More often than not, you would need to form a company in the United States of America. However, I’m not talking about the majority of cases, I’m talking about the freelancers, affiliates, ecommerce store owners, dropshippers and all the other online money makers who are stuck, not able to accept international payments, make transfers, accept PayPal and more… So here’s why & how to form a company in the US remotely.
Table of content:
- Why you need to form a company in the US
- Benefits of forming a company in the US
- List of countries from where you should consider a company in the US – Limitations
- How to form a company in the US – Step by step
- Firstbase vs Stripe Atlas – A better alternative for Stripe Atlas
Why you need to form a company in the US
Do you want to accept international credit cards on your website? Do you live in a country that’s not supported by Stripe or PayPal? Is it hard to find a solution? 2Checkout SUCKS, it is simply BAD, you know it, I know it, they know it, everybody knows it.
I have tried working my way around it, asking my relatives who live in the US to sign up for me, but it’s no use, it’s a bad solution and it’s not worth it.
I had 5+ online shops, the least making 100$/week, and the money just wasn’t coming to me. In the end I was forced to shut all of them, because:
- The payments were failing 80% of the time
- The gateways’ accounts weren’t under my name and control
- Paid too much fees for each transaction
- Had little no control over my payment methods, gateways and stuff
So if you live anywhere outside the following countries, and want to run an online business smoothly, accept international cards, have a US bank account then you most definitely have to invest 400$ to form a company in the US. It’s VERY easy, believe your man Nar.
Benefits of forming a company in the US
- You can integrate online payments on your website with law transaction fees- Stripe, Braintree, etc…
- You can create a business account on PayPal, send and receive payments via PayPal
- Get an online US bank account, with routing and account numbers. Virtual and physical cards to receive and send payments.
List of countries from where you should consider a company in the US – Limitations
Well, of course it depends on many factors, but the way I put it is as follows. If Stripe is not accepted in your country, and you want to receive payments on your website, then you have to create a company in the US.
Here’s a tiny list of the countries where Stripe is NOT supported.
- North Korea
- South Africa
How to form a company in the US – Step by step
If you’ve done your research you might have heard about Stripe Atlas, well, here’s a BETTER alternative and why it is better. Although Stripe Atlas is widely known, it’s only because it’s Stripe’s product.
First of all, Stripe Atlas claims that it takes 500$ to form the company but they have hidden fees included, so the expenses goes up to 850$.
Here’s how to form a company in the US – step by step
- Go to firstbase.io -> Get started
- Choose LLC or corporation -> If you’re not sure which one is better for you, read this.
- Choose a state -> If you’re not sure which state is better for you, read this.
- Enter business details -> Company name, industry, description, etc…
- Owners’ details -> Name, last name, ownership percentage
- Incorporator’s details -> Address info, where you want the mails to be forwarded to
- Name last name
- Sign up -> In case you don’t see the submit button, make sure to zoom out your browser’s view
All that’s left is to pay and the process starts automatically. In the pay now page, click on coupon and add YOURMANNAR5 to receive a 5% discount, this makes the payment less than 380$.
The process is the following:
- You get a confirmation of incorporation within 5-7 business days.
- Your EIN will be ready in 20-30 business days (be patient, it’s worth it, believe me).
- Your bank account will be confirmed within 5-7 business days.
So the entire process takes a month or so, and it’s completely worth it. At first I was hesitant to start, especially with Firstbase, but after I did my research, requested phone calls with them, and asked them all the questions I wanted to ask, I chose to go with it, and never looked back again.
Firstbase – A better alternative for Stripe Atlas
One is 399$ without any hidden fees the other is 500$ with hidden costs reaching up to 850$.
If you’re planning on starting an online business, accept payments on your website, send & receive money with PayPal for businesses, and your country is not on the accepted list, then forming a company in the US is most definitely the answer.
It will solve all your issues.
I wish you good luck