Starting a business in the United States and want to know where to start? Then this company formation guide can help you establish a business that is in compliance with the government, prepare the necessary paperwork, and more.
If you have a company in the US, you will be able to do the following:
-Open a Bank Account
-Have access to popular payment processing accounts like Amazon FA, Stripe, and more.
-Obtain access to the US market and its customers
-An enhanced reputation of your company within the US and even across the globe.
The good news is that you can start a US company even if you are not an American citizen. You just need to know the basics of starting an LLC business, a corporation and other kinds of business that you want. For more information about LLC, click this link here.
1. Decide the Kind of Business that you Want
You can choose from the four main types of businesses namely sole proprietorship, partnership, limited liability company, and business corporation. Each of them has its own pros and cons. If you want to know more about these business types in detail and which one is best suited for your business, you can consult an expert today.
2. Get the Help of a Registered Agent
Corporations and LLCs are required to have a physical address and not a P.O. Box. This address is what the company will use to receive important memos and documents that are related to the business. Registered agents have these physical addresses and they act as a service so you won’t miss any important documents regarding taxes, renewal notices, or lawsuits. This is one of the requirements to form a corporation in the US.
3. Get an Employer Identification Number or Tax ID
The US Internal Revenue Service issues EIN that serves as a tax ID number for business identification. Business owners need EINs to start a business, open a bank account in the US, apply for licenses and permits, file taxes, hire employees, and more. You can know more information on how to apply for an EIN if you are a non-US citizen in sites such as http://delawareagency.com.
4. Open a bank account in the US
When it comes to starting a business, most non-US citizens can find this a little bit complex. However, once you have obtained your EIN, you can now be able to open a bank account. You have to come physically to the US to open a bank account and conform to their requirements. It is important to note that you yourself should open the bank account and you should not rely on somebody’s word to open it for you.
Wells Fargo, Bank of America, and Citibank can be your best option. If these banks are available in your home country, you can open a business checking account to them in dollar currency. The point here is to make sure that when you open a US bank account in America, they can easily verify your identity because your local bank has already done an identity check on you. In order to open a bank account, you need EIN letters that the IRS provides. You also need ownership agreements, a passport, and a copy of articles of organization to open a bank account.
5. Business Registration
Decide the state on where you want to form your business. After that, you can fill the necessary paperwork in order to register it. Forming your corporation can be complicated if you don’t have a business lawyer or a legitimate agent that can help you with all the documents. The time it takes for incorporations can vary from one state to another. Generally, it can take anywhere from 1 business day to 1 month depending on the kind of business you have and how long it will be approved by the State Secretary.
The Bottom Line
When you start a business as a foreign in the US, the process can be long and there are a lot of steps that you are required to take. Luckily, the country can make it easy for you if you know what to do. You might want to know other things such as choosing a unique name for your business, fees, the total value of shares that the corporation can issue, and the capital required in order to start. Luckily, you can get help from a legitimately registered agent that can help you with accounting, compliance, business banking, and a lot more. Get one today.