If you’re a non-US resident looking to establish a Limited Liability Company (LLC) in the United States, you’re in the right place. This comprehensive guide will walk you through the process step by step, ensuring you understand every aspect of setting up an LLC as a non-US resident.
Can non-US residents form an LLC in the US?
Yes, non-US residents can form an LLC in the United States. In fact, you don’t even need to visit the US to set up your LLC. Everything can be done remotely, which is a big advantage for international entrepreneurs. And it’s part of why LLCs are a top choice for new business owners.
However, it’s important to note that while the federal government does not place restrictions on ownership of an LLC by non-US residents, individual states might. There are 21.6 million LLCs, but they don’t all get it right. It’s crucial to check the specific requirements of the state where you plan to form your LLC.
Steps to set up an LLC as a non-US resident:
Choose a state
The first step in setting up an LLC as a non-US resident is choosing the state where you want to form your LLC. Each state has its own rules and regulations regarding LLC formation, so it’s important to research and choose the state that best fits your business needs.
Some states, like Delaware and Wyoming, are popular choices due to their business-friendly laws and low filing fees. However, if your business will have a physical presence in the US, it might make more sense to form your LLC in that state.
Appoint a registered agent
A registered agent is a person or business entity that agrees to receive legal papers on behalf of your LLC. The registered agent must have a physical address in the state where your LLC is registered. There are companies that offer registered agent services for a fee.
It’s important to note that the registered agent’s name and address become public record. If you prefer to keep this information private, you might want to consider using a registered agent service.
File the articles of organization
The Articles of Organization is the document that officially creates your LLC. This document includes information about your LLC, such as its name, purpose, and information about the members and registered agent.
You’ll need to file the Articles of Organization with the Secretary of State’s office in the state where you’re forming your LLC. The filing fee varies by state, but it typically ranges from $50 to $500.
Post-formation steps
Get an EIN from the IRS
After your LLC is formed, you’ll need to get an Employer Identification Number (EIN) from the Internal Revenue Service (IRS). The EIN is like a social security number for your LLC. You’ll need it to open a bank account for your LLC and to file your LLC’s taxes. Non-US residents can get an EIN without a social security number. You can apply for an EIN online, by fax, or by mail.
Open a US bank account
Opening a non US resident LLC bank account isn’t much different from opening one if you lived in the US. However, you might need to visit a branch in person, which can be difficult if you live outside the country.
You’ll need your LLC’s EIN and a copy of your Articles of Organization, along with identification documents for all members and signers on the account. Some banks might also require additional documentation, such as proof of address or a business license.
File Annual Reports
Most states require LLCs to file an annual report. The report typically includes information about the LLC’s activities during the past year. The filing fee for the annual report varies by state. It’s important to file your annual report on time to avoid penalties and keep your LLC in good standing with the state.
Endnote
Setting up an LLC as a non-US resident might seem daunting, but it’s a straightforward process when you understand the steps involved. By following this guide, you’ll be well on your way to establishing your own LLC in the United States.
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