Register a Company in the USA, Being a Foreigner 

"Every day international markets become more competitive, having a presence in the most robust markets is one of the aspirations of most businessmen and entrepreneurs today, however legal and fiscal procedures on many occasions represent the main obstacle to being able to access these markets. "

Starting a business in the United States as a foreigner may seem like a long way to go, but the country makes it easy to register your company and start your business. Learning English is a basic requirement if you plan to do business with Americans, but other aspects, such as requesting your employer identification number and choosing what type of company you want to be, can make things more confusing.

Choose the Structure of your Company

Most foreigners choose to establish a C corporation, which can expand by offering unlimited shares and is typically more attractive to outside investors, despite the fact that its earnings are taxed twice, first at the corporate level, and then as dividends to shareholders.

For corporate shareholders, the advantages are usually clear, corporate shareholders generally qualify for a lower dividend rate, and as long as the US company does not primarily own real estate, the parent company will not pay capital gains when it sells to the US subsidiary.

Even individual foreign owners are probably better off with a C corporation, as the structure will protect them from scrutiny by I.R.S.

"Foreign people are very reluctant to put their names on the United States tax rolls"

Of course, C corporation owners pay more for that shield as a result of the double tax. But in many cases, tax planners can use salaries, pension costs, and other expenses to reduce corporate income and eliminate much of the double taxation.

All that said, in some cases, generally depending on the specifics of native tax laws, a limited partnership or LLC may be the best business structure. In a limited partnership, partners without administrative control have limited liability and the profits are transferred to the members, who pay income tax on their individual tax return.

Choose a State to Register your Company.

The company's business must determine where it is located. If a state dominates its market, it is better to incorporate it there; there is no way around obligations of doing business in, say, California, a famous high-cost jurisdiction, by registering in Nevada or Delaware, two famous low-cost states.

On the other hand, if the business will not be concentrated in a particular state, most advisers will likely recommend incorporating Delaware, followed by Nevada.

This is due in part to Delaware's "flexible" corporate law that offers generous protections to shareholders and directors, and also due to its outsider-friendly rules. (In addition to not requiring a local physical address or bank account, Delaware makes its corporate law website available in 10 languages.)


What is an LLC Operating Agreement?
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What Expenses are Tax Deductible?
What is a business model?