You’re based in India, Turkey, or Pakistan and operate a business in the United States! What an exciting opportunity it will be, but it sounds very difficult and complicated just because you don’t have a US visa. Will you be able to make your dream come true?
What if you could make your dream of starting a business in the United States come true with step-by-step instructions?
Simply follow this step-by-step guide for instructions on how to form an LLC in the United States as a non-resident. You can do it even if you live in India, Turkey, Pakistan, or anywhere in the world.
How to Form an LLC in the United States as a Non-Resident (in 8 Simple Steps)
- 1 Common Misconception
- 2 What are the Steps to Form an LLC in the United States as a Non-Resident?
- 3 Select a State
- 4 Decide Name for your LLC
- 5 Appoint a Registered Agent
- 6 File your Certificate of Formation
- 7 Draft an Operating Agreement
- 8 Apply for an EIN
- 9 Get a US Mailing Address
- 10 Open a US Bank Account
- 11 Willing to Form an LLC in the United States as a Non-Resident
There is a common misconception among non-U.S. citizens that they need a U.S. visa to form an LLC in the United States. The truth is that you actually don’t need a US visa to form an LLC in the United States.
What are the Steps to Form an LLC in the United States as a Non-Resident?
The process of forming an LLC in the United States as a non-resident is straightforward. You do not need to be a citizen or a company to start an LLC in the United States, you can form an LLC in the US from anywhere globally.
The steps to form an LLC in the United States as a Non-Resident:
- Select a State
- Decide Name for your LLC
- Appoint a Registered Agent
- File your Certificate of Formation
- Draft an Operating Agreement
- Apply for an EIN
- Get a US Mailing Address
- Open a US Bank Account
Select a State
The first thing you need to consider is the state where you want to form your LLC. It is also one of the crucial decisions for your business. It is generally recommended to form an LLC in a state without state income taxes, then you’ll only be responsible for paying US Federal taxes.
Brief about the Best States to Form an LLC in the United States as a Non-Resident:
According to our experience in US Business Formation, 80% of business owners prefer Wyoming over other states.
Wyoming has a $100 state filing fee with a $50 annual fee. Wyoming does not require you to pay corporate or personal income taxes with 4% sales tax and offers you the most powerful asset protection.
Decide Name for your LLC
The first step to forming an LLC is to select a name for your LLC. Generally, you will need to follow this naming instruction:
- You must include the word limited liability company or LLC in your company name.
- You have to avoid restricted words such as a bank, trust, Law, Attorney, etc.
- You should not include such words in your company name that confuse your LLC with a government agency.
- I also recommend registering your LLC name’s web domain even if you do not want to create your business website today.
Appoint a Registered Agent
The next step to form an LLC is to appoint a registered agent. A registered agent is also known as a statutory agent or resident agent.
A registered agent is a person or a company who sends and receives legal papers on behalf of your LLC. These legal papers include official correspondence like legal summons and filing documents.
Your registered agent must be a resident of a state where you want to start your LLC. If your registered agent is an individual, then he will be a member of your LLC along with you.
File your Certificate of Formation
The next step you have to do is to file the formation documents with your Secretary of State. These documents are known by various names, most commonly this document known as Certificate of Formation. It describes the organizational structure of your business.
Draft an Operating Agreement
An LLC operating agreement is a legally binding business document that entails the ownership of its members, how the company is managed, and the structure of the LLC or limited liability company.
It can provide details such as one meeting being held naming a registered agent, selecting managers, and adding and dropping members.
An operating agreement is not required in every state, but it is highly recommended to have an operating agreement to avoid internal disagreements between LLC members.
Apply for an EIN
The final step is to apply for your Employer Identification Number (EIN) which is also called a Federal Tax Identification Number.
What are the Purposes of EIN?
- An EIN is necessary for your business tax purposes.
- It is also required to open a business bank account in the United States.
- It is also needed when you want to hire employees legally.
Applying for an EIN is quite simple and free of cost. You can quickly obtain this by visiting the IRS.gov website.
Get a US Mailing Address
Most U.S. banks require an address, whether residential or mailing, to open a bank account. However, you can still open a U.S. bank account from overseas if you have a business address in the United States.
If you live in the United States, you may use your home address as your business address. However, if you do not reside in the United States, you can purchase a U.S. business address.
There are many services available online offering the US Mailing Address like PostScanMail and they are taking care of your shipping and receiving, you can also take advantage of their services by having them scan and deliver the mail to you online and forward packages out of the country for you.
Open a US Bank Account
Opening a US bank account for your LLC will be the most complicated step. You’ll need to visit the United States; unfortunately, you can’t open an account there without setting foot in the country.
Alternatively, you can use services offered by companies like Mercury. They are not real banks, but they provide banking services that are processed through real banks.
Willing to Form an LLC in the United States as a Non-Resident
This guide is enough for you if you are looking to form an LLC in the United States as a Non-Resident. However, if you’re in a rush and do not have time to handle the paperwork yourself then you should hire a professional business formation service, and luckily you are at the right place.
Micahguru Formation would like to help you start your new business. Last year, we helped more than 150 new companies get registered.
As a special thank you for reading our blog, we’d like to give you a discount on your purchase. Use the code (Blogreaders) when checking out.