How to Open an LLC in the United States: Steps, Requirements, and Costs
A step-by-step guide to opening an LLC in the United States from abroad, preparing the documents, and anticipating maintenance costs and obligations.
Opening an LLC in the United States involves choosing a state, designating a registered agent, filing the formation document, obtaining an EIN, and organizing ongoing compliance. In many cases, the process can be completed from abroad, but official requirements and costs depend on the state, the activity, and each owner's circumstances. This guide covers the steps you should validate before registering the company.
Before opening an LLC: what structure are you creating?
An LLC (Limited Liability Company) is an entity created under the laws of a U.S. state. It is not a Spanish corporate structure, and its U.S. tax treatment may vary based on the number of owners and the tax elections made.
In addition, Spain may classify and tax this entity under its own rules, without automatically following the U.S. classification. If you are a tax resident of Spain, confirm with a specialized advisor how profits, compensation, distributions, related-party transactions, and potential reporting obligations will be treated.
An LLC also does not guarantee a bank account, access to Stripe, tax savings, credit, confidentiality, or growth. It is a business structure that must fit your activity, tax residency, and actual operations.
If you are still evaluating this structure, you can start with our guide on what an LLC is and what to consider if you reside in Spain.
How to open an LLC in the United States step by step
1. Define why you need the LLC
Before filing documents, clarify the objective: selling software, providing consulting services, operating an agency, managing an ecommerce business, or contracting international services, for example.
Also review:
- Where you reside and effectively manage the business.
- Which countries your clients, team, and suppliers are in.
- Whether you will have a physical presence or employees in the United States.
- Which platforms, banks, or processors you want to use.
- How you will withdraw or reinvest the money.
Your tax residency does not disappear when you form a U.S. company. The LLC must be analyzed as part of a complete cross-border structure. If you reside in Spain, you must also review the applicable Spanish obligations.
2. Choose the state of formation
Each state sets its own documents, fees, renewals, and rules. There is no single state that is universally best for all foreign founders.
If the business does not have a physical presence in the United States, factors typically compared include:
- Initial fee and recurring state costs.
- Required periodic reports.
- Privacy rules and access to records.
- Administrative ease.
- The need to register later in another state.
The SBA explains business registration and clarifies that requirements depend on the structure, location, and activity. Fees and forms must be confirmed directly with the Secretary of State or equivalent agency in the selected state before filing.
3. Designate a registered agent
The LLC normally needs a registered agent with a physical address in the state of formation. This agent receives official notices and legal documents on behalf of the company.
The registered agent does not replace an operating address, legal advice, or accounting management. Check what the provider includes, how it forwards communications, and how much its renewal costs.
4. File the formation document
The name varies by state, but it is usually called Articles of Organization or Certificate of Formation. It is filed with the relevant state authority and includes basic information about the entity.
Before submitting it, review:
- Availability and exact spelling of the name.
- Registered agent information.
- Information that will appear in public records.
- How the LLC will be managed.
- Current official fees.
Government fees are charged separately from our services and become nonrefundable once the application has been filed.
5. Prepare the operating agreement
The Operating Agreement establishes internal rules such as ownership, management, contributions, allocation of profits, and members' withdrawal. Although it is not always filed with the state, it may be relevant for demonstrating how the company operates.
Its contents should be tailored, especially when there are multiple partners, investors, or specific agreements. In those cases, we recommend an individual legal review.
6. Apply for the EIN
The EIN (Employer Identification Number) is the company's federal tax identification number with the U.S. Internal Revenue Service, the IRS. It may be required for tax returns, administrative transactions, and applications with financial service providers.
The IRS publishes the official ways to apply for an EIN. The available process depends, among other factors, on whether the responsible party has a valid U.S. taxpayer identification number. You should not assume a specific timeframe: current IRS information must be checked when filing.
You can learn more in our guide on what the EIN is and how to apply for it from outside the United States.
7. Evaluate the bank account and payments
After forming the LLC, you can apply for a business account and connect payment processors. Each provider applies its own identity, activity, residency, economic presence, and risk checks.
They may request formation documents, EIN, operating agreement, personal identification, proof of address, or business information. Requirements vary depending on the institution and profile, so you should consult the official documentation of your chosen provider.
Neither the LLC nor our assistance guarantees approval for a bank account or payment processor. It is also advisable to have operational alternatives and not depend on a single platform.
8. Organize annual compliance
Forming the company is only the beginning. Depending on the state, tax classification, and activity, there may be state reports, renewals, fees, federal tax returns, or other obligations.
A foreign-owned U.S. LLC may be subject to specific reporting requirements. These may include Form 5472, an IRS information return for certain reportable transactions involving certain entities with foreign owners. Its application depends on the specific facts; the IRS maintains the official instructions for Form 5472.
You must also review personal or corporate taxation in Spain, reporting obligations, and the possible existence of effective management or local economic activity. Do not apply a U.S. rule to the Spanish system by analogy.
Common requirements for opening an LLC from abroad
Although each state and provider may require different information, you should generally prepare:
- A valid passport or identification document for each owner.
- Personal address and contact information.
- Proposed company name.
- A clear description of the activity.
- Chosen state.
- Registered agent information.
- Information about owners and managers.
Additional documentation may be requested for the EIN, banking, or processors. Always verify current official requirements before submitting information or paying fees.
How much does it cost to open an LLC?
The total cost is not limited to the initial filing. You should budget, as applicable, for:
- State formation fee.
- Registered agent and renewals.
- Recurring state reports or fees.
- Obtaining and sending documentation.
- U.S. tax preparation and accounting.
- Tax advice in Spain.
- Optional EIN, banking, or maintenance services.
We do not provide a single official amount because it varies by state and may be updated. The relevant Secretary of State is the source you should consult to confirm current fees.
Our Starter plan costs 297 USD as a one-time payment, plus state fees. We also offer maintenance plans based on the level of support. You can review what each option includes in our plans.
Mistakes you should avoid
- Choosing a state only because it frequently appears online.
- Assuming that an LLC automatically reduces taxes in Spain.
- Mixing personal and business expenses.
- Ignoring communications from the registered agent or the state.
- Filing forms without understanding the reporting period and transactions being reported.
- Relying on a single account or payment platform.
- Assuming that forming the LLC guarantees financial approvals.
The best decision is not simply to open the company as soon as possible, but to create a structure that you can operate and maintain correctly.
Professional disclaimer
We are not a law firm or an accounting firm, and we do not provide legal, tax, or investment advice. We can help you with the administrative management of the LLC, but every case—especially its treatment in Spain and its U.S. filings—must be validated with qualified professionals.
Frequently asked questions
What requirements and documents are common when opening an LLC from any country?
The common requirements are choosing a state and an available name, appointing a registered agent, filing the formation document, and retaining the state approval. You should then prepare an operating agreement, apply for an EIN using Form SS-4, and organize licenses, accounting, and recurring obligations. You will normally need valid identification, a contact address, member and manager details, the intended activity, and the responsible party information for the EIN. The SBA explains state registration, although each state sets its own forms and fees. A bank or payment processor may request additional documents. Your nationality does not replace the analysis of where you operate, where you are tax resident, and which registrations each jurisdiction requires.
At what point in the process do I need an ITIN?
An ITIN only becomes relevant when an individual has a U.S. federal tax need and cannot obtain an SSN. It is not a general requirement to form the LLC or apply for its EIN. If the responsible party has no SSN or ITIN and is not eligible for either, the Form SS-4 instructions allow “Foreign” or “N/A” to be entered on line 7b. When an ITIN is required, it is requested using Form W-7, normally with a federal tax return unless a documented exception applies. The IRS requires original documents or copies certified by the issuing agency. Therefore, the individual's tax obligation should be identified first; applying for an ITIN preemptively may lead to unnecessary rejections or delays.
How do I choose a formation state if I will operate from outside the United States?
Choose the state based on the real business activity, not only the initial filing fee. Compare where you will have an office, staff, inventory, or in-person customers; if you materially operate in another state, you may need to register the LLC there as a foreign entity and assume additional obligations. Also review the formation fee, annual report, registered agent, and maintenance rules. The SBA explains when a business may need state registration. Wyoming can be a useful general example, but it is not automatically the best choice for everyone living outside the United States. Before filing, document why the state fits your operation and separately confirm the rules in the country where you reside or manage the business.
Which obligations usually begin after the LLC is formed?
After formation, you should keep the LLC’s records separate, obtain an EIN when appropriate, prepare an operating agreement, and review licenses, taxes, and annual reports. Federal classification depends on the number of members and any valid tax election; the IRS explains the general treatment of LLCs. The formation state may require a recurring report and fee, while another state may require registration if business is conducted there. Banks and payment processors apply their own checks and are not guaranteed by formation. Create a calendar covering state, federal, and country-of-residence deadlines, retain evidence, and seek professional review when transactions occur between the LLC and its owners.
How do I separate U.S. obligations from those in my country of residence?
You should analyze the obligations in two independent layers. In the United States, review the LLC’s federal classification, returns, reportable transactions, state reports, licenses, and registrations where business is conducted. The IRS summarizes federal LLC classification, but that classification does not decide how your country of residence will treat the entity. Locally, review tax residence, effective management, worldwide income, transparency, distributions, and information-reporting duties under the local authority’s rules. Build an annual map listing each jurisdiction, form, responsible person, and deadline. Do not assume that U.S. compliance removes local duties or that an LLC automatically reduces taxes. International tax matters require individual professional review before operating or distributing funds.