Foreign Ownership of US Companies
Generally, there are no restrictions on foreign ownership of a company formed in the United States. The procedure for a foreign citizen to form a company in the US is the same as for a US resident. It is not necessary to be a US citizen or to have a green card to own a corporation or LLC.
- A foreign individual can form and operate his LLC from wherever he happens to be.
- If the foreign company wishes to open a new US branch, affiliate, or subsidiary, immigration laws allow for the transfer of one managerial or executive employee to open and manage the new US entity through the initial start-up phase.
Foreign Companies Acquiring US Companies
- Can a foreign company acquire a US company?
- Common methods used to acquire US businesses include: stock purchase, asset purchase, and statutory merger.
- Three significant laws impacting foreign companies acquiring a US corporation are: Section 7 of the Clayton Act, The Hart-Scott-Rodino Antitrust Improvements Act of 1976, and The Exon-Florio Amendment to the Defense Production Act of 1950.
Establishing a US-Based Company
- Our focus is representing U.S. private companies, business owners, and investors in the acquisition of foreign companies, including corporate structures with subsidiaries in various countries outside of the United States.
Can a Foreign Own a Business in the USA?
- The procedure for a foreign citizen to form a company in the US is the same as for a US resident. It is not necessary to be a US citizen or to have a green card to own a corporation or LLC.
- Foreign entrepreneurs have two primary choices of business structure for their United States business: the C Corporation and the Limited Liability Company (LLC) – both excellent options for foreign-owned businesses.
- When registering a business in the U.S., foreign entrepreneurs should research the specific requirements for their chosen state. Typically, businesses must obtain a business license and register for state and local taxes.