to reserve the name in advance.
2. File the Formation Documents
Depending on your structure, you’ll file Articles of Organization (for LLCs) or Articles of Incorporation (for C-Corps). These are usually submitted online, and filing fees vary by state.
3. Appoint a Registered Agent
You must have a registered agent—a person or company with a physical U.S. address who accepts legal notices on your behalf. Many services offer this for a small fee, and it’s essential to stay compliant with state requirements.
4. Get Your EIN from the IRS
An Employer Identification Number (EIN) is required for tax reporting, hiring employees, opening a U.S. bank account, and more. You can apply online, by fax, or by mail. If you don’t have a U.S. SSN or ITIN, you can still get an EIN by submitting Form SS-4 by fax with a special procedure.
5. Open a U.S. Business Bank Account
Many traditional banks require you to be there in person. If you can’t travel, services like Wise Business, Mercury, or Payoneer offer remote options for LLCs and C-Corps. These platforms allow you to receive payments in USD, pay contractors, and even integrate with major tools like Stripe and PayPal.
6. Apply for Business Licenses (If Needed)
Depending on your business activities and where you operate, you might need local permits or licenses. This varies by state and industry, especially if you’re selling regulated goods or services like food, finance, or health.
Can You Work in the U.S. as a Business Owner?
Business Ownership Doesn’t Equal Work Authorization
Forming a company in the U.S. does not automatically give you permission to live or work in the country. If you want to be actively involved, you’ll need a visa. It’s fine to own a U.S. company as a foreign national, but participating in the day-to-day business (physically in the U.S.) requires legal work authorization.
Visa Options for Entrepreneurs
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E-2 Visa – For investors from treaty countries. Usually requires $100,000+ investment and active management of the business. Not all countries are eligible, so check the list of treaty nations before pursuing this route.
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L-1A Visa – Lets executives or managers transfer from a foreign company to a U.S. branch. You must have worked at the foreign entity for at least one year in the past three years.
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Other options – Programs like International Entrepreneur Parole offer temporary U.S. residency to startup founders who’ve raised U.S. investment. It’s not a visa, but it may work for some high-potential founders.
Running a U.S. Business Remotely
Even if you’re based abroad, it’s entirely possible to operate a U.S. company remotely. Cloud tools like Shopify, Stripe, QuickBooks, Zoom, and Slack can help you run your operations smoothly. You can hire U.S.-based employees or contractors to handle on-the-ground tasks.
It’s also a smart idea to work with an accountant who understands both U.S. and international tax law to stay compliant in both jurisdictions. Double taxation treaties between the U.S. and your home country may also impact how much tax you pay—so don’t overlook this detail.
You’ll also want to stay on top of federal and state compliance. This includes filing annual reports, renewing your registered agent, and submitting tax filings even if your business doesn’t make a profit right away.
Final Thoughts
Starting a U.S. business as a non-resident opens the door to new markets, stronger credibility, and global opportunities. The key is to follow the right steps:
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Pick a suitable structure (LLC or C-Corp)
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Register in a business-friendly state
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File paperwork correctly and choose a reliable registered agent
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Get your EIN and business bank account
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Understand visa requirements if you plan to work in the U.S.
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Set up your tech stack to manage everything remotely
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Stay on top of compliance and taxes in both countries
