Step-by-Step Guide to Open US LLC from India
Let me save you the hours I spent Googling this.
Yes, you can open a US LLC sitting in India. No flights, no visa, no US contacts needed. I know it sounds too clean, but it genuinely is that straightforward — if you know what you’re doing.
Here’s exactly how it works.
Best US State to Open an LLC from India
You’re not opening a business in a city — you’re choosing a state, and the state you pick matters more than most people realize.
Three states dominate for non-residents:
- Wyoming — privacy-friendly, low annual fees, no state income tax. Most online founders land here.
- New Mexico — the cheapest option and almost no ongoing requirements. Great if you want something simple and quiet.
- Delaware — the classic startup choice. Only really matters if you’re planning to raise VC money, because investors expect it.
If you’re freelancing, running a SaaS, or doing consulting — Wyoming is probably your answer. Delaware’s reputation is mostly useful if you’re pitching to US investors.
Choosing a Name for Your US LLC
Your LLC name needs to be unique in whichever state you choose. It also has to include “LLC” or “Limited Liability Company” at the end — that part’s non-negotiable.
Most state websites let you search existing names for free. Do that before you get attached to anything.
Why Your US LLC Needs a Registered Agent
This is the part people don’t expect. Every US LLC needs a registered agent — a person or company with a physical US address in your chosen state who can receive legal and government mail on your behalf.
You can’t use a PO box. You can’t use your own address (you’re in India). So you hire a service, which typically runs $50–$150 a year. Most LLC formation companies bundle this in.
How to File Your LLC Formation Documents
This is the actual document that creates your LLC. It goes to the Secretary of State’s office in your chosen state. Most states approve it within 1–5 business days. Some offer same-day processing for an extra fee.
Once this is approved, your company legally exists.
Getting an EIN for Your US LLC as an Indian Resident
An EIN is your company’s tax ID number — think of it like a PAN card, but for your US business. You need it to open a US bank account, get paid through Stripe or PayPal, and stay compliant with the IRS.
For Indian residents, getting an EIN on your own is genuinely painful. No SSN means no online application. It involves faxing Form SS-4 to the IRS and waiting weeks — sometimes longer.
That’s why we handle it for you. When you form your LLC through Instantly.one, we get your EIN included at no extra cost. No faxing, no waiting on hold with the IRS, no paperwork headaches on your end.
Operating Agreement for a Foreign-Owned US LLC
Even if you’re the only person in the company, write an Operating Agreement. It’s an internal document that explains how the LLC is run — who owns what, how decisions get made, what happens if you want to close it.
Banks sometimes ask for it. It also reinforces that your LLC is a real, separate entity — which matters legally.
Why Indian Founders Open a US LLC
The honest reason most people open a US LLC isn’t the liability protection (though that’s real). It’s access.
Stripe won’t onboard Indian businesses directly in many cases. PayPal has limits. International clients — especially in the US and Europe — are sometimes hesitant to wire money to an Indian account. A US LLC with a US bank account quietly removes most of those friction points.
It also just looks different on a proposal or invoice. Whether that’s fair or not, it’s true.
US LLC Taxes for Indian Residents — The Honest Version
This is where it gets genuinely complicated, so I’ll give you the honest version instead of the oversimplified one.
If your LLC has no real US presence — no US employees, no US office, all your work happens in India — then the LLC itself often owes no US federal income tax. That said, you still have to file paperwork with the IRS every year (Form 5472 and a pro-forma Form 1120). Miss those and the penalties are brutal — $25,000 per missed form.
On the India side, the income you earn through the LLC is generally still taxable in India, because you’re a tax resident here. The structure can be efficient, but it’s not a magic tax escape hatch. Talk to a CA who’s actually worked with foreign-owned LLCs before you assume anything.
Cost of Opening a US LLC from India
| What you’re paying for | Rough range |
|---|---|
| State filing fee | $50 – $800 (one-time) |
| Registered agent | $50 – $150/year |
| EIN filing (if done by a service) | $50 – $200 ( free with instantly.one) |
| Ongoing compliance | Varies by state |
Wyoming’s annual report fee is around $60. New Mexico has no annual report at all. Delaware’s franchise tax can get expensive depending on how it’s calculated — worth knowing upfront.
The fastest path is using a formation service that handles the filing, registered agent, and EIN process together. You fill out a form, pay the fee, and they handle the back-and-forth with the state.
If you want to do it yourself, you absolutely can — it just takes more patience, especially with the EIN application.