Recently, I have seen a lot of bosses want to register a U.S. company to do cross-border, but the selection of the state crazy stepped on the mine 💣! Some were high taxes pit tens of thousands of dollars, some due to address restrictions can not open the account ... Today, the enterprise financial surplus editorial hand to teach you how to choose the U.S. company registration state! 2000 words of dry goods + pit avoidance guide, read directly after copying homework 👇!
❌Blindly following the trend of choosing "Netflix states"
Delaware is nice, but there are annual filing fees + franchise taxes for not operating locally! Double the cost for small companies!
❌ Ignoring privacy protections
Some states mandate the disclosure of shareholder information (New York, for example), and competitors will know what you're up against as soon as they look it up!
❌ Fooled by "Zero Tax"
Washington State is income tax free but collects sales tax! You have to pay 6.5w in taxes on annual revenue of 100w $!
When Chinese entrepreneurs plan to incorporate a company in the United States, it is crucial to choose the right state because the advantages, policies, and taxes vary significantly from state to state.
If you also want to register U.S. companies, welcome to sweep the code to add our online customer service (WeChat: jxhqcy890 / cell phone: 16625410105), to arrange for the manager to answer questions, provide professional advice and full one-on-one service!
Colorado
Tax Benefits:Colorado.Corporate income tax at a flat rate of 4.63%, which is at the lower end of the scale in the United States.
No exchange controls:There is no foreign exchange control in Colorado, so funds are free to come in and out of the state, which facilitates cross-border operations. It is also possible to apply for a letter of credit in the name of a Colorado company, which facilitates the ordering of goods worldwide and enhances the advantages of global sourcing.
No EIN is required for annual audits:If the registration is only a shell company, do not intend to open an account on the ground business, you can not apply for the EIN federal tax ID number, the subsequent company only need to carry out an annual inspection each year.
Cheap registration fees:Colorado corporations are arguably the least expensive of the fifty states in the U.S. to incorporate!
Wyoming, US state
Tax Benefits:Wyoming, US stateNo income tax on enterprises or personal income tax, which offers significant financial advantages for businesses. The state also has relatively low state sales and real estate taxes, helping to reduce the cost of operating a business.Privacy: WyomingAllow shareholders and managers to opt out of disclosure of information, which is very attractive to entrepreneurs who want to remain anonymous.
Cost-effectiveness:When it comes to incorporation and subsequent maintenance, Wyoming is relatively inexpensive, with no state corporate income tax to pay and fewer annual fees required. The state's cost of living and office costs are generally lower than the rest of the United States, helping businesses save money and operate more efficiently.
If you also want to register U.S. companies, welcome to sweep the code to add our online customer service (WeChat: jxhqcy890 / cell phone: 16625410105), to arrange for the manager to answer questions, provide professional advice and full one-on-one service!
Delaware, US state
High level of international recognition:According to statistics, more than 50% of the world's top 500 companies have offices or subsidiaries in Delaware, and one-third of the companies listed on the New York Stock Exchange are incorporated in Delaware, making it the "Capital of the World's Corporations".
Tax Benefits:Delaware does not tax companies that operate outside the state, meaning that if the business is primarily out of state, it can save a significant amount of tax. No state and local sales tax, providing a legal way to help businesses reduce their income tax burden. No corporate tax on interest or other investment earnings of Delaware holding companies.
Excellent legal environment:Delaware has a well-developed system of corporate law, with courts that are sophisticated in interpreting corporate law to efficiently resolve legal disputes and protect business assets and privacy.Privacy:Delaware's privacy protections are very stringent, and company registration information is not made public, effectively protecting the business secrets and personal privacy of companiesCalifornian
Great location:It is home to famous companies such as Apple and Google, and has a strong innovative atmosphere, suitable for Internet/IT/electronic product company registration.
Tax Benefits:A corporate income tax rate of 8.84% applies to gross receipts. R&D tax credit, partial exemption from sales and use tax on manufacturing and R&D equipment.
Registered capital:No capital verification is required, and funds do not need to be physically present, with a minimum registered capital of $50,000 USD.
If you also want to register U.S. companies, welcome to sweep the code to add our online customer service (WeChat: jxhqcy890 / cell phone: 16625410105), to arrange for the manager to answer questions, provide professional advice and full one-on-one service!
Washington, US State
High visibility:There is no doubt about the popularity of Washington State, a good business environment, many of the world's top 500 companies settled here, including the famous Boeing, Microsoft, etc., agriculture and forestry is very developed, manufacturing and high-tech industry is also an important industry in Washington State.Suitable for manufacturing, high technology, international trade, etc.
Geographical advantages:Washington State has one of the largest container ports in the United States and the closest large container port to the Far East in the U.S. The state's routes, highways, and railroads are very well developed, and commodities can be shipped to all parts of the United States in a variety of ways.It is one of the busiest international trade centers in the U.S., with exports to all parts of the globe totaling $81.9 billion annually, and total trade with China in particular has grown by 2,301 TP3T since 2004.
Tax Advantage:Washington does not tax corporate and individual business income, i.e., there is no income tax. Regardless of a corporation's rate of return or personal property status, theAll are subject to sales tax on gross receipts.Washington's sales tax rate of 6.51 TP3T is moderate and relatively low in the nation.New York state
Great location:China is New York State's number one export market, exporting $12.4 billion in products and services to China in 2017 alone. Having the largest port in the United States, the Port of New York.Suitable for foreign trade industry company registrationThe
Frequency of annual reviews:Annual corporate audits in New York State are less frequent, occurring every two years, which is more convenient compared to other states.
Tax exemption policy:If the company does not operate locally in the U.S. and does not trade with any U.S. companies, it is exempt from U.S. taxes, but is still required to file annual tax returns.
limitation::Relatively strict company namesThe number of registered shares is a requirement and is suitable for field operations.
If you also want to register U.S. companies, welcome to sweep the code to add our online customer service (WeChat: jxhqcy890 / cell phone: 16625410105), to arrange for the manager to answer questions, provide professional advice and full one-on-one service!
Nevada, US state
Tax Benefits:Nevada does not have a personal income tax or a corporate tax.If the company does not do business in the U.S., it is not subject to federal income taxTheThe state's policy allows companies to be exempt from federal income tax if they are not doing business in the U.S. This is a significant advantage for companies that avoid operating within the U.S.
Privacy:Nevada and the IRS do not exchange corporate dataThis facilitates companies that need to protect their privacy. This privacy protection is particularly important for certain industries, especially those businesses that deal with sensitive information.
The law of responsibility:Nevada law has more liberal limitations on director and management liability, allowing companies to exempt directors and management from personal liability for breach of the duty of loyalty through specific charter provisions. This is an attraction for companies looking to reduce management's liability.state of Texas
Tax Advantage:state of TexasNo state corporate income tax.
Ease of Listing:The greater protection of corporate information in Texas, coupled with the relative maturity and sophistication of the U.S. capital markets, makes the process of listing in the U.S. relatively streamlined for companies in the state, which may face fewer administrative hurdles and a shorter time to market than a listing in China.
If you also want to register U.S. companies, welcome to sweep the code to add our online customer service (WeChat: jxhqcy890 / cell phone: 16625410105), to arrange for the manager to answer questions, provide professional advice and full one-on-one service!
1. Determine the type of company:
The common types are the Limited Liability Company (LLC) and the Incorporated Company (Inc. or Corporation); the LLC is for small to medium-sized businesses and is relatively simple to tax, while the Incorporated Company is for companies that plan to go public or need more shareholders.
2. Select the company name:
The name of the U.S. company must be in English, need to ensure that the name is unique in the state, shall not be similar to the name of the registered company, and in line with the U.S. naming standards. The name must be followed by the corresponding logo, such as the registration of LLC, the name must be followed by "Limited Liability Company" or "LLC"; registered limited liability company, the name must be followed by "Inc.", "Corporation", "Incorporated", "Corp. " etc.
3. Determine the state of incorporation and registered address:
Laws, tax policies and business environments vary from state to state. In general, Delaware, Nevada and California are among the more popular places to register. The registered address can be either a physical office address or a registered agent service address.
4. Prepare shareholder and director information:
Provide information on at least one director and one shareholder and the percentage of share distribution, including name, address, nationality, etc. One person can take up two positions, provided that he/she has no bad record.
5. Prepare registration documents:
This usually includes Articles of Incorporation, Application for Incorporation, Shareholders' Agreement, Board of Directors' Resolutions, etc. Depending on the type of company and state requirements, other documents may be required, such as identification documents, passports, etc.
6. Submit the application and pay the fee:
Submit the prepared paperwork to the appropriate agency, such as the state department of commerce or a registered agent, and pay the appropriate registration fees. Registration fees typically range from hundreds to thousands of dollars and vary from state to state.
7. Waiting for approval and registration:
Approval time depends on the state and the specific situation, usually takes 7 - 14 working days, individual states expedited processing 1 working day to register successfully.
8. Receive the certificate of registration and other documents:
Upon successful registration, receive a full set of documents such as the company's Certificate of Incorporation, Articles of Association, Minutes of Meetings, Share Certificates, Share Ledger, Proxy Certification Letter, Company Secretary's Card, and so on.
9. Apply for a federal tax identification number (EIN):
After incorporating, you will need to apply to the IRS for a Federal Employee Identification Number, which is similar to a company's social security number and is vital for opening bank accounts, hiring employees, etc.
If you also want to register U.S. companies, welcome to sweep the code to add our online customer service (WeChat: jxhqcy890 / cell phone: 16625410105), to arrange for the manager to answer questions, provide professional advice and full one-on-one service!
