What is a company/LLC?
LLC stands for Limited Liability Company, or "Limited Liability Company." This is a legal structure commonly used in the United States by small business owners, including many immigrants. By creating an LLC, you legally separate your personal assets from your business, which means that in case of debts or legal issues, your personal belongings — such as your house or car — cannot be used to pay the company's debts.
Why should immigrants consider opening an LLC?
Many immigrants in the U.S. work as freelancers in areas such as residential cleaning, gardening, plumbing, painting, or construction. These professionals often operate as individuals, which leaves them legally vulnerable and limits their growth.With an LLC, you formalize your business, start operating as a company, and gain several advantages, such as:
- Greater legal protection
- More credibility with customers
- Ease of issuing invoices and closing larger contracts
- Ability to accept card payments
- Capacity to legally hire helpers or employees
Financial and tax benefits of the LLC
In addition to legal protection, an LLC also brings financial advantages. With a separate business bank account, it becomes easier to organize the business finances. You will be able to better control income and expenses, which greatly simplifies tax filing at the end of the year.Depending on the structure of your LLC, you may even pay less in taxes compared to working as a freelancer.
Is it possible to open an LLC as an immigrant?
Yes! Even those who do not have a green card or Social Security Number (SSN) can open an LLC in many U.S. states. You just need to have an ITIN (Individual Taxpayer Identification Number). In other words, immigrants in different legal situations can formalize their services in a legitimate and secure manner. It is important to highlight that each state has different rules, and some require a physical address in the location. Therefore, having an advisor who knows the process and speaks your language can help avoid headaches.
How does the process of opening an LLC work?
The process can vary from state to state, but generally involves the following steps:
- Choosing the company name
- Registering the LLC with the state
- Obtaining the EIN (Employer Identification Number)
- Creating an Operating Agreement (operating contract)
- Opening a business bank account
- Complying with annual obligations and paying the required fees
It is possible to do all of this alone, but many entrepreneurs prefer to hire professional help to ensure that everything is done correctly, quickly, and legally.
Conclusion: Is it worth opening an LLC?
Yes! If you are an immigrant in the USA and provide services as an electrician, gardener, cleaner, painter, or plumber, opening an LLC may be the missing step to protect your work and grow your business. You legally protect yourself, convey more professionalism, and position yourself better for new opportunities. At Pontal Brazil, we help immigrants open their businesses with clear guidance and full support, from start to finish.
Phone: (973) 344-5032
Email: contact@pontalbrazil.com