Can a foreigner start a US company?
Yes. US law doesn't require company owners to be US citizens or residents, so a founder from almost any country can start a US company and own 100% of it. You don't need a visa, a US address or a US partner. The one legal requirement is a registered agent — a person or company with a physical address in your formation state who receives official mail on your behalf. Residents of OFAC-sanctioned countries face restrictions and should speak to us first.
Choosing between a US LLC and a C-Corp
For most non-residents, a US LLC (limited liability company) is the simplest and most tax-efficient choice. It protects your personal assets, needs very little paperwork, and a foreign-owned single-member LLC with no US trade or business is generally treated as a "disregarded entity" for US federal income tax.
A C-Corporation pays 21% federal corporate tax, but it's the structure US investors expect. If you plan to raise venture capital or join an accelerator, a Delaware C-Corp is almost always required.
Choosing the best state for your US company
You can form your company in any state, regardless of where your customers are. For online businesses run from abroad, the most popular choices are:
- Wyoming LLC — no state income tax, strong privacy and a $60 minimum yearly fee
- New Mexico LLC — no annual report and the lowest lifetime cost
- Delaware LLC or C-Corp — the standard for startups and investors
- Texas or Florida LLC — for staffing, trade and businesses with real US operations
If your business will have an office, employees or inventory in a particular state, forming there directly usually saves you registering twice. The state finder at the top of this page gives a quick recommendation.
How much does USA company registration cost?
There are two parts: the state filing fee, set by the state (from about $40 to $500), and the service fee. With Koshika, Standard USA company registration is $299 plus the state fee and includes your registered agent for the first year, operating agreement and EIN application. After Year 1, budget for your state's yearly fee, registered agent renewal and your yearly IRS filing.
Getting an EIN without an SSN
An EIN (Employer Identification Number) is your company's US tax ID. You need it to open a bank account, use payment processors and file taxes. Non-residents without an SSN can't apply online, so the application goes to the IRS by fax or mail — which is where mistakes and delays often happen. Our IRS-credentialed team handles it for you in every package. An ITIN is different: it's a personal tax number, and most LLC owners don't need one.
Opening a US bank account as a non-resident
Traditional US banks usually want you to visit a branch, but several fintech banking platforms onboard non-resident companies fully online. You'll typically need your formation documents, EIN, operating agreement, passport and a clear description of your business. Approval is never automatic, which is why Premium includes expert-assisted applications with a 90%+ approval rate.
Keeping your US company compliant
After your US company formation, three things keep you in good standing: renewing your registered agent, filing your state's annual report (where required), and filing Form 5472 with a pro-forma 1120 with the IRS every year — even if the company earned nothing. Missing Form 5472 carries penalties starting at $25,000, so we add every deadline to your compliance calendar and file on your behalf.