How to Start and Run a Business in the U.S. A Practical Guide and Experience Sharing

Registering and Operating a Company in the United States

For many entrepreneurs, registering and operating a company in the United States represents a crucial step toward realizing their business ambitions. As global economic integration deepens, the U.S. market-known for its openness, innovation, and mature business environment-has become the top choice for countless entrepreneurs. According to recent data released by the U.S. Department of Commerce, the number of new businesses registered in the first quarter of 2025 increased by 12% year-on-year, demonstrating that the entrepreneurial landscape in the U.S. remains vibrant. This article provides a practical guide for investors interested in starting a business in the U.S., covering key areas such as company registration procedures, legal structure selection, tax planning, bank account opening, employee hiring, and daily operations.

1. Choosing the Right Business Structure

The first step in registering a company in the U.S. is to determine its legal structure. Common types of business entities include

Sole Proprietorship Suitable for small-scale individual operations, it is easy to set up, but the owner is personally liable for all business debts.

Partnership Operated by two or more partners, profits and losses are shared according to an agreed ratio.

Limited Liability Company LLC Combines operational flexibility with limited liability protection; it is the most popular choice for small and medium-sized businesses.

C Corporation C Corp Ideal for companies planning to raise capital or go public, but subject to double taxation.

S Corporation S Corp Avoids double taxation and is well-suited for small to mid-sized companies.

According to the U.S. Small Business Administration SBA, LLCs have become one of the most favored business structures in recent years due to their tax flexibility and liability protection.

2. Registration Process Overview

Step 1 Choose the State of Registration

U.S. states vary in legal and tax policies, so entrepreneurs should choose a state based on their business nature and long-term plans. For example, Delaware is a popular choice for startups due to its well-developed corporate law system and business-friendly environment.

Step 2 Select a Company Name and Conduct a Trademark Search

The company name must be checked for availability on the state’s official website. It is also advisable to conduct a federal trademark search to avoid potential legal conflicts.

Step 3 File Registration Documents and Pay Fees

Typically, you need to submit Articles of Organization for LLCs or Articles of Incorporation for corporations to the state and pay the associated registration fees.

Step 4 Obtain an Employer Identification Number EIN

Apply for an EIN via the IRS website. This number is essential for tax reporting, opening a bank account, and other business operations.

3. Tax Planning and Compliance

The U.S. tax system is complex, and businesses must develop a sound tax strategy based on their legal structure and operations. LLCs can choose to be taxed as a sole proprietorship, partnership, or corporation. C Corporations are subject to corporate income tax, while shareholders also pay personal taxes on dividends.

The IRS has recently intensified its oversight of multinational companies and independent contractors. It is advisable for businesses to hire professional accountants or tax advisors early in the registration process to ensure compliance and avoid legal disputes in the future.

4. Opening a Corporate Bank Account

Opening a corporate bank account is a prerequisite for business operations. Most banks require the following documents

Company registration documents e.g., Articles of Organization

EIN number

Identification of directors or authorized signatories

Proof of company address

Some banks offer multi-currency accounts, which facilitate financial management for international businesses. For example, Bank of America and Citibank both offer financial packages tailored for startups.

5. Hiring Employees and Human Resource Management

If a business plans to hire employees, it must comply with federal and state labor laws, including minimum wage requirements, overtime pay, and workplace health and safety standards. Employers are also required to register with the Social Security Administration and pay employer taxes and unemployment insurance.

The U.S. Department of Labor recently updated its guidelines on remote work and contract labor. Businesses should align their internal HR policies with the latest regulations to protect employee rights and ensure compliance.

6. Daily Operations and Business Growth

Successfully registering a company is only the first step. Effective daily operations and strategic market expansion are key to long-term success. Consider the following

Establish a Professional Brand Identity This includes building a company website, registering trademarks, and using a consistent visual identity system.

Leverage Digital Marketing Tools Utilize platforms such as Google Ads, Facebook Ads, and SEO optimization to increase brand visibility.

Join Industry Associations and Chambers of Commerce These organizations help build business networks and provide access to industry resources and policy support.

Conduct Regular Financial Audits and Performance Reviews This ensures timely strategic adjustments and improved operational efficiency.

For example, many tech startups have accelerated their growth by participating in Silicon Valley accelerators such as Y Combinator, which offer access to funding and market resources.

Conclusion

While registering and operating a company in the U.S. can be complex, mastering the key steps, planning strategically, and maintaining compliance can help businesses establish a strong presence in a competitive market. Whether local entrepreneurs or international investors, understanding the U.S. legal, tax, and market environment and leveraging professional resources are essential for sustainable business growth.