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Is a single-member LLC a good structure for a foreign owner?

Incorporation & entity structure

It is simple to form and cheap to run, which is why many foreign owners start there. The catch is the reporting: a foreign-owned single-member LLC must file Form 5472 with a pro forma 1120, and the penalty for missing it starts at 25,000 dollars.

If you plan to raise US venture money, a C-Corp is the structure investors expect.

We handle this for founders running US companies.

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Check your EIN confirmation letter (CP 575) first. If that is gone, look at a previously filed tax return, a business bank account application, or any 1099 you have issued. Your bank or your payroll provider will also have it on file.

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