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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…

AND HOW TO AVOID THEM!

© Copyright 2018 USA Corporate Services Inc.

ALL RIGHTS RESERVED. No part of this eBook may be copied or reproduced without
prior written permission of the copyright holders. Sharing is permitted in its entirety
using the sharing links at the bottom of each page.

DISCLAIMER/LEGAL NOTICES: USA CORPORATE SERVICES (USA C.S.) is an incorporation


service allowing individuals and business professionals to form legal business entities. For
the incorporation procedures and to complete the required state forms USA C.S. uses the
information as provided by its customers. USA C.S. is not a law firm and neither USA C.S.
nor anyone of its employees provide legal services or legal advice. No representations or
warranties, expressed or implied, are given regarding the legal or other consequences
resulting from the use of USA C.S.'s services or forms. The information contained in this
eBook should not serve as a substitute for legal advice.

USA C.S. and its employees disclaim any warranty beyond the limited warranty stated
above, whether express or implied, including the implied warranties of merchantability and
fitness for purpose. Under no circumstances will USA C.S., its advisors and employees be
liable or responsible for any damage or inconvenience caused or alleged to be caused by
the use of its services.

2nd edition

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
AND HOW TO AVOID THEM!

INTRODUCTION
Accessing the U.S. marketplace is the key to success for many businesses around the
world. The most effective way to reach this “land of opportunity” is with a U.S. company, to
take advantage of the world’s largest integrated market at the lowest tax rate.

With a U.S. company, it is easier to:

• Sell in the U.S. market, from a customs and tax point of view

• Access the capital markets in the U.S. for venture capital, angel investors and public
markets

• Enhance the reputation of your company, both to U.S. customers and overseas

• Get a visa to work in the U.S. (though acceptance is NOT guaranteed!)

• Reduce your tax on U.S. income in certain cases

Whether you are setting up operations in the U.S., selling into the all-consuming U.S.
market from the Internet, or gaining the prestige of owning a U.S. company to sell to the
world, there’s a company formation structure that will work for you. Your choices for
setting up and maintaining your new company have consequences. Make the wrong
choices, and you could find yourself losing control of your company, having your company
bank account arbitrarily closed without notice, or even permanently deported from the
USA. More common problems from bad choices include unnecessarily higher taxes, harsh
penalties, additional filing fees and of course, legal expenses.

You are wise to be doing research now, and learning about your options. In order to be
successful in business, you want to focus on developing your business model, but you also
need to be aware of what can go wrong and how to reduce your risks.

There is a lot of information on the Internet regarding the formation of companies in the
US. Very little of this information includes the perspective of a non-resident entrepreneur
or company coming to the US. This free guide will highlight the 7 biggest mistakes non-
residents make, and suggest how you can avoid them.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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ABOUT THE AUTHOR

John P. Gordon is the founder and president of USA Corporate


Services Inc., a New York City-based international company
formation consulting and management firm. He and his firm
have helped clients of all sizes from six continents set up and
manage over 35,000 US companies since 1983.

Besides running USA Corporate Services, he is currently on the


board of the EMBA-Global Alumni Club, past Chairman of the
Entrepreneurship and Venture Capital Committee as well as Board Member of the
Columbia Business School Alumni Club of New York, a decades-long member of the
International Fiscal Association, and participates in entrepreneurial events around the
world. He earned MBAs from Columbia Business School and London Business School
through the EMBA-Global program, and through various programs in both schools worked
as a consultant to entrepreneurs in Nicaragua and Malaysia and developed a global
network of resources.

He's a yoga-practicing, home beer brewing company founder, board member, husband,
father and someone who can go on for hours about history, politics, international relations
and other neat stuff.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
AND HOW TO AVOID THEM!

MISTAKE 1:
CHOOSING THE WRONG BUSINESS
The business entity you choose affects the taxes you pay, the amount of paperwork you
deal with, the employee benefits you can offer and more. In the U.S., there are two main
entity types- the limited liability company (LLC) and the business corporation. Both are
insulated from liability as long as you are compliant but differ as follows:

Limited Liability Companies Corporations


Taxes LLCs are fiscally transparent by Resident- and non-resident-
default, which can be a problem for owned corporations pay the
non-resident-owned companies. An same tax rate, although foreign-
LLC can choose to be taxed as a controlled corporations have to
corporation, but if they are planning file extra information on their tax
to do this could just form a returns
corporation instead. If the company
will not be used to do business in the
US, then an LLC is the better entity
type.
Tax The treatment of distributions from Tax treaties were usually
Treaty LLCs to foreign owners may be hazy, designed with corporations in
so be careful of doing business in the mind, so many foreign-owned US
US using an LLC companies are corporations.
Structure Members own the LLC, and control Shareholders are the owners. The
everything. The Members create an shareholders elect the directors,
Operating Agreement, which can be who govern the corporation and
as long or short as the Members set policies and goals, and review
want, and which sets out all the rules the activities and progress of the
of the company. The Members can company. Directors appoint the
appoint Managers to run the officers, who run the corporation
company on a day-to-day basis. If on a day-to-day basis. Only
there are many Members, appointing officers can bind the company
Managers is a wise thing in order to and sign contracts.
control the structure (and spending)
of the LLC.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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Limited Liability Companies Corporation


Liability Members are insulated if they are Shareholders completely insulated
not managing the company as well, from liability if the corporation
and follow proper procedure to stays in compliance
separate personal and business
matters
Business Flexible & complicated. Under the All US corporations have to file at
Entities default rules, an LLC with one least a federal tax return each
and Tax member does not exist for federal year. Many states also require an
Choices tax purposes, and an LLC with more annual tax return as well.
than one member is a partnership. If
it files an IRS form, an LLC can
become a corporation (S or C) for tax
purposes. Some states follow the
federal rules, and many do not.
Legal Basis LLC Law is based on partnership law Corporation law is several
while allowing the limitation of hundred years old. It’s based on
liability common to corporations. the belief that the assets of the
This means that the separation of corporation are legally separated
the owners from the company is less from the shareholders who own
complete: in many states if a the corporation. The shareholders
Member of an LLC leaves, dies, goes elect directors to represent their
bankrupt or is no longer in the interests, and otherwise give up
company, the company itself may responsibility over the company.
automatically dissolve unless the
remaining vote to continue the
company.
Owning The pass-through taxation benefit Although the limited liability
Real Estate combined with liability protection feature of a corporation is useful
make LLCs a particularly attractive when owning real estate, even
entity to own real estate. using an S corporation does not
make owning real estate through
a corporation attractive.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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Limited Liability Companies Corporation


Ownership Members own LLCs. Since LLCs are Shareholders own corporations
based on partnership law, the through their shares of stock.
owners are listed in the operating When the company is formed, the
agreement that runs the company. corporation tells the state
Many LLCs like to give out government how many shares of
Membership certificates to each stock it will be authorized to issue.
member, but this is generally not This is the absolute maximum that
required. Membership certificates can be sold to other people.
designate how much “Membership However, the corporation doesn’t
interest” each member has but this have to issue all those shares, and
is not as important as the operating if there is only one shareholder
agreement. Members can be divided that shareholder owns 100% of
up into different classes, each class the company whether one share
having different rights and was issued or 1,000. There can be
privileges. Members may also decide more than one “class” of shares,
not to have any Managers, and so that the owners can better
thereby run the company by divide up how profits will be
themselves. shared.
Transfer of It is can be more difficult to transfer Passing the shares of a
Ownership the ownership of an LLC, and the corporation is a matter of
operating agreement may prevent cancelling an existing share
transfer of ownership. certificate. If the corporation is
redeeming the shares then the
certificate is taken out of
circulation. If the shares were sold
to another person, then the
corporation cancels the share
certificate and issues a new
certificate to the new owner.
When not Don’t use an LLC when you need to Don’t use a corporation for
to use attract outside investment or plan to holding real estate. Don’t use a
go public in the future. Don’t use an corporation if you hate formalities.
LLC for starting an active trade or
business in the US when you are a
non-resident entrepreneur or
company, unless you love
international tax complexities.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
AND HOW TO AVOID THEM!

Many non-residents make the mistakes of following the advice for US residents
without paying particular attention to the unique circumstances of being a non-US
resident starting a US business.

Make sure you have fully evaluated your needs for ownership, funding over time, transfer
of ownership, paperwork and exit options before deciding on which business structure
works best for your personal situation.

Get advice from experts who understand your unique circumstances as non-residents face
additional hurdles to starting a US business.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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MISTAKE 2:
SELECTING THE WRONG STATE

It’s normally better and cheaper to incorporate in the state where you have a
physical presence. Otherwise, there are numerous challenges associated with operating
out of state. These include difficulties opening a business bank account, having to appoint
a registered agent, and fees for operating as a “foreign entity” in your own state.

There is a lot of confusing information about “preferred” states like Delaware and Nevada
over other states to incorporate in. Yes, Delaware has no inheritance tax on stock held by
non-residents of Delaware and shares of stock owned by non-resident aliens are not
subject to Delaware taxes. Nevada has no state corporate income, franchise or personal
income taxes. However, don’t believe the hype that somehow Delaware and Nevada are
tax havens within the US. Federal tax laws apply to US companies, regardless of what state
they are formed in.

For a new company looking to attract outside investment from angels, venture capitalists
and private equity, incorporating in Delaware is a great place to start. Many investors only
invest in Delaware C corporations so starting off with a Delaware corporation from the
beginning can save a lot of legal and accounting headaches later.

Even if you launch your startup as an LLC in Delaware, you can easily convert your LLC to a
C corp with one state filing and one IRS filing.

The biggest downside to incorporating in a different state is that your company will be
required to file for authority to do business in the state where the business is located, and
most likely will also have to purchase a Certificate of Goodstanding or Certified Copy of the
Articles of Incorporation (or Formation) from the Secretary of State where the company is
incorporated. These additional filing and documents fees make the use of an alternative
state substantially more expensive than incorporating at “home.”

If you are a foreign national who would like to start a business in the U.S., then you have
additional considerations about choosing a location, including business visas and
international tax.

Now that you know the main considerations of choosing a state of incorporation, you’re
ready to start thinking about whether it is worth considering another state, or saving
money and incorporating where you are doing business.
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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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MISTAKE 3:
NOT SPEAKING TO A U.S. BASED
ATTORNEY / ACCOUNTANT
Many non-residents mistakenly think they can “go it alone” without seeking advice from a
U.S. based lawyer or accountant. Granted, you don’t need to hire them to form an LLC or
corporation as online services can help you represent yourself when creating a business
entity. However, an online legal document filing service is not allowed to give you legal or
accounting advice regarding your situation.

There was a recent case when a couple of business partners wanted to set up a company
in the U.S. and filed through an online service. They received their incorporation
documents and operating agreement and went about selling their products and services.

Business was growing, sales were strong and within a few years the company was
generating over $5m a year in turnover. They were looking to raise a round of finance and
when the investors took a closer look at their documentation during a routine due
diligence check, they discovered that the company secretary, not the founders, was
the legal owner of the business!

This proved to be an expensive mistake as attorneys had to be hired to correct this


situation and the company lost their investor.

Each company is different and if you have a particularly complex partnership or financial
situation, you should seek the counsel of an attorney and/ or an accountant specific to your
situation.

It is best to work with an organization that has a team of recommended and experienced
advisors at hand. Setting up a company in the U.S. as a non-resident is simple when you
have the help of a team skilled in company formation, immigration, import-
export, international tax, real estate and supply chain.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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MISTAKE 4:
FAILING TO STAY COMPLIANT
Keeping your LLC or corporation compliant is essential, and continues long after you filed
your initial application. Even for US residents, if a plaintiff can show that you have not
maintained your LLC or corporation to the letter of the law, your corporate shield will be
pierced, putting your personal assets at risk. For a non-resident, compliance with the law is
absolutely essential to avoid visa, immigration and tax problems. To keep your corporation
or LLC in compliance, you need to:

 Keep your personal and business expenses separate (this is particularly important if
you’ve formed a corporation)
 Adhere to the ever-changing tax rules both domestically and internationally
 Purchase adequate business insurance such as business owner’s policy for general
business liability, inland marine policies for goods that are movable, automobile and
workers compensation insurance as required by law, and other business specific
insurances. If you company plans to go public or otherwise attract outside
investment, directors and officers insurance is highly recommended as well.
 Send in your Annual Statement/Annual Report on time, as required by your state of
incorporation
 File for foreign qualification if you’re operating in any state(s) other than your state
of incorporation
 Send in your Articles of Amendment for any key changes to your business
 Ensure you don’t engage in any form of fraud.

It is always worth completing all required initial documents and filings and keeping copies.

If you do not have the services of an accountant or attorney, it’s solely your responsibility
to know the rules, as the Internal Revenue Service (IRS) does not accept ignorance.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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MISTAKE 5:
FAILING TO UNDERSTAND
STATE AND FEDERAL TAXES
Unlike many other countries, corporate income tax is imposed in the U.S. at the Federal,
most states, and some local levels. The Federal income tax rate on corporate taxable
income is a flat 21%. State and local taxes and rules vary widely by jurisdiction. Like
individuals, corporations must file tax returns every year and they must make
quarterly estimated income, payroll and sales tax payments. LLCs with non-US
ownership, whether single-member or multi-member, are generally required to file a
federal return each year, whether or not there was income or whether any tax is due.

Corporations can create tax benefits under certain circumstances, but note that C
corporations may be subject to "double taxation" on profits. You should also consider
double taxation agreements between your home country and the U.S. and how this
impacts the tax on profits derived overseas. As this is specific to the country you live in, you
should ensure you work with an expert international tax accountant.

After income tax, the most bothersome tax a US business has to deal with is sales tax. This
is a state-level tax, but not every state has one, and the states that do them have different
rates and rules. Sales tax vaguely resembles a Value-Added Tax, but is only collected when
a sale is made to a consumer. The amount is usually a percentage based on the actual
selling price to the consumer. The tax is added to the price of certain goods and services,
paid by the consumer and remitted to the state on a regular basis.

State governments rely heavily on sales tax revenue, and are quite vicious in their
collection efforts. Getting caught taking their resident’s money and failing to turn it over to
the tax authorities is best to be avoided at all costs. The rules regarding sales tax are
unrelated to income tax, so a foreign-based business may find out that a sales tax is
due even though there is no income tax to pay. Be careful!

Once you are subject to a tax, you need to file regular tax returns even if none is due.
Failure to file a return by itself can cause legal problems. As a general rule, even if no tax is
due it is better to file a zero return than not to file: once you have filed your return, you
create a time limit for the tax authorities to question you about it (the Statute of
Limitations). If you do not file a return in a particular time period, then the clock never
starts and you can be questioned about it any time in the future.

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MISTAKE 6:
PAYING FOR “LOW-COST”

Of course, you want to get the most value for the least price. Your limited resources have
to be used as efficiently as possible. When it comes to setting up your new company in a
new country, there are two main levels of service you could pay for: low-cost execution-
only, or moderate-cost advisory service that values each client and takes the time to learn
about them. In the short term, the low-cost may look more attractive. Over the longer term,
the second choice should be more cost-effective.

With execution-only services, it is up to you to know the consequences of your


choices. When you set up, you tell them the exact type of company formation you are
looking for and that is what these incorporation sites provide you. They don’t spend any
time to learn what you are trying to achieve and have no need for the expense of extensive
staff training nor the overhead of time spent with you, they can charge less. This type of
service is great if you are absolutely sure of what you need, do not want any feedback
about your objectives and the consequences of your choices, and don’t want to get a
second opinion from experienced professionals.

Alternatively, maybe you are concerned about getting an introduction to how the US
system works. Maybe you would like to know how taxes, business laws, immigration laws
and other matters are impacted by your decisions, and would benefit from talking to an
experienced consultant. If so, it will pay to speak to an expert and get guidance tailored to
your situation. The best situation is to work with a team of experts who can
coordinate a strategy for you based on your particular needs. This kind of teamwork
can only work when the team leader takes the time to get to know you, your circumstances
and your business needs.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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MISTAKE 7:
HIRING YOURSELF

If you are planning to come to the US to start a business, you will need to have an
appropriate work visa. Otherwise, you can be the owner or manager of a company that you
cannot legally work for. If you do work for your own company without the proper visa,
you can be deported without right of return, and your company can be fined for
hiring an illegal alien.

However, there are a number of visa options for non-residents who have set up a
company, the most common being E-1, E-2 and L-1 visas:

E-1 Treaty trader visa


- Good for setting up a business that will trade with the visa-holder’s home country
- Must be with a country with an appropriate treaty with the US Temporary
- Can be renewed until the business is no longer in operation
- Is only valid as long as there is a business.
- Children under 21 cannot work and lose their status once they turn 21

E-2 Treaty investor visa


- Allows a citizen of a treaty country to come to the US to start a business
- Temporary, can be renewed until business is no longer in operation
- Is only valid as long as there is a business
- Children under 21 cannot work, and lose their status once they turn 21

L-1 Intercompany transfer visa


- Allows holder to transfer from foreign company to a US company subject to
restrictions
- Initial one year, with up to 3 extensions
- Employee must have worked for a foreign, related company for more than one year
in the last 3 years

Speak to an immigration lawyer about your personal situation.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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BONUS MISTAKE 1:
FAILING TO UNDERSTAND BANK
OPENING REQUIREMENTS

Opening a bank account for your new US company is very difficult. If such an account gets
opened, it must be handled carefully or it will get closed by the bank on short notice,
possibly without any explanation. Any account whose signers are not US residents are
automatically flagged as high risk and subject to higher levels of supervision.

The USA-PATRIOT Act, which authorized wiretapping the entire Internet and required
librarians to monitor the reading habits of library users, also required banks to set up
Customer Identification Programs. Each bank was left to decide what exact steps to take,
but the programs had to be approved by the US Treasury Dept and the banks' boards of
directors. The specific section of the law is Section 326, in case someone wants to look into
this further.

Many, if not most, banks will not open accounts for non-residents at all. Some banks will
open accounts at a branch, but as part of their due diligence and CIP require the presence
of all signers. When they meet, the bank rep will interview them on their purpose for the
account, anticipated transactions and otherwise try to get a feel for the trustworthiness of
the client.

A bank rep can get fired on the spot for failure to follow the proper procedures before an
account is opened. Banks also follow up afterwards to see if the signer has a suspicious
background, and can close the account without explanation. This has happened to several
companies that refused to pay for our bank intro service and just went to the branch on
their own. A rep would open the account but later the bank would close the account
without explanation. Then, of course, these customers would come back to us and
complain about why the bank treated them so badly and demand that we help them for
free.

Many prospective customers come to my firm with an assumption that opening a bank
account is a right. When told that a personal appearance at a bank branch in the US is
mandatory, they get upset. It comes as a huge, unpleasant surprise that there is absolutely
no obligation for a bank to open an account just because someone set up a company.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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The bank's point of view is the opposite: they might make some income from a new SME
account, but they will be fined heavily by the government if they carelessly open an account
for money launderer. Therefore, they have little incentive to open an account for an
unknown (and difficult to identify) new customer from overseas.

There is no requirement to have a US bank account for your US company, as there are no
restrictions on a US company having a non-US bank account. The catch is that the US
company will have to file a Foreign Bank Account Report (FBAR) to the US government each
year.

The US has few restrictions on where a company's bank accounts can be opened, but if one
or more bank or financial account is opened outside the US, and their aggregate amounts
exceed USD $10,000 at any point during a calendar year, all the non-US accounts must be
reported to the US Treasury by the following 30 June.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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BONUS MISTAKE 2:
NOT INCORPORATING AT ALL
The top mistake a business owner can make is never forming an LLC or corporation
in the first place. This puts key personal assets (savings, retirement fund, property, etc.) at
risk.

When an owner does incorporate a business, they are protected from personal liability for
company debts and obligations because the corporation has its own separate existence
wholly apart from those who run it. In addition, setting up a company is attractive because
it has unlimited life and the ownership can be transferred.

Unlike proprietorships and partnerships, the life of the corporation is not dependent on
the life of a particular individual or individuals. It can continue indefinitely until it is sold, it
merges with another business, or it goes bankrupt.

The ownership interest in a business can be readily sold, transferred, or given away to a
family member. With corporations, the individual owners' rights and privileges are
represented by the shares of stock they hold. The key to a quick and efficient transfer of
ownership can be as simple as endorsing and signing over any shares that are sold.

By having a correctly formed legal structure in place, you can better protect your assets,
minimize your liability, lower your expenses and enjoy the fruits of your business for years
to come.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
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SUMMARY

As a non-resident, setting up a U.S. company can be a daunting


and arduous process, requiring hours of research and reading to
ensure you are not one of the thousands that make one of the
many mistakes outlined above.

If you do decide to incorporate in the U.S., you’ll be joining the many entrepreneurs
investing in the U.S. economy, hiring talented people, driving innovation and inspiring
change. It’s something to admire and we wish you the best of luck with your business
endeavor!

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ABOUT USA CORPORATE SERVICES

For over 30 years, New York based USA Corporate Services has guided non-residents in
U.S. company formations. We pride ourselves on our fast, cost-effective and convenient
services, utilizing our extensive network of experts to get the job done right.

We work with leading immigration lawyers and accountants who are experienced in
helping overseas residents for all matters relating to working in the U.S. and tax.

We also provide complementary after sales services such as business insurance, company
secretary services and mail forwarding to ensure you file your paperwork in a timely and
compliant manner. Pricing is both affordable and transparent.

To discuss your situation in depth and to get the right guidance, schedule your free
consultation today.

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CUSTOMER STORIES

“Coming from the UK, I was looking to set up my first company in the US and first
thought I would do it myself online to minimize my initial expenses. However, I
soon realized how complex the process was and how the responsibility of setting “We set up in the U.S. as there was
it up correctly rested squarely on my shoulders. The last thing I wanted to deal a bigger opportunity in terms of
with was any problems with the Internal Revenue Service (IRS)! network, ability to do various
projects and most of all, access to
So I searched for a reputable incorporation company and came across USA
financing. USA Corporate Services
Corporate Services. After discussing my situation with them that day, I was
helped greatly. I could concentrate
guided through the LLC formation steps and was incorporated the next day.
on other things, instead of
They ensure I stay on top of federal and state filing requirements and their worrying about the nitty gritty of
midtown New York office is conveniently located for meetings. documentations.”

Fast and excellent service - highly recommended!”


Jermyn Ibanez,
Di-Ves Products Corp

Goutham Bhadri, Marketing Samurai LLC

“I started the robot company, GT-robots, and decided to move away from Germany because the standards of the country are
falling apart. As an entrepreneur I'm far more protected in the U.S. than in Germany. Another challenge in Germany is the
TÜV. I need a special certification in Germany to sell tech products. This is not required in the USA.!

The USA Corporate team helped me gather the people I needed - I couldn't do it alone. I was pointed to the right
lawyers and also to the guys of master plan, who did the market research and the business analytics.

The incorporation was actually very simple and didn't take much time.”

Matthias Kaestner, GT-Robots Inc.

“Although we are commercially active in the EU, we had no business contacts in US and no experience establishing a company
there. USA Corporate made all the "boring admin stuff” very quick, easy and trouble free. Everything went smoothly even
without necessity of personal visit to U.S. Communication and responses to our questions were quick and understandable.
On top of that, they were very clear and honest when presenting price for their services. No hidden or side-costs
unpleasant surprises. I consider final price for services provided very reasonable. Can only recommend!”

Rudolf Priecinsky, RUDY3 Publishing LLC


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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
AND HOW TO AVOID THEM!

CUSTOMER STORIES (CONTINUED)

“The time and cost of travelling from the UK to the US to serve our “We set up the U.S company as an enabler to
US-based clients was really inefficient, and the lack of a US help build a local network and presence to serve
presence seemed like a missed opportunity to grow the customers better.
business here. The US is so different from the UK, we really didn’t
know where to start. USA Corporate offered an efficient, professional
and hassle-free incorporation service. But more
Setting up the company was something we needed to do quickly,
important, they offered us continuous
so USA Corporate was great at helping us identify the
guidance, year after year, to keep our
important decisions to make – like whether to set up in
company compliant with US regulations on
Delaware as many opt to, or in Massachusetts where we’re based
corporate matters. With US Corp. Services Inc.
(we chose MA) – and then set up the company for us after a few
watching our back, we could focus on the
simple questions, so that we could start functioning and doing
business of building our company.”
everything we’re actually good at.”

Richard Goring, BrightCarbon Vijay Atawane, Arista Excellence Inc.

“We wanted to expand our business and the US is the land of opportunity for this. We needed to comply with the Rules &
Regulations and USA Corporate helped us incorporate with expert helping hands from their team – They knew what we needed
to comply and they always remind us when the due dates are for filing documents as required by the government.”

Nattakorn Sripruk, Anything Can Do Inc.

“The majority of our clients are from USA and to expand our client base, we wanted to set up an office to make it easier for
prospective clients to deal with us. Hence, we decided to register our company in USA with a virtual address to start with.

We were completely unaware of how businesses are registered in the USA and what compliances we have to follow. We found
several agencies but were skeptical about going ahead with most of them. Out of all, we found USA Corporate the most
professional and thorough in their approach. Jeff Jackson was very patient and was always ready to answer all our queries
over email and on calls. When we finally decided to go ahead with the registration process from USA Corporate, we were
guided for all document requirements, procedures, pricing, necessary compliances.

Overall, I can say that USA Corporate helped us solve a very complex problem by making the whole process very simple and
easy to understand for us. All the registration work was done in a timely manner and they delivered everything as promised.
We are very happy that we chose USA Corporate for our USA company registration. So far it has been the best decision for us!”

Mouneet Mehta, Koru UX Design Inc.

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7 BIGGEST MISTAKES NON-RESIDENTS MAKE WHEN SETTING UP A US COMPANY…
AND HOW TO AVOID THEM!

NEXT STEPS…

If you’re considering setting up a U.S. company in the next 3 months, take a look at this
chart to better understand how the process works:

- Incorporation Steps
Step 1. Learn Your - Types of Business Entities
Incorporation Options: - Where to Set Up

Step 2. Schedule Your Free Incorporation


Expert Consultation: Consultation

Step 3. Incorporate Company


Your Company: Incorporation

- Virtual Office
Step 4. Add Additional
- Registered Agent
Services:
- Company Secretary

- Business Visas
Step 5. Start Trading
- BE-13 Survey
and Look Ahead…
- Good Standing

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