Want to Start a Company in the U.S.? Know the Registration Requirements and Process First

Want to Start a Business in the U.S.? Here’s What You Need to Know About Company Registration Requirements and Procedures

In recent years, with deeper globalization and ongoing Sino-U.S. economic and trade interactions, more and more Chinese entrepreneurs are setting their sights on overseas markets-especially the United States, one of the world's most dynamic business hubs. According to data released by the U.S. Department of Commerce in 2025, the number of Asian foreign companies registered in the U.S. has continued to grow over the past three years, with Chinese entrepreneurs particularly active in fields such as technology, e-commerce, food services, and consulting.

If you're planning to start a business in the U.S., understanding the requirements and procedures for company registration is the first step toward success. The U.S. company registration system is relatively flexible, but there are differences between states. Entrepreneurs must choose an appropriate business structure and location based on their operational needs.

1. Common Types of Companies and Their Appropriate Use Cases

The most common types of companies in the U.S. include

1. Limited Liability Company LLC

An LLC is one of the most popular structures for startups, especially small to medium-sized businesses. It combines the liability protection of a corporation with the tax advantages of a partnership. Owners, known as members, generally do not risk personal assets due to company debts. The setup process is straightforward, making it ideal for new ventures.

2. Corporation C Corp or S Corp

A C Corp is the standard corporate form, suitable for larger companies or those seeking external investment. An S Corp is a tax election available to small businesses that helps avoid double taxation. Both forms require more detailed financial reporting and stricter compliance.

3. Partnership and Sole Proprietorship

These structures are simpler to set up but offer no limited liability protection, meaning higher risk. They are best suited for small-scale operations where risks can be effectively managed.

2. Preparations Before Company Registration

Before officially registering your business, you should complete the following steps

1. Choose a Company Name

Ensure the name is unique within your chosen state by checking the state’s business registry database.

2. Select a State for Registration

While many opt for Delaware or Nevada due to favorable legal environments and tax policies, if your business operates mainly in a specific region, registering locally may simplify administrative tasks.

3. Determine Your Company Structure

Decide whether to register as an LLC, C Corp, or S Corp, and prepare the corresponding documents accordingly.

4. Appoint a Registered Agent

U.S. law requires all registered companies to have a registered agent in the state of incorporation to receive legal notices. If you're not in the U.S., you can use a third-party service.

3. Step-by-Step Registration Process

Here’s how to register your company

1. File Articles of Organization or Articles of Incorporation

This is the core document filed with the state, including details like company name, registered address, registered agent information, and business purpose. LLCs file Articles of Organization; corporations file Articles of Incorporation.

2. Obtain an Employer Identification Number EIN

Similar to a company’s social security number, EIN is used for tax purposes, opening bank accounts, and more. Even businesses without employees are encouraged to apply. Non-U.S. residents can apply online via the IRS website.

3. Draft an Operating Agreement or Corporate Bylaws

LLCs typically need an Operating Agreement, while corporations require Bylaws outlining governance and management rules.

4. Open a U.S. Bank Account

While possible to open remotely, having a local account simplifies financial operations. Many banks require an EIN and proof of company registration.

5. Apply for Necessary Licenses and Permits

Depending on your industry and location, you may need business licenses, tax registrations, or professional permits.

4. Tax and Compliance Considerations

Operating a company in the U.S. requires compliance with federal and state tax laws.

LLCs usually follow pass-through taxation, meaning the company itself doesn’t pay taxes; profits flow through to members’ personal tax returns.

C Corps are subject to corporate income tax, and shareholders also pay tax on dividends, leading to potential double taxation.

Companies must also file annual reports and financial statements with relevant authorities. Failure to meet deadlines may result in fines or suspension of business status.

5. Special Notes for International Entrepreneurs

For non-U.S. citizens or residents, consider the following

Visa and Immigration Status Simply registering a company does not grant work authorization. To manage the business personally, you may need visas like EB-5 or E-2.

Cross-Border Tax Issues The U.S. has tax treaties with many countries to prevent double taxation, but expert advice from a certified accountant or tax advisor is recommended.

Legal and Language Barriers Hiring a local attorney can help ensure full compliance with U.S. laws during the registration process.

Conclusion

The United States remains one of the most vibrant entrepreneurial markets globally, offering international founders significant opportunities. While the registration process is largely transparent, it involves numerous legal and procedural complexities-particularly for foreign entrepreneurs. By thoroughly understanding business structures, registration procedures, and compliance obligations, you’ll be better prepared to launch your successful venture in the U.S.