What is LLC in USA
LLC stands for Limited Liability Company. It is a type of business structure that combines the features of a corporation and a partnership. LLCs provide the liability protection of a corporation, where the owners (called members) are not personally liable for the company’s debts and obligations.
LLCs also have the flexibility of a partnership, where the members have the ability to manage the company and share in its profits.
What is EIN in USA
EIN stands for Employer Identification Number. It is a nine-digit number assigned by the Internal Revenue Service (IRS) to identify a business for tax purposes. EINs are similar to Social Security numbers for individuals and are used to identify businesses when they file tax returns, hire employees, or open bank account.
Obtaining an EIN is a simple process that can be done online or by mail.
Benefits of opening LLC in USA for non-US residents
Liability protection
Opening LLC can provide non-US residents with liability protection for their business. This means that if the business incurs debts or faces legal action, the members’ personal assets will not be at risk.
Separation of personal and business finances
An LLC allows non-US residents to separate their personal finances from their business finances, which can make it easier to manage their financial affairs and protect their personal assets.
Flexibility in management
LLCs offer flexibility in management, as the members have the ability to manage the company themselves or hire a manager to handle the day-to-day operations.
Potential tax benefits
LLCs may offer tax benefits to non-US residents, such as the ability to pass through income and losses to the individual members, potentially reducing the overall tax burden for the business.
Ease of doing business in the US
Obtaining an EIN can make it easier for non-US residents to do business in the US. It helps to open the business as a legitimate entity for tax and legal purposes.
Compliance with US laws and Stronger business credit
opening LLC and obtaining an EIN can help non-US residents to comply with US laws and regulations, which is important for the success and longevity of their business and having a stronger business credit.
Additional advantages of opening LLC in USA?
- The possibility of adding several activities and projects to the same company
- The possibility of securing crowdfunding from financing platforms to your bank account
- The possibility of achieving rapid growth in a flexible environment at low costs
- Add your company name to the USA companies in BBB
- Communicate with confidence with any business partner and all your business is legal
- All mail that reaches your US address will be sent to your e-mail
- Income tax exemption company in Wyoming and Delaware
- Make trademark protection by DBA application to USPTO.
What are the requirements to form a new LLC in USA?
- Anyone can open a company in USA and does not have to be a resident or citizen of USA.
- The company must be in one of the tax-exempt states such as Wyoming and Delaware.
- The owner of the company or one of the partners must not be residing in a country subject to US sanctions.
- Hire a registered agent to represent you in front of the US government institutions.
Continue reading for more information about how to find and registered agent in USA.
What are the documents list required for new LLC formation in USA?
- A copy of your passport, the first two pages to be valid
- National ID or residence card if you live outside your country
- The current address is documented with (electricity, water, telephone, or bank statement)
- Repeat the above for each partner, if there are partners
How much does it cost to set up new LLC in USA?
- The state fee is $60 in Wyoming.
- The cost of hiring a registered agent is $339 for the first year, including incorporation fees.
- Annual renewal cost only $259 including state and registered agent fees in Wyoming.
- After the first year, you will have to pay a chartered accountant’s fee to file an annual financial return with the IRS of $350 to $1,000 depending on sales and activity in your bank account.
- If you choose Delaware, the state fee will increase to $300, and the renewal will be increased by the same amount.
Best Registered Agents in USA
You need a registered agent for your LLC or corporation in all states where you conduct business. The role of a registered agent is to start LLC formation and to handle legal documents for your business. It is important to choose a registered agent you trust to promptly inform you about any legal documents. Try to find a registered agent with high credit for smoother process.
What matters in the address of the registered agent or the registered office is that it is available to receive any documents from any party on behalf of the LLC.
Watch out! A PO Box or Shipping Company address is not an acceptable registered agent address.
Steps to opening LLC in the US for non-US residents
1- Choose a business name and confirm its availability
The first step in opening LLC in the US is to choose a unique and memorable business name. Non-US residents should check with the state in which they plan to incorporate to ensure that the name they have chosen is available and meets the state’s requirements.
2- Choose a state in which to incorporate the LLC
Non-US residents can choose to incorporate their LLC in any state in the US, although some states may be more attractive due to their business-friendly regulations and tax policies. Non-US residents should research the pros and cons of incorporating in different states before making a decision.
3- File articles of organization with the appropriate state agency (By Registered Agent)
Once the business name and state of incorporation have been chosen, non-US residents will need to file articles of organization with the appropriate state agency, typically the Secretary of State. This process typically involves filling out a form and paying a filing fee.
4- Obtain an EIN from the IRS (By Registered Agent)
After the LLC has been opened, non-US residents will need to obtain an EIN from the IRS. This can be done online or by mail. Non-US residents will need to provide information about their business and the members of the LLC in order to obtain an EIN.
5- Create an operating agreement (By Registered Agent)
Non-US residents should also consider creating an operating agreement for their LLC, which outlines the rights and responsibilities of the members and the management of the business. An operating agreement is not required by law, but it can help to avoid disputes and ensure that the business is run smoothly.
Here you are, that’s all. Now you have a legal USA LLC Company with EIN
What Projects can run through LLC in USA for non-US residents?
- Online education platforms and training courses
- Consulting, programming and e-marketing companies
- E-Commerce and get an e-payment gateway easily
- Amazon FBA sellers are tax free on their withdrawals
- Earning sites Google AdSense or AdMob and others
- Affiliate marketing sites and blogs
- Drop-shipping Websites
- Import and Export companies inside and outside USA
What Registered Agent do for you to open LLC in USA?
You can start the process of opening your company online through our platform without the need for paperwork. The required documents and information will be requested in a series of steps in a single session.
You can start now, and don’t worry, payment will not be the first step. Instead, it will be the last step after ensuring that the entered data is correct and meets the requirements of the United States to open the company.
How much time is required to complete the procedures for opening a company in USA?
- Company registration is completed within one working day
- Then submit an SS4 Form to the IRS for an EIN
- We are waiting for it to be issued by the tax department within 20 days
- After receiving the EIN, we submit an application to open a bank account and wait for approval within 10 days
The total period is about 30 working days to finish all the procedures and receive your company with the tax number, address and bank account in succession
All papers and documents that you will get are digital documents that can be matched electronically through the state’s website
Of course, you can obtain the official (commercial registry) contract/incorporation certificate from the US State Department for a fee of $100 for the original paper and $50 for each true copy. This applies to any company document such as: Company Operating Agreement, Company Articles of Association, Share Statement Certificate, and SS4 Tax Certificate.
Many of our clients choose the limited liability company for e-commerce, service, advisory, and educational businesses due to its ease of management and modification, as well as its simple annual tax filing procedures. This is why it is preferred by entrepreneurs for their emerging and medium-sized projects, as well as import and export companies in the USA.
If your project grows and you need to include shareholders or you want to secure individual or group funding, you can easily open a joint stock company and transfer your projects and brands to it.
Annual Legal and Financial Obligations for LLCs in USA
Your company’s annual legal and financial obligations are:
- Registered agent fees
- State fees
- Accountant service fees
You can submit your company’s papers to the Income Department on your own and dispense with the services of a chartered accountant. However, it is not recommended for beginners, especially.
In order to avoid any fine or rejection, And of course the services of a chartered accountant are very convenient, as he only asks you to state the bank account for the past fiscal year, and he does all the necessary preparations himself, including books, documents, and forms.
FAQs
Do I need to visit the US to form an LLC?
No, you do not need to visit the US to form an LLC. You can complete the process online or through a third-party service provider.
Will I need a visa to operate an LLC in the US?
It depends on the nature of your business and how much time you plan to spend in the US. If you will be working in the US and need to be present for an extended period of time, you may need a work visa. However, if you will only be conducting occasional business in the US, you may be able to enter on a business visitor visa.
Can I be sued in the US as the owner of an LLC?
Yes, as the owner of an LLC, you can be sued in the US. It is important to protect your personal assets by forming an LLC and to carry liability insurance to cover any potential legal claims
When you click on the “open your company” button, you will be transferred to the registered agent’s website directly to submit the application electronically, and through the communication window on the site, you will be able to inquire about any point you need to answer
