How to Open an LLC From Abroad With doola: A Complete Step-by-Step Guide

If you’re an international founder, today’s guide is written for you. But first, let’s clear up one of the biggest myths in global entrepreneurship right away: 

You do not need to live in the United States to legally open a US LLC.

Every year, thousands of foreign founders from India, Europe, Africa, Latin America, and Southeast Asia, successfully register US LLCs without ever setting foot in the country. 

And no, they don’t have a visa, Social Security Number (SSN), or any US address. Yet, this misconception continues to hold many global builders back.

In this guide, you’ll learn exactly how to open an LLC from abroad, including:

✔️ How LLC formation works for non-US residents

✔️ What documents you actually need (and what you don’t)

✔️ How to get an EIN without an SSN

✔️ How to open a US business bank account remotely

✔️ What taxes and compliance obligations apply to foreign owners

Most online resources gloss over the hardest parts, especially taxes, banking, and ongoing compliance. This one doesn’t.

We’ll walk through the process step by step, explain the “why” behind each decision, and show you how doola helps international founders form, bank, and stay compliant with their US LLCs, all from anywhere in the world.

Let’s do it right, do’ers!

Why International Founders Choose a US LLC

Before getting into the nitty-gritty of how to open an LLC from abroad, it’s worth understanding why so many global founders deliberately choose the US as their business home base, even when they don’t live there.

For international entrepreneurs building borderless businesses, a US LLC isn’t just a legal structure. It’s a major strategic advantage, and here’s why:

1. Access to US Customers and Platforms

Many of the world’s most influential business platforms are US-based and are designed to work best with US-registered entities, including:

• Stripe and PayPal for global payments

• Amazon, Shopify, and other e-commerce ecosystems

• US venture capital firms, accelerators, and startup programs

While some platforms technically allow foreign entities, approval rates, payout reliability, and account stability are significantly higher with a US LLC. 

In practice, having a US company often means faster onboarding, fewer compliance questions, and less risk of sudden account freezes, especially for payment processing.

2. Global Credibility and Trust

Customers, partners, banks, and platforms tend to associate US businesses with clearer regulations, stronger legal frameworks, and higher operational standards. And compared to lesser-known offshore jurisdictions, a US LLC feels familiar, legitimate, and trustworthy, particularly to US and European customers.

A US-registered company carries instant brand credibility and recognition.

For founders selling online, this trust factor directly impacts conversion rates, partnership opportunities, and long-term brand perception.

3. Simpler Ownership Than Corporations

For non-US founders who are not immediately raising venture capital, an LLC offers far more flexibility than a US C-Corporation.

Compared to corporations, LLCs typically provide:

• Fewer administrative formalities (no boards, shareholder meetings, or rigid governance)

• Flexible ownership structures, including single-member LLCs

• Simpler ongoing management, ideal for solo founders and lean teams

This makes an LLC especially attractive for consultants, SaaS founders, e-commerce sellers, and digital-first businesses who want a compliant structure without unnecessary complexity.

4. Better Than Offshore Alternatives

Some international founders initially explore offshore jurisdictions for perceived tax benefits. In reality, these structures often introduce more problems than they solve, including:

• Limited or unstable banking access

• Higher likelihood of payment processor restrictions

• Increased compliance scrutiny and documentation requests

A properly structured US LLC, combined with correct tax and compliance handling, is often more scalable, more defensible, and easier to operate globally than many offshore setups, without sacrificing legitimacy or growth potential.

In short, a US LLC gives international founders access, credibility, and operational simplicity, which is exactly why it has become the default jurisdiction of choice for building global businesses from anywhere in the world.

What You Need to Open an LLC From Outside the US

One of the first questions nearly every international founder asks is:

“Am I even eligible to open a US company?”

The confusion is understandable. US business laws are often misrepresented online, and many founders assume that forming a company in the US requires citizenship, residency, or a physical presence.

In reality, US LLC rules are far more founder-friendly than most people expect.

But before looking at what you need, it’s just as important to understand what you don’t.

What You Don’t Need

Contrary to popular belief, opening an LLC from abroad does not require immigration status, US identification, or travel. You do not need:

❌ US citizenship

❌ US residency or a visa

❌ A Social Security Number (SSN)

❌ Physical presence in the United States

These requirements are often confused with employment or immigration rules, but business ownership is a separate legal category. Non-US residents are fully allowed to own and operate US companies.

What You Do Need

To open an LLC from outside the US, the requirements are surprisingly minimal. In most cases, you’ll need:

✅ A valid passport: Used for identity verification and compliance checks

✅ A business name: Must be unique within your chosen state

✅ A registered agent address: A US-based address required by law to receive official notices

✅ Ownership details: Information about the LLC members and their ownership percentages

Those are the only essentials you’ll need. There would be no hidden paperwork, surprise requirements, or additional prerequisites waiting down the line.

Common Myths Around Opening LLCs From Abroad (Debunked)

If you’ve been researching how to open an LLC from abroad, you’ve probably encountered a lot of conflicting advice.

Much of it is outdated, misunderstood, or simply incorrect. And these misconceptions are often what prevent global entrepreneurs from taking the next step.

So, let’s clear them up once and for all.

❌ Myth: “I need an ITIN before forming an LLC.”

✅ Fact: You do not need an ITIN to form a US LLC. Company formation is handled at the state level, and states do not require tax identification numbers from foreign owners to register an LLC. 

An ITIN may become necessary later for personal tax reporting, but it is not a prerequisite to legally forming your company.

❌ Myth: “I must visit the US to open a company.”

✅ Fact: You do not need to travel to the US to form an LLC. The entire process: state registration, EIN application for foreign owners, and even US business banking, can be completed remotely when structured correctly. 

Physical presence is not a legal requirement for business ownership or operation.

❌ Myth: “Foreigners can’t own US companies.”

✅ Fact: Non-US residents can legally own 100% of a US LLC, with no US partner, citizen, or resident required. The US law places no ownership restrictions on foreign founders, making the LLC one of the most accessible business structures for international entrepreneurs.

When you separate these myths from facts, the process becomes far less intimidating.

With the right guidance and structure, opening an LLC from abroad is not only legal, it’s a straightforward and repeatable path used by thousands of global founders every year.

Step-by-Step: How to Open an LLC From Abroad With doola

In this section, we’ll walk you through the exact process international founders use to form a compliant, fully operational US LLC with doola. We’ll cover everything from state selection to banking and compliance, without unnecessary detours or guesswork.

Step 1: Choose Your LLC State (and Why It Matters)

Determining the best state for your LLC’s is indeed a strategic decision.

In fact, selecting the wrong state is one of the most common and costly mistakes international founders make. 

The state you choose affects your taxes, annual fees, compliance burden, and even how easily you can operate your business long term.

So, despite what many guides suggest, there is no “one-size-fits-all” state for every foreign founder.

Popular State Choices for Non-US Residents

✅ Delaware: Delaware is the gold standard for startups that plan to raise venture capital or issue equity in the future. Its business laws are well-established, investor-friendly, and widely understood by VCs and accelerators. 

However, Delaware often comes with higher annual costs and compliance requirements, making it better suited for venture-backed ambitions rather than lean solo businesses.

🔖 Related Reading: What Non-US Residents and International Entrepreneurs Should Know about Delaware LLC Formation

✅ Wyoming: Wyoming is a top choice for many international founders who want simplicity and cost efficiency. It offers low formation and annual fees, strong owner privacy, and no state income tax. 

For service businesses, SaaS products, and e-commerce brands operating remotely, Wyoming is often the most practical option.

🔖 Related Reading: Forming a Wyoming LLC as a Foreigner: A Complete Guide

✅ Other States: In most cases, registering in other states is unnecessary unless you have physical operations, employees, or a permanent office in that state. Registering “where your customers are” is a common misconception and can create avoidable tax and compliance obligations.

Remember, most international founders only need one state of registration, not multiple.

How doola Helps You Choose the Right State

Rather than defaulting to a generic recommendation, doola evaluates your business model, long-term growth plans, and potential tax exposure before suggesting a state. This ensures your LLC is set up correctly from day one, so you don’t have to unwind costly decisions later.

Sign up to know more.

Step 2: Form Your LLC

This is the moment your business officially comes to life. Once your LLC is formed, it becomes a legally recognized US entity, separate from you as an individual.

At this stage, a few critical actions take place:

1. Articles of Organization are filed with the state: This document establishes your LLC’s legal existence and includes key details such as your company name, registered agent, and management structure.

🔖 Related Reading: What Are Articles of Organization?

2. A registered agent is appointed: US law requires every LLC to have a registered agent with a physical address in the state of formation. This agent receives official government and legal notices on your behalf, ensuring you never miss critical communications.

3. Your LLC is officially approved and recognized: Once the state processes and approves the filing, your company is formally registered and eligible to operate as a US business.

With doola, this entire step is handled end-to-end, from preparing the filings to submitting them correctly and tracking approvals, so your LLC is formed accurately, compliantly, and without any delay.

Step 3: Get Your EIN (Without an SSN)

Your Employer Identification Number (EIN) is your company’s federal tax ID, and it’s one of the most critical pieces of the entire setup. Without an EIN, your LLC can’t fully operate as a US business.

You’ll need an EIN to:

• Open a US business bank account, including fintech and traditional banking partners

• File federal and state tax returns, even if you ultimately owe no US income tax

• Work with payment processors like Stripe, PayPal, and merchant service providers

For non-US founders, this step is often where progress slows down, and here’s why:

Foreign owners cannot apply for an EIN online through the IRS portal. 

Instead, the application must be submitted through alternative IRS-approved methods, and even small errors such as incorrect entity details, mismatched names, or missing information, can result in weeks or months of delays.

How doola Helps

doola handles the EIN application process on your behalf by preparing and submitting the paperwork correctly and in line with IRS requirements for foreign-owned LLCs. 

This avoids the most common filing mistakes that cause prolonged delays and ensures your EIN is issued as efficiently as possible, so you can move forward with banking, payments, and operations without unnecessary setbacks.

Step 4: Open a US Business Bank Account

For most international founders, this is usually the hardest part of the entire process, and the step where many DIY attempts stall.

Traditional US banks often require in-person visits, local documentation, and extensive verification, which makes remote banking nearly impossible without the right setup. This is where having the right partner makes all the difference.

With doola, founders can:

• Open a US business bank account remotely, without traveling to the US or navigating multiple bank rejections

• Integrate seamlessly with platforms like Wise, Stripe, and Mercury, enabling faster payouts and smoother cash flow

• Accept, hold, and send USD globally, making it easier to operate a truly international business

All of this is done without a US visit, allowing you to manage your finances from anywhere in the world while operating as a compliant US business.

And once your banking is set up, your LLC is no longer just registered; it’s fully operational and ready to scale.

Taxes for Non-US LLC Owners: What You Actually Need to Know

If LLC formation feels confusing, taxes are where things often become overwhelming. And also where most DIY foreign founders get into serious trouble.

Now the challenge isn’t that US taxes are impossible to understand. It’s that non-US LLC taxation is frequently oversimplified online, leading founders to assume that “no US presence” means “no US responsibilities.” That assumption is what triggers penalties.

Let’s break this down properly.

LLC Taxes vs Personal Taxes

One of the most important things to understand is that an LLC’s tax treatment is separate from your personal immigration or residency status.

In many cases, a US LLC itself does not pay federal income tax. Instead, the IRS looks through the LLC and places certain reporting or tax obligations on the owner. This means:

• Your LLC may not owe income tax

• You, as the owner, may still be required to file US tax forms

• Filing requirements can exist even when no tax is ultimately due

This distinction is critical. Many foreign founders assume that if no money is earned in the US, nothing needs to be filed.

In reality, US tax compliance is driven by structure and activity, not just revenue.

When You Owe US Taxes (and When You Don’t)

Whether you owe US income tax depends largely on where and how your business activity takes place, not where you personally live.

You may owe US taxes if:

✅ Your income is effectively connected to US business activity, such as services performed in the US.

✅ Your LLC has US employees, contractors, or a physical office

✅ You operate inventory, warehouses, or other physical infrastructure in the US.

You may not owe US income tax if:

❌ You operate your business entirely from outside the US

❌ You have no US physical presence, employees, or offices

❌ Your role and revenue-generating activities occur abroad

However, even in cases where no US income tax is owed, reporting obligations often still apply, and missing those filings is where penalties come in.

Federal vs. State Taxes

Another common point of confusion is the difference between federal and state-level obligations.

• Federal taxes and filings apply nationwide and are governed by the IRS

• State taxes and filings depend on where your LLC is registered and whether it has economic or physical activity in that state

This is why choosing the right state during formation matters so much; it directly affects your long-term compliance burden.

Common Forms for Non-Residents

Non-US-owned LLCs are subject to specific IRS reporting rules, even when no tax is owed. These filings are primarily about transparency and disclosure.

Here’s a breakdown of the most common ones:

Failing to file these correctly can trigger automatic penalties, even if your LLC earned no revenue and owed no income tax.

Ongoing Compliance After Your LLC Is Formed

Opening your LLC is an important milestone, but it’s only the starting point.

To keep your US company legally active and in good standing, ongoing compliance is mandatory, regardless of where you live or whether your business is actively generating revenue.

For non-US founders, compliance is especially critical because missed filings often lead to penalties without warning.

Here’s a rundown of the key requirements.

Key Ongoing Requirements

✔️ Annual State Reports

Most states require LLCs to file an annual (or periodic) report confirming company details such as ownership, registered agent, and address. 

These filings usually involve a state fee and strict deadlines. Missing them can immediately jeopardize your LLC’s good standing.

✔️ BOI (Beneficial Ownership Information) Reporting

Under US federal regulations, many LLCs must report beneficial ownership details to FinCEN. This includes information about individuals who own or control the company. 

BOI reporting is mandatory, time-sensitive, and enforced even if your LLC has no revenue.

✔️ Federal and State Tax Filings

Even when no US income tax is owed, foreign-owned LLCs often have required informational filings at the federal level, as well as state-level filings depending on where the LLC is registered and operates.

🔖 Related Reading: What Are the Ongoing Compliance Requirements for an LLC?

What Happens If You Ignore Compliance

Failing to meet ongoing requirements can lead to serious consequences, including:

• Fines and penalties, some of which are automatic and substantial

• Loss of good standing, which can impact banking, payments, and contracts

• Administrative dissolution of your LLC, effectively shutting down your company

Once an LLC falls out of compliance, restoring it is often more expensive and time-consuming than maintaining it properly from the start.

That’s why doola Tax and Compliance is designed to track deadlines, handle filings, and keep your LLC fully compliant, so you can focus on building your business without worrying about missing critical requirements.

Common Mistakes Foreign Founders Make (and How to Avoid Them)

US LLC formation looks deceptively simple online. But when you’re operating across borders, small early decisions can quietly compound into tax issues, banking blocks, and expensive restructuring later on. 

Below are the most common mistakes foreign founders make, and how to avoid them.

Each of these mistakes is avoidable. But when they happen together, as they often do, the cost adds up fast.

Why “Cheap” LLC Formation Often Becomes Expensive

Many foreign founders are drawn to services advertising “free LLC formation” or ultra-low upfront pricing. On the surface, it looks like a smart way to save money.

In reality, those savings often disappear quickly. Hidden costs show up later in the form of:

• Expensive add-ons for EIN filing, compliance, or registered agents

• Penalties for missed tax or state filings

• Forced restructuring after choosing the wrong state

• Banking and payment processor rejections due to incomplete setups

By the time founders realize what went wrong, they’re already spending more than they would have on a proper setup from day one, often while dealing with frozen accounts or compliance notices.

The takeaway is simple:

When your business is global, the cost of fixing mistakes almost always outweighs the cost of doing it right the first time.

A deeper breakdown of how “free LLC” promises actually play out long term, and how providers like ZenBusiness, Bizee, and doola truly compare, is covered in this guide.

How doola Simplifies Opening an LLC From Abroad

Most LLC formation services are designed for US residents. They assume you already understand the system, can visit a bank if needed, and know how to stay compliant year after year. But doola is different.

doola is built specifically for non-US founders, with infrastructure designed to support cross-border businesses from day one, without requiring you to live in the States or navigate the process alone.

Here’s what you get with doola: 

• LLC formation, done right: State selection guidance, accurate filings, and a registered agent setup tailored to foreign-owned LLCs, so your company is structured correctly from the start.

• EIN filing without an SSN: doola handles IRS submissions for non-US owners, avoiding the common errors that delay EIN approvals and stall banking and payments.

• US business banking access, remotely: Seamless access to US business banking and payment infrastructure, with compatibility for platforms like Stripe, Mercury, and Wise; no US visit required.

• Ongoing compliance and reporting support: Deadline tracking, required filings, and compliance reminders that keep your LLC in good standing, so you never miss a critical obligation.

All of this lives in one integrated platform, designed to remove guesswork, prevent costly mistakes, and give international founders confidence at every stage of the journey.

Start Your US LLC the Right Way With doola

Building a business across borders comes with enough complexity; your company formation shouldn’t add to it.

With doola, international founders can form a US LLC, secure an EIN, open a US business bank account, and stay fully compliant with federal and state requirements, all without living in the United States or navigating fragmented services on their own.

And if you’re serious about building a global business that can scale with confidence, the right foundation matters. doola gives you the structure, clarity, and ongoing support to operate your US company the right way from day 1.

Sign up for our services to start your US LLC with doola, and turn your global business idea into a compliant, fully operational company, without the administration burden .

FAQs

Can I open an LLC in the US without living there?

Yes. Non-US residents can legally own and operate US LLCs without living in the United States.

There is no requirement to be a citizen, resident, or visa holder to form or own an LLC.

Do I need an SSN or ITIN?

No SSN is required to form an LLC. An ITIN is also not needed at the formation stage, though it may be required later for personal tax reporting, depending on your specific tax situation.

How long does it take to open an LLC from abroad?

In most cases, the process takes 2–4 weeks, depending on state processing times, EIN approval for foreign owners, and banking setup.

Which state is best for foreign founders?

For most international founders, Wyoming or Delaware are the most common choices.

The right state depends on your business model, growth plans, and whether you plan to raise venture capital.

Do I have to pay US taxes if I don’t live in the US?

Not always. Whether you owe US income tax depends on where your business activities occur.

However, filing obligations often apply even if no tax is owed, and missing them can lead to penalties.

Can I open a US bank account remotely?

Yes. With the right setup and partners, such as doola, international founders can open a US business bank account remotely, without even traveling to the States.

What happens if I ignore compliance?

Ignoring compliance can result in fines, loss of good standing, banking or payment processor issues, and in serious cases, administrative dissolution of your LLC.