Thread by Arjun Mahadevan 🇺🇸
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- Feb 15, 2023
- #Business #Economics
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As I slowly, yet surely, turn in to Mr. LLC 🇺🇸, the most common question I get asked is: Why should I form a US LLC?
Here are the top reasons I've learned after personally working with 1000s of founders globally:
Here are the top reasons I've learned after personally working with 1000s of founders globally:
Liability Protection 🛡
Liability protection (ie "LLC = limited liability company") is 🔑. This is huge as it prevents your personal assets from being seized in the case of a lawsuit.
Liability protection (ie "LLC = limited liability company") is 🔑. This is huge as it prevents your personal assets from being seized in the case of a lawsuit.
Transacting in $USD 💵
The US dollar is a globally accepted currency, and in this day and age, every business wants to sell globally (and to customers in the US).
The US dollar is a globally accepted currency, and in this day and age, every business wants to sell globally (and to customers in the US).
Social Proof of US Financial Infrastructure ✚
The social proof, trust, and reliability of US payments are second to none in the eyes of customers globally and a key need for your global digital business.
The social proof, trust, and reliability of US payments are second to none in the eyes of customers globally and a key need for your global digital business.
Enhancing the reputation of your company to US customers and to markets overseas 🤩
There is prestige in having a US company (this actually matters). Even being able to add a US mailing address to your website's footer provides a very STRONG level of trust and reputability
There is prestige in having a US company (this actually matters). Even being able to add a US mailing address to your website's footer provides a very STRONG level of trust and reputability
Social Proof of Having a US Company ❤️
The US also has a great (arguably the best) business reputation globally. Having a US company creates more social proof for your customers, where they can further trust your company and buy your services/products.
The US also has a great (arguably the best) business reputation globally. Having a US company creates more social proof for your customers, where they can further trust your company and buy your services/products.
Low Barriers to Entry 🏃♀️
There are low barriers to entry (non-US residents can form LLCs remotely!) and maintenance costs are not financially prohibitive.
Especially when you use something like @doolaHQ 😄
There are low barriers to entry (non-US residents can form LLCs remotely!) and maintenance costs are not financially prohibitive.
Especially when you use something like @doolaHQ 😄
A US Business Bank Account 🏦
A US Company is a means to an end to get an EIN → US Bank Account -> US Payments
And yes, let me clarify this once and for all: it IS POSSIBLE to open a US bank account without a SSN!
A US Company is a means to an end to get an EIN → US Bank Account -> US Payments
And yes, let me clarify this once and for all: it IS POSSIBLE to open a US bank account without a SSN!
Reliable Payment Systems 💳
With a US bank account, you can get access to US payment platforms like Stripe & PayPal. From a credibility and stability perspective, US banking / US Payments (vs other "native" options in one's country) are highly preferred by companies globally.
With a US bank account, you can get access to US payment platforms like Stripe & PayPal. From a credibility and stability perspective, US banking / US Payments (vs other "native" options in one's country) are highly preferred by companies globally.
Selling to US Customers 🇺🇸
With a US company, you can sell to US customers, one of the world's most lucrative customer segments.
With a US company, you can sell to US customers, one of the world's most lucrative customer segments.
Global Company Hub in the US 🏤
If you have a company with global aspirations and/or customers globally, having a US company as your "hub" can be a key strategic decision to centralize your operations
If you have a company with global aspirations and/or customers globally, having a US company as your "hub" can be a key strategic decision to centralize your operations
It's a Magical Feeling 🪄
Okay had to include this... having your own US company? Seeing the articles of incorporation?
It's a *magical* moment
Okay had to include this... having your own US company? Seeing the articles of incorporation?
It's a *magical* moment
Have you formed an LLC before?
Why did you form your LLC and what benefits did you see?
What else am I missing?
Let me know below!
Why did you form your LLC and what benefits did you see?
What else am I missing?
Let me know below!
I hope you've found this thread helpful.
Follow me @arjunmahadevan for everything LLCs (formation, banking, taxes and more)
Comment on/Retweet the first tweet below if you can to inspire someone to turn their dream idea into their dream US business, today 🇺🇸
Follow me @arjunmahadevan for everything LLCs (formation, banking, taxes and more)
Comment on/Retweet the first tweet below if you can to inspire someone to turn their dream idea into their dream US business, today 🇺🇸
