Why Do Jiangmen Residents Choose to Register Companies in the U.S.? Must-Know Requirements Conditions

Why Do People from Jiangmen Choose to Register Companies in the United States? Essential Conditions and Requirements You Should Know

In recent years, with the deepening of global economic integration, more and more Chinese companies have chosen to go global by establishing overseas branches to expand into international markets, enhance brand influence, and strengthen financing capabilities. Among this trend, investors from Jiangmen have shown particularly strong activity, especially in registering companies in the United States. What exactly motivates Jiangmen entrepreneurs to look across the Pacific to the U.S. market? What conditions and requirements are necessary for registering a company in the U.S.?

I. Motivations for Jiangmen Investors to Register Companies in the U.S.

1. Expand Internationally and Enhance Brand Value

Jiangmen is a key manufacturing base in Guangdong Province, home to numerous small and medium-sized enterprises, especially in hardware, home appliances, and lighting. As domestic competition intensifies, these companies are eager to explore overseas markets. The U.S., as one of the world's largest consumer markets, offers a vast customer base and a mature business environment, making it a top destination for Jiangmen companies seeking global expansion.

According to 2025 media reports, Jiangmen’s total foreign exports have continued to grow for many years, with exports to the U.S. increasing by over 12% in 2025, highlighting the importance of the U.S. market. Registering a company in the U.S. enables businesses to directly engage in local competition and significantly boost their international brand recognition.

2. Attract Investment and Facilitate Financing

The U.S. capital market is highly developed, particularly with stock exchanges like NASDAQ and the New York Stock Exchange offering excellent platforms for SMEs to go public and raise capital. Many Jiangmen companies aim to set up a U.S. entity as a stepping stone toward future IPOs on American stock exchanges, thereby accessing broader financing channels.

U.S. corporate structures are flexible and registration requirements are relatively low, making it especially suitable for startups and cross-border trading companies. For example, Delaware is a popular choice among international businesses due to its business-friendly legal environment and tax policies. Statistics show that over 60% of publicly traded companies in the U.S. are incorporated in Delaware.

3. Avoid Trade Barriers and Improve Compliance

Although U.S.-China trade tensions have eased somewhat, tariff barriers and market access issues remain significant challenges for many exporters. Registering a company in the U.S. helps businesses better comply with local regulations, avoid certain trade barriers, and strengthen their compliance capabilities.

Additionally, having a U.S. corporate identity can make companies more competitive when participating in international tenders or signing overseas contracts. For instance, in early 2025, a Jiangmen-based lighting company successfully won a U.S. municipal lighting project after registering a U.S. company-a feat that would have been difficult under a domestic corporate structure.

II. Key Conditions and Requirements for Registering a Company in the U.S.

1. Choosing the Right Business Structure

When registering a company in the U.S., common legal structures include

LLC Limited Liability Company Suitable for small to medium-sized enterprises. The registration process is relatively simple, shareholders have limited liability, and taxation can be structured as either a partnership or corporation.

C Corporation Ideal for companies planning to raise capital or go public, but subject to double taxation-both the company and shareholders are taxed on profits.

S Corporation Avoids double taxation and is suitable for small businesses, but has restrictions on the number and type of shareholders.

2. Selecting the State of Registration

Each U.S. state has different legal and tax regulations for company registration. Businesses should choose based on their specific needs.

Delaware Known for its mature legal system and strong privacy protections, it is ideal for companies focused on legal compliance.

California A hub for tech startups, particularly in Silicon Valley.

Florida Offers no personal income tax, making it attractive for tax optimization.

3. Registration Process and Required Documents

Registering a U.S. company typically involves the following steps

1. Company Name Search and Registration Ensure the name is available in the chosen state.

2. Filing Registration Documents Includes Articles of Incorporation for corporations or an Operating Agreement for LLCs.

3. Appointing a Registered Agent A legal requirement in all states to receive official documents.

4. Obtaining an EIN Employer Identification Number Used for tax purposes and opening a bank account.

5. Opening a U.S. Bank Account Facilitates financial management and business operations.

4. Tax and Compliance Requirements

U.S. companies must comply with federal and state tax regulations, including corporate income tax, sales tax, and payroll tax. They must also submit annual reports and financial statements to maintain good standing.

For Jiangmen businesses, it is highly recommended to consult with U.S. attorneys and accountants before registration to develop a sound tax planning strategy that minimizes compliance costs and tax risks.

III. Successful Case Studies of Jiangmen Companies in the U.S.

In recent years, many Jiangmen companies have registered in the U.S. and achieved significant growth. For example, in mid-2025, a Jiangmen-based new energy company registered a subsidiary in Delaware and successfully partnered with a local energy firm, securing multi-million-dollar orders. The company’s leadership noted that the U.S. corporate identity not only boosted international trust in its products but also facilitated future financing and expansion.

Several Jiangmen cross-border e-commerce companies have also registered LLCs in the U.S. to open stores on platforms like Amazon and eBay, bypassing restrictions on overseas sellers and improving customer trust and payment convenience.

IV. Conclusion

The decision by Jiangmen entrepreneurs to register companies in the U.S. reflects both the broader trend of globalization and a strategic move to upgrade their business models and enhance competitiveness. Whether for market expansion, financing, or compliance reasons, the U.S. offers a mature business environment and a vast platform for growth.

However, registering a U.S. company is not a simple task. It requires a thorough understanding of U.S. legal, tax, and operational requirements, as well as long-term planning. For Jiangmen companies considering overseas expansion, thorough preparation, including choosing the right state and business structure, is essential to successfully achieving their global ambitions.