How to Easily Start a Company in the USA as a Foreigner
So you’ve decided to bite the bullet and head to the US of A. Maybe you have been wanting to move for a while, perhaps this is a new idea, and you’re keen to make a business dream come true, or it could be that you want to move near family or friends. Whatever your reasons, starting a business in another country is no easy venture. So what do you need to consider?
What type of business
A good start is to research what types of businesses generate the most revenue in the USA. If money is your motivating force, then understanding the economic culture will be your priority. Here are a few industries that drive the economy:
- Medical insurance
- Real estate
- Selling cars
Medical insurance is a multi-million dollar industry in America, as there is no national health service, like many countries in Europe.
If you already have a secure knowledge of medical insurance then you can skip the research and dive straight in. The first priority is to write a business plan. That way you have a clear trajectory to follow. This is also important if you are thinking of approaching outside bodies for any sort of funding. They will require a very clear document before they invest any precious funds. According to the experts, you will need to affiliate your company with an “insurance carrier.” These are the people that will underwrite your company, and provide the payouts for claims.
Another vital step is to get a license. The rules and laws governing running a business change in different states so be sure to check these. You will need to obtain your license from The National Association of Insurance Commissioners. You have to sit an exam, which is costly and takes time, so be sure to include all of this in your timeline and financial considerations.
Real Estate is a big business in America. The average revenue rate currently sits at $164 billion, so it’s a lucrative profession to pursue. However, it is also very competitive, so start by doing extensive market research. Find out who your competitors are, and what you can offer that is different, this will give you confidence moving forward.
In real estate brand building is the key to success! This is ‘your promise to your customer’ it is what makes you unique and stands out from the rest. Deciding on, and promoting your brand, may very well be the key to the success of your company, so be sure to spend some time planning your brand strategy.
Excellent communication skills are crucial for selling property. Building good relationships online and offline will ensure that people know who you are and choose your services over another.
Car trading is a common business venture and relatively simple to set up. You will have to purchase a license for selling vehicles of different types. Find out if you need to pay a fee, and how long the process takes. Also, make sure you check all the used car rules before you start trading.
The advantage of E-commerce business is it is not location dependent, offering you great flexibility. So as well as the usual research for the particular type of E-commerce you want to launch, the main issue will be getting to grips with the legalities of running any sort of business in the USA.
Before you start your business venture be sure to apply for a work permit unless you have a green card. You must make an application to the USCIS (U.S Citizens and Immigration Service), or your business will not be legal.
To make any business successful, you must make sure you adhere to federal, state, and local tax laws. You will need to registerwith the state’s revenue agency for tax purposes and obtain tax IDs. You will need to think of a suitable name for your business to register. If you are selling any sort of product there are other licenses you need, depending on the state. Gather all the information about each state’s tax requirements; regulations change by industry, state, and locality. It will save you a few headaches in the long run.
You will also need to obtain an employer identification number If you want to hire workers, open a bank account, and get your business licensed.
It is imperative to note that most foreign citizens start LLCs (limited liability companies) rather than C Corporations as they are not liable for so much tax.
To start a new business in a foreign country is daunting, but exciting, with the correct planning and groundwork, it can be a success. Good luck!Share on Facebook Share on Twitter Share on Pinterest