How to open a company in the USA for non-citizens in 2024?

What you will find in this article:

Content updated in January 2024

It is easier than you think to open a company in the USA for non-citizens in 2024. Keep reading and get all the information you need to start your global journey now.

open a company in the USA for non-citizens in 2023

The United States makes it easier for non-citizens to start businesses than most countries. The only thing is that you have to be extra careful when filling out business formation and taxes documents. However, you don’t need a US visa or social security number for the registration.

Choose a business structure to open a company in USA for non-citizens

Before beginning the formation process, evaluate the possibilities available to you. Limited Liability Company (LLC) and C Corporation are the two most popular business structures. Either one you choose will impact how to conduct business and pay taxes in the US.

Main differences between LLCs and C Corps when opening a company in the USA for non-citizens in 2024.

Learn about these two formats.

  • Taxes: LLC members (owners) do not need to pay corporate taxes, but personal income tax only. As for C Corps, you have to pay taxes on a corporate level and shareholders would have to pay on their own. This is double taxation and is one of the reasons entrepreneurs seek to start an LLC in the US.
  • Stock market: C Corps can issue stocks while LLCs can’t. The only way for LLC members to do something similar is to trade ownership interest on securities exchange.
  • Financing: raising capital for a C Corp is easier than for an LLC. C Corps can sell their shares and have unlimited shareholders financing their operations. On the other hand, LLCs are limited to offering debt (liquid money, returns) or equity (ownership).

Now let’s see in what aspects both company structures can be more alike.

Similarities between C Corps and LLCs: what you need to learn

What’s the best structure to open a company in the USA
for non-citizens

Both LLCs and C Corps offer advantages to domestic or international business owners. One key aspect is that of raising capital. C Corps offer much more flexibility and security to external investors, therefore it’s easier to get capital for a new venture.

Now, when it comes to taxes, LLCs have the obvious upper hand by avoiding double taxation. This is one of the most appealing aspects of the entire American economic ecosystem, which also ends up attracting more foreigner-owned businesses.

In conclusion, if your company is already successful in your local market and you’re just expanding your horizons, LLCs might be the option when setting up a business in the USA from the UK, Australia, or Latin America. Now, on the other hand, if you’re looking to open a company in America as a non-citizen for the advantages the country offers to raise capital, then a C Corp could be better for you.

Either option would yield incredible amounts of advantages to your business in the global scenario and would give you access to the best of the American commercial landscape. You’d be able to sell your products and services in the most profitable market in the world and in platforms such as Stripe and Amazon without any problem.

Once you have this decision made up in your mind, it’s time to see where to open your business in America. Let’s see which US states offer more for foreign entrepreneurs.

Two women talking and looking at a computer screen

What’s the best US state to register your company in?

One of the key elements when it comes to US company registration for non-residents is the actual location. Every state has different legislation and this affects your profits, your taxes, and the way you’ll conduct business all around.

The most important factors when determining how to open a company in the USA for non-citizens in 2024 and what US state to do considering taxes, anonymity, and executive decisions.

Delaware and Florida are the most desirable states for domestic and foreigner-owned businesses because of the number of advantages they offer companies compared to other states. Let’s see how both of them differentiate each other.

Differences between Delaware and Florida companies

Let’s see how to open a company in the USA for non-citizens either in Delaware or Florida, two of the most attractive locations for entrepreneurs.

  • Incorporation: both states allow online business formation, which is super helpful to foreign entrepreneurs. When it comes to fees, Florida has a USD 125 minimum registration fee for LLCs and USD 70 for Corps. As for Delaware, the minimum goes up to USD 89 for Corps and USD 90 for LLCs.
  • Franchise tax: this is the tax a state imposes on companies for existing in their territory. In the case of Delaware, the rate goes to 8.7% on net income for corporate and 2.2–5.95% for individuals. Florida has no franchise tax whatsoever, which can mean thousands of dollars in profits annually.
  • Anonymity: some US states offer complete anonymity for a company’s shareholders or members. However, in Delaware, anonymity is limited because businesses still have to maintain some of their information available to the public. Now, for Florida, anonymity simply doesn’t exist, any regular person can access your personal information through your company’s files.
  • Executive management: Florida legislation gives even more flexibility to the already elastic LLC structure. The members themselves decide and establish profit distribution and executive roles. In the case of Delaware, these processes are more rigid.

Now, after seeing where and open a company in the USA for non-citizens in 2024 let’s talk about papers and files.

Usa map

What documentation do you need to open a business in the US

You don’t need to come to the US to start a business as a non-citizen. You don’t even need to get an American visa. Owning a business is not the same as being employed by it, thereby you’ll only need a US visa the moment you start actually working in your company. So you can do it all in baby steps at first.

Company’s address

The first thing you need to do is to get a physical business address, the place where your company’s headquarters are to be located. In case you don’t have access to any place, you have Globalfy’s Virtual Address service, by which you can register our mailroom as your business address and get your mail shipped to your country, 

EIN

Then you’ll need to apply for an EIN, the Employer Identification Number of the IRS. In case you have a social security number or Individual Taxpayer Identification Number you can apply online. In case you don’t have any of these documents, the process will take longer but you can still do it. You’d have to fill in the Form SS-4 and wait for a few weeks for it to be processed.

Partnership for a business bank account*

We have partnered with Mercury, a trusted financial services entity to provide you with an enhanced banking experience. They are ready to support Globalfy’s clients.

After you open a company in the US with us, you’ll find an integration in our platform to start this process with Mercury seamlessly. There’s another benefit: after registering your American business company with Globalfy, open your business bank account with Mercury, you can receive $250 cashback. All you need to do is transfer $10,000 within the first 90 days of using the service.

*Reminder: please take into consideration that the opening of a business bank account with Mercury goes through an approval process.

More on how to open a business in the USA for non-citizens

When it comes to doing business on a large scale, America is the place to go for entrepreneurs from all over the world. The country offers the best commercial opportunities, the biggest number of potential investors, and a well-structured tax and financial system.

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