Contents
01The short answer
If you are a non-US founder opening a small company to sell services, software or products online, a Wyoming LLC is usually the simpler and cheaper choice to maintain. If you plan to raise money from US venture funds, investors will almost always ask for a Delaware C corporation, not an LLC in either state.
The state matters less than most online discussions suggest. Taxes, banking and annual filings matter more.
Choose the state for your plans in three years, not for the cheapest filing fee today.
02Cost to form and keep
Filing fees change, so check the state website before you file. As of this writing, the pattern is stable: forming either LLC costs around one hundred dollars in state fees, and the difference is in the yearly cost.
- Wyoming: an annual report with a license tax that starts at $60 a year for most small companies.
- Delaware: a flat annual LLC tax of $300, due June 1.
- Both states require a registered agent with a physical address in the state. Expect roughly $50 to $300 a year depending on the provider.
- If you actually do business in another state, for example with an office or employees there, you may also need to register there as a foreign LLC.
03Privacy and the owner information
Neither Wyoming nor Delaware lists LLC members in the public state records by default, which is part of why both are popular. The registered agent address appears instead of yours.
Federal beneficial ownership reporting to FinCEN has changed several times since 2024. Rules for domestic companies owned by foreign persons were narrowed in 2025. Check the current FinCEN guidance at the time you form the company, and do not rely on a blog post, including this one.
04Taxes for a foreign-owned LLC
A single-member LLC owned by one non-US person is, by default, a disregarded entity for US tax purposes. Whether you owe US income tax depends on whether the income is effectively connected with a US trade or business, which in turn depends on things like where the work is done and whether you have dependent agents or an office in the US. Tax treaties can change the answer.
What does not depend on income is the reporting. A foreign-owned single-member LLC must file Form 5472 attached to a pro forma Form 1120 every year, reporting transactions between the company and its owner, including the money you put in to start it. The penalty for not filing starts at $25,000.
This is the filing we see founders miss most often, usually because they assumed no income meant no return. Hire a US tax professional who works with non-resident founders.
06Banking and payments
Opening a US bank account as a non-resident is where most plans stall. Traditional banks often require an in-person visit. Several online banks and financial platforms open accounts for foreign-owned LLCs remotely, but their requirements change often.
Prepare the same documents for every application: formation documents, the EIN confirmation letter, an operating agreement, your passport, proof of your home address and a clear description of what the business does and who its customers are. Vague business descriptions are the most common reason for rejection.
- Formation certificate or articles of organization.
- IRS EIN confirmation letter (CP 575) or its replacement.
- Signed operating agreement.
- Passport and proof of residential address.
- A website or a one-page description of the business with real examples of customers or products.
07After formation: the first 90 days
The company existing on paper is the start, not the finish. The founders who get their first US customers fastest treat these as one project.
- A business address and phone number customers can use.
- A website that explains the offer in American English, with US pricing and payment methods.
- Payment processing and invoicing in US dollars.
- Bookkeeping from the first transaction, so the year-end filings are not a reconstruction.
- A calendar reminder for the annual report and Form 5472.
Questions
Can a non-US citizen own a US LLC?
Yes. There is no citizenship or residency requirement to form or own an LLC in Wyoming or Delaware. You need a registered agent in the state and, for most practical purposes, an EIN.
Do I need to visit the US to open an LLC?
No, formation and the EIN can be done remotely. Banking is the step that may require a visit, depending on the bank.
Is this legal or tax advice?
No. This is a general overview based on public information at the time of writing. Rules and fees change; confirm the details with a US attorney or tax professional before you file.
Where we can help