# Starting a Business in the USA as a Non-Citizen
## Understanding Work Authorization
The short answer is: Yes, you can start a business in the USA. However, if you want to work for that business, you will need work authorization. Here, I will discuss work authorization and go over 4 ways to start and operate a business in the US. The first two ways can be done without work authorization, while the second two ways use visa categories that allow you to run a business in the US.
Apply for an L-1 visa if you are transferring from an affiliate company to start your business in the United States. Once approved, you will be eligible to do business.
## Steps to Starting a Business
1. Hire staff. Ensure you calculate workers' wages in accordance with city and state laws.
2. Hire a lawyer. Legal assistance is crucial in the American market, especially if you are not fluent in American law.
3. Register a company and pay a fee that can vary up to $1,000 depending on the state.
### Visa Options for Foreign Entrepreneurs
- **E-2 Investor Visa**: This is for business owners that wish to start a company they will develop and direct. It is a non-immigrant visa and does not lead to a green card.
- **B-1/B-2 Short-Term Visa**: Allows for exploring business opportunities or attending conferences.
- **EB-5 Investor Visa**: This visa is for significant investment in new U.S. enterprises.
**Note**: Work permits allow signing contracts with employers, but do not permit starting and actively managing a business.
Can international students open a business in the US? Most F-1 visa students are advised against engaging in business activities.
Non-citizens can hold positions as shareholders, directors, or officers. To perform operational tasks, a valid work visa is generally needed.
## Starting and Funding Your Business
Steps to be followed:
1. Develop a business idea and assess its viability.
2. Create a business plan outlining your objectives, target market, and financial projections.
3. Choose a business structure that suits your needs.
4. Seek funding through options like venture capital or crowdfunding.
Marketing your business as a foreign entrepreneur requires understanding the U.S. market and obtaining the right visa.
## Registering a Company and Visa Requirements
Both residents and non-residents can register a company in the US. The process involves several steps but does not require physical relocation.
To work within your business, you will need an EAD or green card to comply with U.S. employment laws and receive compensation.
## Using an EAD for Business
An Employment Authorization Document (EAD) allows you to legally start a business in the U.S. With an EAD, you can:
- Keep your current job.
- Set up a registered entity for your business.
- Work at your business part-time.
Remember, the ability to work for or be employed by the business will depend on obtaining an EAD.
Advisor