The Non-US Founder’s Complete Guide to Running a US Business

Forming a US company as a non-US founder is straightforward - Operating it correctly across federal tax, state tax, banking, accounting, payroll, and home-country obligations is not.

The United States offers market access, global credibility, sophisticated payment infrastructure, and investor familiarity. But once you form a US entity, you enter a dual-system environment. US compliance runs in parallel with your home country tax regime. Federal and state rules operate independently. Banking, payroll, withholding, and reporting obligations layer on top.

This guide is structured as a complete operational framework for international founders who want clarity, control, and structural integrity from day one.

Part 1 — Before You Start

This section ensures the US is the right structure.

It covers:

• When a US entity creates real strategic value
• When it adds unnecessary complexity
• The difference between legal presence and tax exposure
• Where you will actually work versus where your customers are located
• How your home country will treat US-sourced income
• The full lifecycle from formation through scale

This section prevents structural mistakes before they are created.

Part 2 — Choosing Your US Entity

This section defines the architecture.

It covers:

• LLC vs C-Corp vs branch structures
• Why S-Corps are generally not available to non-US founders
• Effectively Connected Income (ECI) and its implications
• FDAP income and withholding treatment
• The ETBUS test and what triggers US trade or business status
• Inventory, employees, and physical presence risks
• Permanent Establishment exposure in your home country
• Delaware vs Wyoming vs Florida vs Texas — practical differences
• Governance, registered agent, and structural compliance

Entity selection determines tax outcome, investor compatibility, and cross-border exposure.

Part 3 — Formation

This section moves into implementation.

It covers:

• Step-by-step LLC and C-Corp formation
• Obtaining an EIN without a Social Security Number
• ITIN requirements where applicable
• Virtual office and mailing considerations
• Operating agreements and corporate bylaws
• Beneficial Ownership Information (BOI) reporting
• Common formation errors foreign founders make
• Realistic formation cost ranges

This ensures the structure is legally and operationally sound.

Part 4 — US Banking

This section addresses functionality.

It covers:

• Why banking is more difficult than formation
• Documentation banks require from foreign owners
• Fintech options vs traditional banks
• Remote account opening realities
• Stripe, Wise, and processor alternatives
• Receiving USD without a US bank account
• Multi-currency management and FX control
• Credit access for foreign-owned businesses

Without banking, the entity cannot operate effectively.

Part 5 — US Federal Tax

This is the structural core.

It covers:

• Non-resident alien tax treatment
• LLC flow-through taxation vs corporate taxation
• ECI vs FDAP income
• Form 5472 and pro forma 1120 requirements
• 1040-NR, 1065, and 1120 filing obligations
• Withholding on outbound payments
• Treaty claims and documentation
• Branch Profits Tax exposure
• Transfer pricing fundamentals
• Section 83(b) elections
• Estimated payments and tax year selection

Federal compliance is where errors become expensive quickly.

Part 6 — US State Tax

This section expands exposure beyond federal rules.

It covers:

• State income tax differences
• Sales tax obligations for remote sellers
• Economic nexus under Wayfair
• Franchise taxes and annual state fees
• Payroll tax triggered by hiring
• State compliance calendars

State tax operates independently and often surprises foreign founders.

Part 7 — Paying Yourself

This section addresses extraction strategy.

It covers:

• Salary, distributions, dividends, and management fees
• LLC distribution treatment
• C-Corp dividend and double taxation realities
• Arm’s-length intercompany management fees
• FICA and totalization agreements
• Timing considerations
• Home-country taxation of US-sourced income

Compensation strategy affects both US and home-country outcomes.

Part 8 — Accounting and Bookkeeping

This section builds structural discipline.

It covers:

• Cash vs accrual accounting
• Intercompany transaction recording
• FX accounting and currency gains
• Deferred revenue handling
• Documentation standards
• Corporate veil risk

Proper accounting is essential for cross-border defensibility.

Part 9 — Annual Compliance Calendar

This section consolidates recurring obligations.

It covers:

• Federal filing deadlines by entity type
• Form 5472 penalty exposure
• BOI reporting timelines
• Sales tax filing cycles
• Payroll deposit schedules
• Good standing requirements
• Audit risk triggers

This creates operational rhythm and reduces surprise exposure.

Part 10 — Hiring in the US

This section addresses expansion.

It covers:

• Hiring US employees as a foreign-owned entity
• Contractor classification risks
• Federal and state payroll compliance
• I-9 requirements
• PEO and Employer of Record structures
• Multi-state payroll implications

Hiring introduces layered compliance immediately.

Part 11 — Intellectual Property and Contracts

This section protects enterprise value.

It covers:

• US trademark and IP ownership decisions
• Licensing between US and foreign entities
• Royalty and transfer pricing implications
• US contract structure differences
• Data protection frameworks
• Governing law and dispute resolution clauses

IP location affects both tax and valuation outcomes.

Part 12 — Your Home Country Obligations

This is the differentiator.

It covers:

• Controlled Foreign Corporation rules
• Treaty interaction limits
• Reverse Permanent Establishment risk
• Transfer pricing documentation
• Foreign bank reporting equivalents
• Repatriation tax cost
• Social security double-contribution risk

Forming a US entity creates a second compliance layer but does not replace the first.

Part 13 — Applied Business Types

This section translates structure into context.

It covers:

• E-commerce founders
• SaaS and subscription businesses
• Consultants and service providers
• Venture-backed companies
• Real estate investors
• Multi-entity founders

Different models trigger different exposure patterns.

Part 14 — Working With US Advisors

This section defines advisory standards.

It covers:

• Why foreign founders need US-based technical expertise
• Form 5472 competency as a baseline filter
• EA vs CPA distinctions
• Coordinating multi-jurisdiction advisors
• Realistic annual compliance budgets

This guide is built for founders who want to operate in the US with structural clarity.

About Antravia Advisory

Antravia Advisory is a US-based tax and accounting advisory firm headquartered in Winter Park, Florida, operating nationally and internationally.

We advise international businesses entering the United States and complex US companies operating across multiple states, entities, and revenue structures. Our work spans advanced tax strategy, multi-state sales tax oversight, cross-border structuring, and high-level accounting architecture for e-commerce brands, subscription and SaaS businesses, platform-based models, and multi-entity groups.

We work with founders and leadership teams who require technical precision, structural clarity, and financial frameworks built for scale, capital events, and long-term resilience.

Disclaimer:
Content published by Antravia is provided for informational purposes only and reflects research, industry analysis, and our professional perspective. It does not constitute legal, tax, or accounting advice. Regulations vary by jurisdiction, and individual circumstances differ. Readers should seek advice from a qualified professional before making decisions that could affect their business.

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