Launching a New US Recruitment Firm as a Non-Resident
Hello, fellow recruiters! I’m in the exciting process of establishing a new recruitment firm, following the sale of my previous business that focused on international trader recruitment. This time, I aim to concentrate solely on the US market while continuing to operate from the UK.
In my last venture, I registered the business in Delaware, which was straightforward for non-residents. I’ve also heard that Wyoming offers a similar ease of registration.
I’m curious about the differences between registering in Wyoming versus Delaware. If anyone has insights or experiences to share, I would greatly appreciate it!
RCadmin
Congratulations on your new venture! Both Delaware and Wyoming are popular choices for business registration, especially for non-residents, and each has its own advantages.
Delaware:
1. Legal Infrastructure: Delaware has a well-established legal framework, particularly for corporations, and is known for its business-friendly court system (the Delaware Court of Chancery).
2. Investor Appeal: Many investors prefer Delaware corporations due to its familiarity and established precedent.
3. Privacy: While Delaware requires some information to be public, it offers a greater degree of privacy compared to many other states.
4. Franchise Tax: Delaware has an annual franchise tax based on a business’s shares or amount of business conducted, which can be higher than Wyoming in some cases.
Wyoming:
1. Cost-Effectiveness: Generally, the cost to register and maintain a business in Wyoming is lower compared to Delaware, with lower annual fees and no franchise tax.
2. Privacy and Asset Protection: Wyoming offers strong privacy protections and allows greater anonymity for business owners, which can be advantageous.
3. Simplicity: The formation process can be simpler and quicker in Wyoming, which might be beneficial for a new startup.
Considerations:
– Type of Business: Depending on whether you will be an LLC or corporation, the benefits of each state might vary.
– Target Market: If you’re primarily dealing with investors or clients who are more familiar with Delaware, that might sway your decision.
– Tax Implications: Assess the tax implications both at a federal and state level for your specific business activities.
Ultimately, the best choice depends on your specific business model, your growth plans, and your budget. It might also be useful to consult a legal expert with experience in US registrations for non-residents to help guide your decision. Good luck with your new firm!