Julian Drago
August 31, 2023
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The United States is a great place to start a business, regardless of your citizenship status. You don’t need a US visa or social security number to start a business in the US as a non-citizen. However, there are some additional steps you must take in order to comply with US law.
In this article, we will walk you through the process of starting a business in the US as a non-citizen.
The Limited Liability Company (LLC) and the C Corporation are the two most popular business structures. Which one you choose will affect how you conduct business and pay taxes in the US.
So what's the difference between the two?
An LLC offers significant advantages compared with other business structures, and Openbiz makes it easy to set up and maintain, even as your business grows.
Bottom line: If your company is already successful in your local market and you're just expanding your horizons, LLCs may be the option when setting up a business in the US from Latin America.
Openbiz can guide you through the process of your LLC registration successfully and compliantly.
Each state has different laws that affect your profits, your taxes, and the way you do business.
The key factors in determining how to start a business in the U.S. for non-citizens and which state to do it in are taxes, anonymity, and management decisions.
Most resident entrepreneurs typically choose to incorporate their businesses in the states where they reside, but as a nonresident, you are free to file your business entity in any state. Within the United States, California, Delaware, Wyoming, Nevada, Florida and Texas are all popular options for business registration.
Learn more about the top states to start a business in the US here.
A registered agent is a person or entity designated to receive legal and official documents on behalf of your company. These documents may include tax notices, legal summonses, and other important correspondence from the state government.
Since you are not a resident of the United States, it may be beneficial to have representation in the United States to handle legal paperwork such as service of process, correspondence from the Secretary of State, and other official government notices. Your registered agent can also ensure that you obtain and renew business licenses and stay on top of compliance deadlines.
The registered agent must have a physical street address in the state where the LLC is registered and be available during normal business hours to receive these documents.
If you're a Latin American entrepreneur looking to start a business in the US, obtaining an Employer Identification Number (EIN) is an essential step in the process.
An EIN is a unique nine-digit number assigned by the Internal Revenue Service (IRS) to identify your business for tax purposes. It's like a Social Security number for your business. You'll need an EIN if you want to hire employees, open a bank account, or file tax returns for your business.
There are several ways to get an EIN. You can apply online through the IRS website, wait for a few weeks for processing, or you can work with Openbiz, which handles everything for you. Just provide some basic information about your business such as its name, address, and type of business.
Click here to learn everything you need to obtain an EIN.
After completing the steps mentioned above, you need to get a US business bank account to manage your money and carry out business financial transactions in the US, especially for LLC and corporation types.
There are a lot of options to choose from but it's worth putting some effort into research as some banks/providers can be a lot cheaper than the others for the same types of services.
Here are some banks that are known to be open to non-resindents for business bank accounts:
These banks are Openbiz partners, so we can assist you with the account opening process. You can do it 100% remotely and have FDIC insurance.
In the United States, business compliance doesn't end when you start your business. You must file an annual report, whether you've formed a C corporation or an LLC. This document keeps the information on file for your business up to date regarding your physical location, registered agent, and shareholders. You must file this form each year, even if there have been no changes from the previous year.
Even as a nonresident business owner, you are required by the Internal Revenue Service (IRS) to pay taxes on income earned in the US. You may also be required to pay an annual fee to the state in which your business is incorporated.
This blog post has provided an overview of the key steps to start a business in the US as a non-citizen.
The Limited Liability Company (LLC) and the C Corporation are the two most popular business structures. Which one you choose will affect how you conduct business and pay taxes in the US.
So what's the difference between the two?
An LLC offers significant advantages compared with other business structures, and Openbiz makes it easy to set up and maintain, even as your business grows.
Bottom line: If your company is already successful in your local market and you're just expanding your horizons, LLCs may be the option when setting up a business in the US from Latin America.
Openbiz can guide you through the process of your LLC registration successfully and compliantly.
Each state has different laws that affect your profits, your taxes, and the way you do business.
The key factors in determining how to start a business in the U.S. for non-citizens and which state to do it in are taxes, anonymity, and management decisions.
Most resident entrepreneurs typically choose to incorporate their businesses in the states where they reside, but as a nonresident, you are free to file your business entity in any state. Within the United States, California, Delaware, Wyoming, Nevada, Florida and Texas are all popular options for business registration.
Learn more about the top states to start a business in the US here.
A registered agent is a person or entity designated to receive legal and official documents on behalf of your company. These documents may include tax notices, legal summonses, and other important correspondence from the state government.
Since you are not a resident of the United States, it may be beneficial to have representation in the United States to handle legal paperwork such as service of process, correspondence from the Secretary of State, and other official government notices. Your registered agent can also ensure that you obtain and renew business licenses and stay on top of compliance deadlines.
The registered agent must have a physical street address in the state where the LLC is registered and be available during normal business hours to receive these documents.
If you're a Latin American entrepreneur looking to start a business in the US, obtaining an Employer Identification Number (EIN) is an essential step in the process.
An EIN is a unique nine-digit number assigned by the Internal Revenue Service (IRS) to identify your business for tax purposes. It's like a Social Security number for your business. You'll need an EIN if you want to hire employees, open a bank account, or file tax returns for your business.
There are several ways to get an EIN. You can apply online through the IRS website, wait for a few weeks for processing, or you can work with Openbiz, which handles everything for you. Just provide some basic information about your business such as its name, address, and type of business.
Click here to learn everything you need to obtain an EIN.
After completing the steps mentioned above, you need to get a US business bank account to manage your money and carry out business financial transactions in the US, especially for LLC and corporation types.
There are a lot of options to choose from but it's worth putting some effort into research as some banks/providers can be a lot cheaper than the others for the same types of services.
Here are some banks that are known to be open to non-resindents for business bank accounts:
These banks are Openbiz partners, so we can assist you with the account opening process. You can do it 100% remotely and have FDIC insurance.
In the United States, business compliance doesn't end when you start your business. You must file an annual report, whether you've formed a C corporation or an LLC. This document keeps the information on file for your business up to date regarding your physical location, registered agent, and shareholders. You must file this form each year, even if there have been no changes from the previous year.
Even as a nonresident business owner, you are required by the Internal Revenue Service (IRS) to pay taxes on income earned in the US. You may also be required to pay an annual fee to the state in which your business is incorporated.
This blog post has provided an overview of the key steps to start a business in the US as a non-citizen.
