Realistic LLC Formation Costs in the US for Indian Entrepreneurs 

Introduction

Starting an LLC in the US as an Indian citizen involves many benefits like a large customer base, strong legal protection, and global trust. For Indian entrepreneurs and other non-residents, setting up a company as an LLC in the US is a popular choice. The process is quite simple, but total costs depend on which state you choose and any extra services you might need.

What is an LLC? 

An LLC is a business structure that protects owners’ personal assets from business debts, like a corporation. Profits pass through to the owners, who pay taxes on them individually. It can have one or many owners, including individuals or other businesses. LLCs are called hybrid because they combine features of corporations and simple businesses.

LLC Formation & Compliance Cost Table for Indian Entrepreneurs   

Costs for Indians Registering an LLC in the USA 

State Filing Fees and Annual Maintenance Costs: Each US state has its own fee to start and maintain an LLC. Popular states for Indian entrepreneurs are-

• Delaware- (i)LLC filing fee = $90 (ii)Annual franchise tax = $300 (iii)No annual report required

• Wyoming- (i)LLC filing fee = $100 (ii)Annual report fee = $60

• Nevada- (i)Initial set up = $425( filing 75, initial list 150, business license 200) (ii)Annual renewal = $350

Note: If you don’t pay annual fees or file required reports, your LLC can be suspended or dissolved

Registered Agent and US Business Address: If you don’t live in the US, you must hire a registered agent to receive legal mail for your LLC

• Registered Agent Fee- $50 to $300 per year

• Virtual Business Address- $10 to $50 per month

Note: Many LLC companies provide both services as part of the package

Getting an EIN(Employer Identification Number): An EIN is like a business PAN number. It is required to-

• Pay US taxes

• Open a business bank account

• Hire Employees

• Free if you directly apply via IRS.gov

• Paid services charge $50 to $150 if you are a non-resident without a US Social Security Number

Bank Account and Legal Services:

• Business Bank Account- (i)Most US banks require a personal visit (ii)Some online banks allow remote setup from India

• Lawyers/CPAs/LLC setup services- (i)Creating an operating agreement (ii)Filing taxes (iii)Legal advice for compliance

• Costs- $300 to $1500, depending on services

 Additional Costs 

1. Publication Fees: Some US states like New York, Nebraska, and Arizona require new LLCs to publish a notice in a local newspaper to announce the business formation. For eg- In New York, you must publish in two newspapers for six weeks in the sector where your LLC is registered. The cost can range from $100 to over $1000, depending on the newspaper. There’s also a $50 state filing fee for submitting the Certificate of Publication.

2. Business License Fees: If your LLC operates in regulated industry like alcohol sales, beauty services, or financial advising, you will likely need a state license or permit. There may be renewal fees as well, which might be charged every year or periodically by state or local authorities to keep your license active.

3. Professional and Legal Fees: You may choose to hire an LLC formation service, lawyer, or accountant to help set up your business in the US. These professionals can assist with preparing and filing LLC documents, explaining tax and legal benefits, submitting tax forms, and meeting state filing requirements.

Conclusion 

Starting an LLC in the US as an Indian entrepreneur involves various costs that vary by state and services needed. Key expenses include state filing fees, registered agent charges, and possible professional fees. Additional costs like publication and business licenses may apply depending on your business type and location. In short, careful planning helps manage these costs effectively for a smooth LLC setup.

Suggested Read :

What is LLC and how to register LLC company in USA?
LLC Benefits in the US for Indian Companies
Registered LLC Penalties Despite No Activity
Right State for US Company Incorporation

Cost-Focused FAQs: Realistic LLC Formation Costs for Indian Entrepreneurs

1.What is the minimum budget to start a US LLC from India?

At the bare minimum, you’ll need around $300 to $700. This includes:

• State filing fee: $35–$500
• Registered agent: $50–$300
• EIN assistance (optional): $50–$150
• Ebizfiling offers bundled LLC setup plans to simplify this process affordably.

2. Do US LLC setup costs differ for Indian citizens?

No. Filing and state fees are uniform for all applicants.
However, Indian founders often spend more on:

• International tax guidance
• Virtual US address services
• Ebizfiling helps reduce these overheads with India-friendly setup solutions.

3. Which US state is the most budget-friendly for Indian entrepreneurs?

• Wyoming: Low fees and no income tax (recommended for cost-conscious founders)
• Delaware: Startup-friendly and globally trusted
• Nevada: Higher setup fees but strong privacy and asset protection
• Ebizfiling helps you compare and choose the best state based on your business model.

4. Are there annual costs to maintain a US LLC?

Yes. Ongoing compliance includes:

• Annual report or franchise tax ($0 to $800 depending on state)
• Registered agent renewal
• Ebizfiling sends automated reminders and handles renewals on your behalf.

5. Can I get an EIN for free or do I need to pay?

You can apply for an EIN free at IRS.gov.
However, if you lack a US Social Security Number, the process is tricky.
Ebizfiling offers EIN filing support for Indian founders at nominal cost.

6. Is a virtual U.S. address mandatory?

Yes — it’s essential to:

• Receive IRS and legal mail
• Open a U.S. bank account

7. What hidden costs should I plan for?

In addition to state fees:

• Publication fees (NY, AZ, NE): $100–$1,000+
• Professional setup or compliance help: $300–$1,500
• Business licenses if operating in a regulated sector

Ebizfiling’s checklist helps avoid these surprises during LLC setup.

8. Do I need a lawyer or CPA to form a US LLC from India?

Not mandatory, but it’s advisable for:

• Complex ownership structures
• IRS compliance (e.g., Form 5472)

9. Should I form the LLC myself or use a service provider?

Using service provider like Ebizfiling helps avoid errors and delays, especially with EIN, documents, and compliance.

10.Can I open a US business bank account without traveling?

Yes — several online banks allow remote account setup for non-residents.
Ebizfiling can guide you through the documentation needed to complete this step from India.