Introduction:
The United States is a dream market for many Indian entrepreneurs. With its large consumer base, access to capital, and globally respected business ecosystem, the U.S. is one of the best places to launch a new venture. But setting up a business in the U.S. as a non-resident involves understanding the legal, financial, and operational procedures.
This step-by-step guide simplifies the process for Indian entrepreneurs planning to establish their business presence in the U.S.
Step 1: Choose the Right Business Structure
The first and most important step is to choose the legal structure of your business. The most common options for non-residents are:
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LLC (Limited Liability Company) – Popular due to flexibility and liability protection
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C-Corporation – Suitable for businesses that plan to raise venture capital or scale quickly
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S-Corporation – Not available for non-resident aliens
➡️ Tip: Most Indian entrepreneurs start with an LLC or a C-Corp in Delaware or Wyoming due to their business-friendly laws.
✅ Step 2: Select a State and Register Your Company
Choose the U.S. state where you want to incorporate your business. Delaware is the most preferred due to simple compliance laws, but you can also consider Nevada, Texas, or Florida.
To register your company:
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Choose a unique business name
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Appoint a Registered Agent (mandatory)
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File the Articles of Organization (LLC) or Articles of Incorporation (C-Corp)
You can do this online through the state government’s business portal or hire a company formation agent.
✅ Step 3: Get an EIN (Employer Identification Number)
The EIN is like a PAN card for your U.S. company. It’s required for opening a U.S. bank account, filing taxes, and hiring employees.
You can apply for an EIN:
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Online (if you have an SSN or ITIN)
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By Fax or Mail using Form SS-4 (if you’re a non-resident without SSN)
➡️ Tip: You don’t need to be physically present in the U.S. to get an EIN.
✅ Step 4: Open a U.S. Business Bank Account
Opening a U.S. business bank account is crucial for managing your finances, especially if you sell products or services to U.S. clients.
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Many banks like Mercury, Wise (formerly TransferWise), or Payoneer offer business banking for international founders.
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Some banks may require you to be physically present for identity verification.
➡️ Tip: Use a virtual address or mailbox service to receive bank correspondence.
✅ Step 5: Understand U.S. Tax & Compliance Requirements
Even as a non-resident, your U.S. business must follow the country’s tax laws.
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Federal Tax – Paid to the IRS
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State Tax – Depending on the state of registration
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Annual Reports – Required by most states
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Form 5472 – Mandatory for foreign-owned single-member LLCs
➡️ Tip: Work with a U.S.-based CPA or tax advisor who understands international taxation.
✅ Step 6: Set Up a Virtual Address & Communication Tools
Since you may not have a physical presence in the U.S., set up:
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A virtual U.S. business address (e.g., via Regus, iPostal1, or Anytime Mailbox)
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A U.S. phone number (e.g., via Google Voice, Grasshopper, or Skype)
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Zoom or Calendly for client meetings and demos
✅ Step 7: Build a U.S.-Friendly Online Presence
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Create a professional .com website
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Mention your U.S. address and phone number
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Set up U.S. timezone availability for meetings
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Add trust signals (SSL, privacy policy, terms of service, testimonials)
✅ Step 8: Begin Business Operations & Marketing
Once the legal and banking setup is complete, start operating your business:
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Hire freelancers or virtual staff
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Run digital ads targeting the U.S. market
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Register with U.S. directories or B2B platforms
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Use CRM and accounting tools suited for U.S. standards