USA Company Formation: The World’s Most Dynamic Business Hub Main Characteristics and the basic rules of Company registration in USA
BRIS Group provides professional USA company formation services for entrepreneurs, investors, and international businesses seeking a strategic North American base. Establishing a US LLC (Limited Liability Company) or Corporation offers limited liability protection, favorable tax planning opportunities, and access to one of the world’s largest markets. Our team handles the entire USA company registration process remotely, including corporate banking support, compliance, and ongoing administration, ensuring your business operates efficiently and fully complies with US regulations.
Start your USA company with BRIS Group today — trusted experts in global incorporation.
A Comprehensive Guide for Non-Residents to Register a Company in USA
The United States of America remains the global leader in entrepreneurship, innovation, and corporate opportunity. Setting up a business in the USA opens access to the world’s largest consumer market, stable legal framework, and unmatched global credibility. Whether you are a local entrepreneur or an international investor, USA company formationprovides a strategic foundation for global expansion.
This comprehensive guide explores the benefits, legal structures, registration process, and corporate tax system for forming a company in the United States.
Why Choose the USA for Company Formation?
The USA’s business-friendly policies, strong economy, and transparent regulatory environment make it a preferred destination for global investors.
Key Benefits of USA Company Formation:
- Global Business Credibility: Enhance brand reputation with a U.S.-registered entity.
- Access to a Massive Market: Over 330 million consumers and the world’s strongest purchasing power.
- Flexible Legal Framework: Various business entity types to suit startups, SMEs, and corporations.
- Favorable Tax Jurisdictions: States like Delaware, Wyoming, and Nevada offer competitive corporate tax benefits.
- Stable Political and Economic Environment: Reliable infrastructure, rule of law, and secure banking system.
- Ease of Online Operations: Non-residents can register and manage U.S. companies remotely.
- Investor-Friendly Policies: Simplified corporate governance and access to venture capital.
Types of Companies in the USA for Non-Residents
Foreign entrepreneurs can choose from several business entity types depending on their goals and structure preferences.
| Entity Type | Description | Tax Treatment | Ideal For |
|---|---|---|---|
| LLC (Limited Liability Company) | Most popular for non-residents; offers liability protection and pass-through taxation. | Profits taxed at individual level (no corporate tax). | Startups, SMEs, consultants. |
| C Corporation (C-Corp) | Separate legal entity subject to corporate income tax; allows for unlimited shareholders. | 21% federal corporate tax + state taxes. | Large businesses, investors, tech firms. |
| S Corporation (S-Corp) | Pass-through entity for U.S. residents only (not available to non-residents). | Avoids double taxation. | U.S.-based entrepreneurs. |
| Branch Office | Extension of a foreign parent company; not a separate legal entity. | Taxed on U.S.-sourced income. | International corporations. |
| Representative Office | Non-commercial entity for research or liaison purposes. | Non-taxable if no income generated. | Market research, brand representation. |
Advantages and Considerations for Non-Residents
| Advantages | Considerations |
|---|---|
| 100% foreign ownership allowed | Some states require a registered agent within the U.S. |
| Low-cost incorporation options | Certain industries may require additional licenses |
| No minimum share capital requirement | Bank account opening can be complex for non-residents |
| Access to U.S. payment systems and investors | Federal and state tax filings required |
| Online business management | Annual reporting and compliance obligations |
Requirements for Company Registration in the USA
To establish a U.S. company, non-residents must meet several key requirements:
- Company Name: Must be unique and comply with state naming laws.
- Registered Agent: A local registered agent (individual or service) must be appointed in the state of incorporation.
- Company Address: A local business address within the state.
- Ownership Structure: Details of members (LLC) or shareholders (Corporation).
- Articles of Organization / Incorporation: Legal formation documents filed with the Secretary of State.
- EIN (Employer Identification Number): Issued by the IRS for tax purposes.
- Operating Agreement or Bylaws: Defines management structure and ownership rights.
- Business Licenses and Permits: Depending on the nature of business and state requirements.
- Corporate Bank Account: For operations and financial management.
Step-by-Step Procedure for USA Company Formation
Step 1 – Choose the State of Incorporation
Popular states include Delaware, Wyoming, Florida, and Nevada — known for low fees and business-friendly laws.
Step 2 – Select the Business Structure
Decide between an LLC, C-Corp, or other entity type based on tax and ownership preferences.
Step 3 – Reserve the Company Name
Check availability and reserve the name through the Secretary of State’s website.
Step 4 – File Formation Documents
Submit the Articles of Organization (LLC) or Articles of Incorporation (C-Corp) to the Secretary of State.
Step 5 – Obtain an EIN
Apply for an Employer Identification Number (EIN) from the IRS — essential for tax filing and banking.
Step 6 – Open a U.S. Bank Account
Open a corporate account for your business operations (may require in-person verification for non-residents).
Step 7 – Register for State and Federal Taxes
Register with federal (IRS) and state tax authorities as required.
Timeframe for USA Company Formation
| Stage | Description | Estimated Time |
|---|---|---|
| Document Preparation | Drafting and notarizing formation documents | 1–2 business days |
| State Registration | Filing with Secretary of State | 1–5 business days (depending on state) |
| EIN Application | IRS processing | 3–7 business days |
| Bank Account Opening | Verification and approval | 1–2 weeks (depending on bank) |
Total Estimated Time: 1–3 weeks depending on state and banking requirements.
Corporate Tax System in the USA
The U.S. corporate tax structure combines federal, state, and local tax obligations.
Corporate Tax Overview:
- Federal Corporate Income Tax: 21% (flat rate).
- State Corporate Tax: 0%–12% depending on state (e.g., 0% in Wyoming, South Dakota; 8.84% in California).
- Pass-Through Taxation (LLCs): Profits taxed only once at the owner’s personal rate.
- Dividend Tax: 15–20% (varies by shareholder type and tax treaty).
- Capital Gains Tax: 15–20% depending on holding period and income.
- Sales Tax: Varies by state (0%–10%).
- Payroll Taxes: Federal Social Security (6.2%) and Medicare (1.45%) for employers.
Tax Advantages for Non-Residents:
- No U.S. tax on foreign-sourced income.
- Potential 0% state tax depending on jurisdiction.
- Double taxation treaties with 60+ countries.
- Deductions for business expenses and depreciation.
Post-Incorporation Compliance
After forming a U.S. company, you must maintain compliance with both federal and state laws.
Key Obligations:
- File annual reports with the Secretary of State.
- Maintain an active registered agent.
- Submit federal and state tax returns annually.
- Renew business licenses as required.
- Keep accurate accounting and record-keeping.
- Hold annual meetings (for corporations).
How Our Professionals Can Help
Our team of experts simplifies the entire USA company formation process — from choosing the best state to handling tax registration and compliance.
Our Services Include:
- Consultation on entity and state selection
- Name search and company registration
- EIN application assistance (IRS)
- Registered agent and virtual office services
- Bank and payment account setup support
- State and federal tax registration
- Ongoing accounting and compliance management
- Legal, tax, and business advisory
Start Your USA Company Formation Today
With its unrivaled global reputation, large market, and flexible business environment, the United States is the ultimate destination for entrepreneurs and investors. Whether you’re launching a startup, tech company, or holding structure, forming a U.S. company offers scalability, credibility, and growth potential.
Contact us today to start your USA company formation and access the world’s most advanced and opportunity-rich economy.
Start Your USA Company Formation Today
Questions & Answers
1. What is corporation tax in the USA?
Corporation tax in the USA is a federal tax imposed on the profits of corporations. As of 2023, the federal corporate tax rate is 21%. However, state and local taxes may also apply, raising the effective tax rate for corporations. Notably, many deductions and credits can reduce taxable income.
2. How is income tax structured in the USA?
Income tax in the USA is progressive, meaning rates increase with higher income levels. Federal rates range from 10% to 37% for individuals as of 2023. Additionally, states may impose their own income taxes, which can vary significantly, from 0% to over 13%. Key deductions and credits can lower an individual’s taxable income.
3. Is there a VAT tax in the USA?
The USA does not implement a Value Added Tax (VAT) at the federal level. Instead, it has a sales tax system, which varies by state and locality. Sales tax generally applies to goods sold and can range from 0% to over 10%. Some states have exemptions for certain necessities like groceries.
4. What is the tax on dividends in the USA?
Dividends in the USA are taxed as either qualified or ordinary. Qualified dividends are taxed at reduced rates of 0%, 15%, or 20%, depending on the taxpayer’s income level. Ordinary dividends are taxed at the individual’s standard income tax rates. As of 2023, there are specific requirements for dividends to be classified as qualified.
5. What are other types of taxes in the USA?
In addition to corporation and income taxes, the USA has various other taxes, including capital gains tax, estate tax, gift tax, and payroll taxes (for Social Security and Medicare). Capital gains tax rates depend on holding periods, and payroll taxes are typically split between employer and employee contributions. Each tax has unique rules and rates applicable at federal and state levels.
Learn more: Visit our Full USA – FAQ page
or contact our tax and company formation team at[email protected]
What is the process for non-residents to form a company in the USA?
Non-residents can form a company in the USA by following a few key steps. First, they need to choose a business structure, such as an LLC or corporation. Next, they must select a state for registration, as each state has its own laws and requirements. Non-residents are also required to obtain a Registered Agent in the state of incorporation. Afterward, they need to file the necessary paperwork, including the Articles of Incorporation or Articles of Organization, and pay any associated fees. Finally, acquiring an Employer Identification Number (EIN) from the IRS is essential for tax purposes.
Do I need a visa to start a business in the USA?
No visa is required merely to start a business in the USA, but if you plan on conducting business activities in the country, you may need the appropriate visa. For instance, if you intend to manage your company personally, you might need an investor visa like the E-2 or L-1 visa. However, owning an entity does not mandate a visa; many non-residents own businesses without physically being present in the USA.
Can I open a business bank account as a non-resident?
Yes, non-residents can open a business bank account in the USA, but the process may vary depending on the bank’s policies. Typically, you will need to provide documentation such as your business registration paperwork, an EIN, and personal identification. Some banks may also require a physical presence, meaning you might need to visit the bank branch in person. It’s advisable to check with your chosen bank for their specific requirements.
What are the tax implications for non-residents owning a business in the USA?
Non-resident business owners may be subject to U.S. taxes on income generated within the country. The type of business entity affects tax liability. For example, an LLC is typically treated as a pass-through entity, meaning its income is taxed at the owner level. Additionally, non-resident business owners must file a U.S. tax return, and their businesses may also be liable for state taxes depending on where they operate.
Do I need to hire a lawyer for company formation in the USA?
While it is not legally required to hire a lawyer to form a company in the USA, it is highly advisable, especially for non-residents. A lawyer can help navigate the complexities of U.S. business laws, assist with document preparation, and ensure compliance with state and federal regulations. This guidance can be invaluable in preventing costly mistakes and ensuring a smooth incorporation process.
How long does it take to form a company in the USA for non-residents?
The time it takes to form a company in the USA can vary depending on the state and the specific business structure chosen. Typically, the process can take anywhere from a few days to several weeks. States with expedited services may allow for faster processing. Factors such as the completeness of submitted documents and whether additional information is required can also influence the timeline. Planning ahead and ensuring all paperwork is in order can speed up the process.
Learn more: Visit our Full USA – FAQ page
or contact our tax and company formation team at[email protected]
This publication is provided for information purposes only. This info should not be treated as a substitute for a tax or legal consultation or legislation. You should not act on the basis of the information contained in this publication without having obtained individual advice from the professional expert.
BRIS GROUP does not assume responsibility for any damage resulting from decisions made by the reader on the basis of this publication.
About USA
Country: USA
Capital: Washington
Continent: North America
Language: English
Currency: United States Dollar
Time Zones: GMT -5 in Washington DC
Dial Code: +1
Abbreviations: US, USA
Helping Your Company Thrive in USA With us, starting and running a business in USA will be easy and efficient!
- Full support of the company’s registration in USA: from the preparation of documents to their submission.
- Remote registration: all processes are online, wherever you are.
- Secretary and Treasurer: we can take on these important roles.
- Nominal directors and shareholders: we will ensure the confidentiality of your information.
- Help in opening a bank account: we will simplify this complex process.
- Registration for taxes, VAT and EORI: ensure all requirements are met.
- Website development: we will create a professional online representation for your business.
- Logo creation: we will design a unique and memorable logo for your brand.
- Full administrative support of the company: we will take over routine tasks.
- Mailing address organization: we provide a reliable mailing address for your business.
- Organization of the virtual office: we will ensure the professional image of your company.
- Telephone answering service: we will answer calls on behalf of your company.
- Accounting, audit and reporting: ensure accurate and timely accounting.
- Preparing and filing a VAT declaration: let’s save you the trouble.
- Interaction with local authorities: take over communication with state institutions.
- Trademark registration: protect your brand.
- More Emphasis on Customer Input.