Starting an LLC as a Non-US Resident

Yes, non-US residents can start and own an LLC in the U.S., including non-U.S. citizens who have never lived there. You don’t need a visa, a Social Security Number (SSN) or a U.S. home address to form or own one. You will need a registered agent in your state, an EIN and a few extra IRS filings. Owning an LLC doesn’t give you the right to live or work in the U.S., though.

The limited liability company structure is a popular choice because it’s relatively easy to set up, has low running costs, and has a simple tax structure. Plus, most steps for filing an LLC are the same regardless of where you live.

Naturally, there are some extra legal requirements and paperwork you must complete before forming an LLC as a non-US resident. But once you comply, you can start your business and sell into one of the world’s largest consumer markets.

Quick facts about forming an LLC as a non-US resident

Non-US resident vs. non-US citizen: which rules apply?

The tax and EIN rules in this guide depend on where you live for tax purposes, not on your citizenship. The IRS calls a non-citizen who isn’t a U.S. tax resident a nonresident alien, and most of the extra steps here apply to that group.

Green card holders and non-citizens who meet the IRS substantial presence test are U.S. tax residents. They get an SSN, can apply for an EIN online, and form and run an LLC the same way U.S. citizens do. U.S. citizens who live abroad also follow the standard rules.

Citizenship still counts in one area. Anyone who isn’t a U.S. citizen or green card holder needs a visa to work in the U.S., even in their own LLC.

Why start an LLC in the U.S.?

Since its beginning, America has been known as the land of opportunity where anyone with an entrepreneurial spirit can find opportunity and freedom to make their fortune.

And it’s as true today for modern day digital nomads as it was for the first settlers, but now, staking your claim is much easier and less dangerous.

Here’s why the U.S. appeals to founders from abroad.

• The U.S. is famous for being business-friendly
• It also has a competitive corporate tax rate, an easy LLC formation system, and low start-up costs compared to many other countries
• With about 342 million residents, according to the U.S. Census Bureau, it’s a very lucrative marketplace, making it an excellent choice for starting an LLC

Here’s how to start an LLC as a non-US resident.

How to start an LLC as a non-US resident

Each of the 50 states has its own rules and requirements for starting an LLC.

Delaware and Wyoming offer preferable conditions to non-US residents (especially e-commerce entrepreneurs like Amazon sellers and drop-shippers), making them a popular choice.

But before you consider Delaware or Wyoming as your business state, here’s how to form an LLC from outside the U.S.

Pick your business name

Before registering your LLC, you must choose a business name that complies with your state’s rules. These vary, but most states have the same basic requirements.

• Your LLC’s name cannot be the same as another registered business entity in your state
• Your business name doesn’t infringe upon any existing trademarks
• You use a designator such as “LLC,” “L.L.C.” or “Limited Liability Company” at the end of your name
• You don’t include restricted words such as “bank” or “insurance” without approval

You will need to perform a US business search, and all states have an online entity name check tool you can use to see if your name’s available. You can also search the United States Patent and Trademark Office (USPTO) online database for trademarks.

If you aren’t ready to file your articles of organization yet, most states let you reserve your business name for a fee through your state’s business filing website.

Create an operating agreement

An operating agreement is an internal document that describes an LLC’s operating terms and defines the responsibilities and rights of its members.

While not all U.S. states require you to have an operating agreement, creating one is recommended for 2 important reasons.

1. Most banks ask for one before they’ll open a U.S. business bank account, especially if your LLC has more than one member.
2. In cases of disagreements, LLC members can refer to the operating agreement for resolution.

Hire a registered agent

You must designate a registered agent with a physical street address in your chosen state to receive official documents such as government notifications, service of process (notice of lawsuits), and tax forms on your business’s behalf.

LLC members can act as registered agents only if they have a street address in that state, so for non-residents, a registered agent service solves the problem.

Professional registered agents typically cost $50–$300 per year, and you’ll find them online. Tailor Brands’ registered agent service is $199 per year. An alternative to employing a registered agent service is to designate your U.S. accountant or attorney, as long as they’re located in your LLC’s state.

File articles of organization

To form your LLC, you must file articles of organization (also known as a certificate of organization or certificate of formation) with the appropriate government agency. In most states, that’s the Secretary of State’s office.

Articles of organization are legal documents you’ll use to establish your LLC at the state level. They usually include the following business information.

• Your business name
• Your registered agent’s name and address in the state
• Your business’s mailing address
• The names of members or managers, in states that require them
• The purpose of your business, in some states

Some states require further information, so check your state’s filing instructions before registering.

Your LLC is a domestic LLC in the state where you file it. In state business law, a foreign LLC means an LLC registered to do business in a state other than the one where it was formed, not an LLC with foreign owners.

Apply for an EIN

The IRS uses an Employer Identification Number (EIN) to identify your LLC for tax purposes, similar to a Social Security Number (SSN) for U.S. citizens.

You need an EIN to file your LLC tax returns, open a business bank account, or apply for a merchant account like PayPal or Stripe.

As a non-resident owner without an SSN or ITIN, you can’t use the IRS online application. Instead, you can apply for an EIN by completing Form SS-4 and sending it by mail or fax to the IRS, or by calling the IRS international line at 267-941-1099 (not toll-free). On line 7b, enter “Foreign” where the form asks for an SSN or ITIN.

You don’t need an ITIN to get an EIN. The IRS will also need a U.S. or foreign return mailing address. The guide on how to get an EIN walks through each step, and if you form your LLC with Tailor Brands, Tailor Brands can apply for the EIN for you, even without an SSN.

Apply for business licenses and permits

Depending on your business type and location, you might need specific business licenses and permits to operate in your state.

Business licenses are specific to your business activity and show you comply with industry standards. In comparison, permits allow you to provide or sell particular services or products within your state.

There are 4 different levels of business licenses.

1. Local license: many cities and counties require a general business license to operate within their jurisdiction.
2. State license: some states require a general state business license or registration with the state tax agency before you can operate.
3. Federal license: LLCs in regulated industries (agriculture, aviation, alcohol and firearms, for example) need a federal license to operate.
4. Occupational license: some businesses like lawyers, accountants, child daycare, and food and drink establishments require an occupational license from their state.

Open a business bank account

The law doesn’t require you to open a business bank account, but it’s advisable for several reasons.

1. You risk commingling business and personal finances when using just one account.
2. Commingling finances can lead to a court piercing the corporate veil.
3. Piercing the veil can lose you your limited liability protection.

The good news is that as a non-resident owner, you can open a U.S. business bank account, but there are some prerequisites. Most banks ask for your EIN, articles of organization, operating agreement, a U.S. business address and your passport. Many traditional banks require you to open the account in person, while some online banks let non-residents apply remotely.

A separate business bank account can also help keep your LLC compliant come tax time.

Prepare and file the proper tax returns

LLC members may owe U.S. tax on profits even when living abroad. Each year, you’ll need to file the correct tax returns with the IRS and your state of business. Many non-resident owners hire a U.S. tax professional to help.

Depending on your business, you might be liable for state taxes, sales taxes, and federal taxes. If you owe U.S. income tax, you may also need to make quarterly estimated tax payments and settle any shortfall in your end-of-year tax return.

Which LLC tax forms you file depends on how many owners your LLC has and how it’s taxed.

Form 5472 catches many single-member LLC owners off guard. A foreign-owned single-member LLC can’t file it electronically. It has to be faxed or mailed with the pro forma Form 1120 by the return’s due date (April 15 for a calendar year, or later with an extension), and the penalty for not filing is $25,000, according to the IRS.

To file Form 1120 and Form 5472, your LLC will need an EIN. To file Form 1040-NR, you’ll need an SSN or an Individual Taxpayer Identification Number (ITIN), which you can request with Form W-7.

An LLC owned by a nonresident alien can’t elect S corporation status, because nonresident aliens can’t be S corp shareholders.

LLCs formed in the U.S. also don’t file beneficial ownership information (BOI) reports. FinCEN’s March 2025 interim final rule exempts every company created in the U.S., including foreign-owned ones.

To maintain a U.S. LLC in good standing, you must also file an annual report with your state if it requires one and keep your registered agent. It’s also a good idea to review any tax treaties between the U.S. and your country of residence to ensure you remain compliant.

Can a non-US citizen work in their LLC?

You can own and manage a U.S. LLC from abroad without a visa. Working in the U.S., including working in your own business while you’re there, requires a visa or green card, and forming an LLC doesn’t give you either.

Gaining permission to live in the land of opportunity can be complicated, but it’s not impossible.

How to work in the U.S.

You’ll need a visa or green card to work in the United States, and both can be difficult to get.

However, a popular choice for foreign entrepreneurs is the E-2 visa, which you may qualify for if you’re a national of a country that has a treaty of commerce and navigation with the U.S.

The E-2 visa

The E-2 visa enables you, your spouse, and your unmarried children under 21 to live in the U.S. while you develop and direct your business. Your spouse can also work in the U.S.

You get an E-2 visa by investing substantial capital into a U.S. business, such as an LLC. There’s no set investment amount. USCIS looks at whether the investment is substantial compared with the total cost of the business, and the business can’t be marginal, meaning it must be able to do more than provide a minimal living for you and your family.

E-2 status is granted for up to 2 years at a time. You can apply for extensions of up to 2 years each, and there’s no limit on the number of extensions.

The green card

You can become a permanent resident and gain authorization to live and work in the U.S. by applying for a green card.

Common ways to get a green card include the following.

• Have a U.S. employer or family member, such as a U.S. citizen spouse, sponsor you
• Invest through the EB-5 immigrant investor program, which requires a large investment in a U.S. business that creates at least 10 full-time jobs
• Win a place in the Diversity Visa program (the green card lottery), if your country is eligible

Green cards are notoriously difficult and time-consuming to get, so speak with a U.S. immigration attorney before applying.

Where to register a U.S. LLC when you live abroad

You can register your LLC in any state, but some suit non-resident owners better than others because of lower taxes and maintenance fees. Nine states have no personal income tax, and Wyoming is one of them. Delaware does have an income tax, but it doesn’t tax an LLC’s income earned outside the state.

If you’ll have an office, employees or a warehouse in a particular state, forming there is often simpler, since an LLC formed elsewhere would also have to register in that state.

Delaware

Delaware is a popular choice because it doesn’t tax an LLC’s income earned outside the state. This makes it an obvious choice for many non-resident LLC owners.

It’s also a business-friendly location that suits entrepreneurs planning to expand by gaining venture capital from U.S. investors.

Other reasons to start an LLC in Delaware include the following.

• The filing fee for a limited liability company is $110
• The annual LLC tax is $400 a year (starting with the 2026 tax year, first due June 1, 2027), whereas California’s minimum franchise tax is $800
• You don’t need to file an annual report, which reduces your paperwork

The guide to forming a Delaware LLC as a non-US resident covers the state’s steps in detail.

Wyoming

Wyoming is the go-to state for many non-resident LLC owners, especially e-commerce business owners and those who wish to keep a low profile, because LLC members or managers don’t have to list their names on the public record.

It also has strong LLC asset protection and privacy laws.

Other reasons why starting a Wyoming LLC could be the right move for you include the following.

• You can file an LLC in Wyoming for $100, plus a card processing fee if you file online
• The annual report license tax starts at $60 a year
• Wyoming doesn’t charge income tax on people or businesses, so you’ll avoid state income tax

So, if you want to keep a low profile and avoid state income tax while doing business in the USA, Wyoming fits the bill. See how to form a Wyoming LLC as a non-US resident for the details.

Conclusion

In 1931, author James Truslow Adams coined the term “American dream,” describing it as “that dream of a land in which life should be better and richer and fuller for everyone, with opportunity for each according to ability or achievement.”

Fortunately, it no longer makes a difference who or where you are, because anyone can start an LLC as a non-US resident or non-citizen and build a business in the U.S. market. Living and working in the U.S. is a separate step that still requires a visa or green card.

Frequently asked questions