For many years, the United States has been considered the “land of opportunity” for many entrepreneurs around the world. It is not rare to find stories of migrants who started businesses from scratch and attained their goals.
Is it possible to open a business in the United States as a non-resident? Read on to find out.
Can I Open a Business in US as a Non Resident? – The Verdict
US law has no restrictions on non-residents owning businesses on American soil. Non-US residents are free to either establish a company or purchase an existing business in any state they wish to.
Please note that gaining access to the US market is the key for many international businesses to reach new levels and grow exponentially.
With a company established in the United States, it is easier for foreign entrepreneurs to reach customers worldwide, as well as enhance the business’s reputation.
Another valuable reason to own a US company as a foreign is gaining access to capital markets in the form of angel investors, venture capital firms, and public markets. As a fertile environment for promising startups, the United States offers great opportunities for entrepreneurs willing to work hard.
While non-residents can open a business in any US state, living the American Dream is an experience with a lot of challenges involved.
Can I Open a Business in US as a Non Resident? – The Basics of Taxation
When a person has permanent residence in the United States, whatever income generated globally is subject to US taxes. Fortunately, the tax rules applied to non-US residents are slightly different.
If your permanent residence is not located in the United States but you own a US company, only the income generated in the country will be subject to local taxes. Accordingly, income from other countries is not subject to US taxes if you are a non-resident.
The tax rules become more complex if a non-US company wants to form a business exclusively to import products to the United States. As expected, the guidance of an expert business attorney is fundamental in any case.
Can I Open a Business in US as a Non Resident? – Business Structures
Once a foreign citizen has decided to open a business in the United States, the first step is to decide which business structure is the best for one’s circumstances. This decision is crucial for the future of the endeavor, as it will determine:
- The type of applications and forms to be used
- The owner’s personal liability, and
- The tax implications at the personal and entity levels
Most US businesses are formed either as corporations or limited liability companies (LLCs). There are two types of US corporations – C-Corps and S-Corps. Similar to LLCs, S-Corps are taxed only at the individual level, which avoids double taxation.
Non-US residents cannot purchase or own an S-Corp, whether it is full or partial ownership. This type of business is restricted only to US citizens and residents, but non-residents are free to do business through C-corps, LLCs, or partnerships.
Do You Want to Open a US Business as a Non-Resident? – Seek Expert Legal Guidance Today
Avoid costly mistakes and inadvertent failure with the help of a well-versed US business attorney today. Call Attorney Romy B. Jurado at (305) 921-0976 or email [email protected] for zealot legal assistance.