For many Indian entrepreneurs, expanding into the U.S. market represents a major growth opportunity. Whether you want to sell products online, offer services internationally, or establish credibility with global clients, forming a Limited Liability Company (LLC) in the U.S. can be an ideal first step. The good news? You don’t need to be a U.S. citizen or even reside in the United States to form an LLC.
In this detailed guide, we’ll walk you through how to start an LLC in the U.S. from India, the legal requirements, tax considerations, and practical tips for setting up your business successfully.
Why Start a US LLC from India?
Thousands of Indian startups and digital entrepreneurs are forming U.S.-based LLCs to:
- Access U.S. clients and marketplaces
- Accept payments through platforms like Stripe and PayPal
- Establish trust and global legitimacy
- Protect personal assets with limited liability
- Simplify operations in the U.S. without requiring physical presence
Whether you’re building a SaaS product, a dropshipping store, or a consulting firm, a U.S. LLC gives you flexibility and scalability.
Is It Legal for Indian Citizens to Form a US LLC?
Yes. U.S. law allows non-resident aliens—including citizens of India—to form and fully own a U.S. LLC. You don’t need a green card or U.S. visa. However, you will need to meet certain legal and tax filing requirements, especially if your LLC has income that is connected to the U.S.
Step-by-Step: How to Start an LLC in the US from India
1. Choose the Right State for Your LLC
You can form your LLC in any state, but non-residents usually prefer:
- Delaware – Known for business-friendly laws and privacy
- Wyoming – Low fees, no state income tax, minimal paperwork
- New Mexico – Affordable with high privacy
These states do not require a physical office, making them perfect for remote operations.
Tip: If you plan to hire employees or open a physical office in the U.S., choose the state where those activities will occur.
2. Hire a Registered Agent in the U.S.
Every LLC must have a registered agent with a physical address in the state of formation. This person or service receives official government documents on your behalf.
Since you live in India, you’ll need to hire a U.S.-based registered agent service, which typically costs between $50 and $150 annually.
3. File Articles of Organization
This is the official document that registers your LLC with the state. It includes:
- Your business name
- Registered agent details
- Business address
- Purpose of the business
Most states allow online filing and provide immediate confirmation. Filing fees range from $50 to $500 depending on the state.
Official resource:
👉 Search for your state’s LLC filing office – NASS.org
4. Apply for an EIN (Employer Identification Number)
You’ll need an EIN from the IRS to:
- Open a U.S. business bank account
- File U.S. tax returns
- Hire employees (optional)
Indian residents cannot apply for an EIN online. Instead, you must fill out IRS Form SS-4 and send it by fax or mail. You don’t need a Social Security Number (SSN); just leave that section blank.
Official link:
👉 IRS: Apply for an EIN
5. Draft an Operating Agreement
Although not legally required in every state, an Operating Agreement defines how your LLC will operate. It outlines ownership, responsibilities, voting rights, and what happens if a member leaves the business.
Even single-member LLCs should create one to protect their limited liability status and improve credibility with banks and investors.
6. Open a U.S. Business Bank Account
Opening a bank account is essential for receiving payments and managing finances. Most U.S. banks require:
- EIN
- Articles of Organization
- Valid passport
- U.S. mailing address (some banks accept registered agent addresses)
Some modern fintech banks like Mercury, Relay, or Wise Business may allow you to open an account remotely, though verification standards can vary.
Keywords used naturally: open US bank account from India, non-resident LLC bank account, EIN for foreigners
7. Understand U.S. Tax Requirements
If your LLC earns U.S.-sourced income, you must file tax returns with the IRS. Common obligations include:
- Form 5472 and Pro Forma Form 1120 – Required annually for foreign-owned single-member LLCs
- Annual state franchise taxes – Depending on your chosen state
- Income tax reporting – Depending on how your LLC is classified (pass-through or corporate)
It’s strongly recommended to hire a U.S. accountant or tax professional who specializes in international taxation.
FAQs: Forming a US LLC from India
❓ Can I run my LLC remotely from India?
Absolutely. Most Indian entrepreneurs operate their U.S. LLCs from India without any physical presence in the U.S. You’ll need a registered agent and may consider using a virtual office or mail forwarding service.
❓ Do I need a U.S. visa or travel to the U.S.?
No. You don’t need to visit the U.S. or get a visa to form and own an LLC. However, if you plan to live in the U.S. and actively manage the business, you’ll need a visa like the E-2 or L-1.
❓ Can I sell products or services in the U.S.?
Yes. A U.S. LLC makes it easier to accept payments, use e-commerce platforms like Amazon or Shopify, and gain credibility with American consumers.
❓ How long does it take to form an LLC?
It typically takes:
- 1–5 business days for online filings with expedited service
- Up to 3–4 weeks if processing by mail or in busy states
Common Mistakes to Avoid
- Choosing the wrong state for your business model
- Forgetting to file IRS forms like 5472 annually
- Using a trademarked business name
- Not hiring a U.S.-based registered agent
- Attempting to apply for an EIN online as a non-resident
Final Thoughts
Forming a U.S. LLC from India is not only legal but increasingly popular among Indian entrepreneurs looking to scale globally. By following the correct steps—choosing the right state, hiring a registered agent, filing the necessary documents, and staying compliant with IRS requirements—you can unlock new markets and take your business to the next level.
Always consult with a professional tax advisor or attorney to ensure you’re complying with all U.S. business laws and tax regulations.
Resources to Help You Get Started: