Blog

How to start an agency in the US

Written by Ariel | Mar 7, 2024 9:19:07 PM

Legal

Many people are attracted by the creation of an agency in the United States because its procedures for the realization are simpler and shorter, there is no VAT and you have to pay a "corporate tax" of around 7%. 

In addition, it is also possible to reach many more people because there are more than 300 million inhabitants. In addition, states such as Nevada or Delaware offer great privacy in terms of finances and company properties. Florida is also a good option because of its low taxes. Even if you want to do business on the Internet, charging PayPal or eBay is not a bad idea to have a company and an account in the United States. 

Any non-resident of the United States can create a company there without even needing to go to the U.S., although it is better to get advice for greater efficiency in the creation of the agency. It is not necessary to be a US citizen or resident in the United States, it is enough to have a presence in the United States, which can be a location in the state where the company is started by a registered agent who receives the correspondence in the name of the person who creates the company. 

CREATE YOUR LLC IN THE UNITED STATES

Start a global business by forming an LLC in the USA. You will receive the digital documentation quickly and your company will be ready to start legal activity in the country.

MULTIPLE ADVANTAGES OF THE AMERICAN MARKET

Protects your personal assets

As a limited liability company, an LLC will prevent exposure of your personal assets to potential problems arising from your business, such as lawsuits or bankruptcy.

Optimizes tax payments

As Pass-through Taxation entities, you will have to file your personal tax returns, which has significant advantages:

No US tax returns for non-resident aliens other than ETBUS.

Tax-free in countries with a territorial tax system.

No accounting reporting requirements.

Access to marketplaces and payment gateways.

Registering an LLC in the USA will allow you to expand your markets and possibilities by giving you access to platforms such as Amazon or Stripe that have restrictions for residents of certain countries.

Open a U.S. business bank account

Having an LLC gives you the opportunity to obtain a business account in the US banking system, making it easier for you to receive payments and access cheaper financing for your business.

To create a bank account (with either mercury.com or a local bank if you are a US citizen) and operate in the USA it is necessary to have an employment identification number or EIN, which can take from 3 days to 3 weeks, in addition to having a copy of your passport, ID and bank reference (from the country of origin). 

ITIN NUMBER or TAX ID

The Individual Taxpayer Identification Number, also known as ITIN NUMBER or TAX ID, is a nine-digit federal income tax processing number. ITINs are issued regardless of immigration status, as both resident aliens and nonresident aliens may have a U.S. income tax requirement.

ITINs are for federal tax reporting only, do not authorize work in the United States, do not provide legibility for retirement benefits, and do not qualify dependents for income tax credit purposes.

To apply for an ITIN, you will first need a passport valid for at least 9 months, a U.S.-issued visa and passport stamp that is valid for at least 6 months, a completed and attached W Form 7 (requires an individual IRS taxpayer identification number - ITIN) with a valid income tax.

You may apply for an ITIN at any time during the year, however, if the tax return you filed on W7 is filed after the due date, you will incur interest and penalties if you qualify for ITIN and the application is complete. You will receive a letter from the IRS distributing your ID within 7 weeks.

Where to get ITIN application help?

Call the toll-free SOS number 1-800-829-1040 for information, complete the w7 form, your tax return, or check the status of your claim 6 weeks after sending in the forms.

EIN

The Employer Identification Number (EIN) is a social security number for your agency. The EIN is a number issued by the IRS and can differentiate businesses from one another.

Most banks require you to have an EIN before they will allow you to open a business bank account. A separate bank account for your business is something you will want, it makes it easier to keep track of what is and isn't a business expense, and it allows your business to get credit and qualify for more loans.

Getting an EIN early on allows you to be even more progressive if you have employees, it gives you more credibility and enables the separation of people from the business.

Applying for an EIN is easy and free, which you can do at www.irs.gov in 5 minutes, from 7 a.m. to 10 p.m., U.S. Standard Time.

The steps to create an agency in the United States are:

  • Create a business plan to see if it is viable and profitable to take the business forward.

  • Choose the location where you want to have the business, taking into account the paperwork, taxes and having a local agent to collaborate with. To move forward, you must apply for registration in a state and hire a registered agent with a valid address in the state.

  • Choose whether you want to create a partnership, sole proprietorship, corporation or limited liability company, taking into account the differences between each of them.

  • After that you must file articles of incorporation or articles of organization with the state, naming the registered agent in the state to receive legal and government correspondence on behalf of the company.

  • A tax identification number must be obtained for the business, it may be good to have help from a lawyer.

  • Register the business with local and state tax departments, making sure that all taxes are paid. It may also be important to have a professional to make sure you are up to date on your tax obligations.

  • Create all necessary licenses and permits, for which it may be important to have the help of an attorney.