If you want to be sure of your chances of having a US bank account or you need to receive money from US customers or companies, having your own US based company is the best way to do it.
Next you will find information on what you need to do to create your US based business.
Step #1: Should you form a US corporation or an LLC?
Advantages of an LLC?
An LLC (Limited Liability Company) is a special kind of company. An hybrid between a partnership and a corporation.
The advantage for non-residents in the U.S. who have not any gains attributed to a source from the U.S. is that an LLC in Delaware has exceptions of income tax.
An LLC in Delaware only pay a tax, $ 200 per contribution franchise of Delaware a year. The profits of an LLC then go to the owner.
For Americans who have a tax return from the U.S. personnel, these gains are added to your ordinary income and taxed as individual scales.
The advantage for non-Americans who do not apply to tax returns in the U.S. is that the profits of the company passed to the owner completely without being reduced by taxes.
However the responsibility of reporting income tax within remains with their own country
Advantages of Corporation?
If you DO have US sourced income then perhaps a US corporation is the better choice.
You will be required to pay tax on income earned in the United States. Therefore having a corporation can simplify things.
The disadvantage of having a corporation is that it is taxed on world wide income, not just US income.
However you can talk to a US accountant about minimizing this tax.
Now, let’s review what name could you use to your new company…
Step #2: Check your new company name?
Once you have determined the structure of the company (LLC or Corporation) it’s time to choose a name for the company.
This will be the legal designation of the company and not necessarily the name under which it can be promoted or to use on its website. Nor is it necessary that the name is the same as the brands or products to s.
To see if a name is available you can use the tool below, by clicking here.
– The name can not be the same as that of another company
– The name must end with a designation LLC, as the “Limited Liability Company” or “Limited Company” or an abbreviation of one of these phrases (like “LLC”, “LLC”, or “Ltd. Liability Co.”) And
– The name can not contain certain words prohibited by the state, such as banking, insurance, or City Corporation (state rules differ on the words that are forbidden).
Step #3: Create the company?
There are several companies that provide legal services to incorporate a company in the United States. The most prominent are:
The Company Inc. – With prices ranging from $ 359 to $ 709
The Company Corporation – With packages ranging from $ 515 depending on the contracted services.
Instacorp – With an approximate cost of $ 250 to form an LLC in Delaware.
Active Filings – With complete packages start at $ 799 for non-residents
My Us Company – Provides a “kit” opening with information about legal professional you can work with.
Apply to your EIN (Employer Identification Number)
An Employer Identification Number (EIN) is also known as the Federal Tax Identification Number, and is used to identify a business or commercial entity.
In general, all companies in the U.S. need an EIN. You may request an EIN in various forms, it can even apply online. This is a free service offered by the Internal Revenue Service (IRS) although there are companies that also Intermediate this service.
IRS Phone: +1-800-829-4933
The EIN is the legal identification you will need to open a US Bank account for your business.
**** Remember to review for more than one service provider to be shure you get what you need. ****