Many Indian entrepreneurs pour weeks into choosing a state, filing Articles of Incorporation, and picking a company name — then stall out on what comes next. EIN applications stumble without an SSN. Bank accounts get rejected. Form 5472 deadlines slip by unnoticed, carrying a $25,000 penalty for non-filing, according to the IRS Form 5472 instructions.
This guide walks through the complete post-formation roadmap: immediate setup tasks, structural decisions, ongoing US compliance, and the parallel India-side reporting most founders forget about.
Key Takeaways
- Secure your EIN, registered agent, and US bank access within 30-90 days of formation
- Indian founders without an SSN must apply for an EIN by phone, fax, or mail, not the online portal
- Treat Form 5472, annual reports, and franchise tax as recurring obligations, not one-time filings
- Choose LLC vs C-Corp with care: it sets your tax forms and investor readiness for years
- File RBI ODI and APR returns on their own deadlines in parallel with US compliance
Immediate Steps After US Company Formation
Your Articles of Organization or Incorporation prove your company exists. They don't make it operational. Before you invoice a single client, five things need to happen.
Getting Your EIN Without an SSN
The IRS offers four ways to apply for an EIN using Form SS-4: online, phone, fax, or mail. Online applications are restricted to applicants based in the US, so India-based applicants are routed to phone, fax, or mail instead.
If you have no SSN or ITIN, the SS-4 instructions say to write "foreign" or "N/A" on line 7b. From there:
- Phone: Call 267-941-1099, Monday to Friday, 6:00 a.m. to 11:00 p.m. Eastern Time. This line is reserved for international applicants
- Fax: Processed within roughly 4 business days, available 24/7
- Mail: Send to IRS, Attn: EIN International Operation, Cincinnati, OH 45999; allow 4 to 5 weeks before you need the EIN, per the IRS SS-4 instructions
Keep your passport, formation documents, and a clear explanation of business activity ready before you call. Confusion on the call usually means a callback, not a rejection, but it costs time.
Appointing a Registered Agent
Every US state requires a registered agent with a physical in-state address. Delaware requires the agent to maintain a Delaware office open during normal business hours. Wyoming explicitly disallows PO boxes, virtual addresses, and mail-forwarding services for this role, according to the Wyoming Secretary of State.
If you're in India, you simply cannot self-serve this role. A commercial registered agent (sometimes bundled into your formation package) becomes non-negotiable.
Opening a US Business Bank Account
Traditional banks often expect an in-person visit, which isn't realistic if you're applying from India. Fintech platforms like Mercury have filled this gap, accepting international passports for identity verification and not requiring US citizenship or residency.
Mercury's stated document checklist includes:
- State-filed formation documents
- An IRS-issued EIN confirmation (CP575, 147c, or the returned SS-4 — not the submitted application)
- Photo ID for owners holding 25% or more of the company
One catch: Mercury won't accept a registered-agent address or PO box as your operating address, per its eligibility documentation. You'll need a genuine US or international business address.
Securing a US Address and Phone Number
Banks, vendors, and state licensing bodies frequently ask for a US-based address and phone number. A virtual office or dedicated business line solves this without requiring you to relocate.
Setting Up Initial Governance
LLCs need an operating agreement; corporations need bylaws. These aren't optional paperwork.
An LLC operating agreement generally isn't filed publicly, but it governs ownership splits, voting rights, and profit distribution, per Wolters Kluwer's guidance. If you have co-founders, get this drafted before disagreements start, not after.
Choosing the Right Business Structure Post-Formation: LLC vs Inc.
This decision shapes every filing you'll do for years. Here's how the two structures compare:
| Factor | LLC | C-Corp |
|---|---|---|
| Taxation | Pass-through: profits flow to owners' returns | Double taxation: company pays tax, then dividends are taxed again |
| Filing form | Form 1065 (multi-member) or Schedule C (single-member) | Form 1120 |
| Liability protection | Yes | Yes |
| Investor readiness | Limited (VCs rarely invest in LLCs) | Preferred (NVCA standard financing documents assume a corporate structure) |
| Governance formality | Operating agreement, informal | Bylaws, board, shareholder meetings |
A multi-member LLC files an information return and doesn't pay tax directly; profits pass through to members, per the IRS Form 1065 overview. A single-member LLC is typically a disregarded entity and reports on the owner's Form 1040. A C-Corp calculates its own tax liability on Form 1120 and can't deduct dividends paid to shareholders.
One rule Indian founders often miss: S-Corp status is off the table entirely. The IRS excludes non-resident alien shareholders from S-Corp eligibility.
If you're planning to raise venture capital eventually, a C-Corp is the safer default. Most institutional investors expect it.
If you're running a services business with a handful of owners and no fundraising ambitions, an LLC's simpler compliance load may suit you better.
Ongoing Tax and Regulatory Compliance for Indian-Owned US Companies
Formation is a one-time event. Compliance isn't.
Form 5472: The Filing You Cannot Skip
Any US entity that is 25% or more foreign-owned—including single-member disregarded LLCs—must file Form 5472 for reportable transactions with related parties.
A wholly foreign-owned disregarded entity attaches Form 5472 to a pro forma Form 1120, due by the same deadline as Form 1120, including extensions. Miss it, and the penalty is $25,000; a substantially incomplete filing counts as a non-filing.
State-Level Annual Obligations
| State | Obligation | Deadline |
|---|---|---|
| Delaware | Franchise tax + annual report | March 1 (domestic corps) |
| Wyoming | Annual report + license tax (min. $60) | Anniversary month |
| Nevada | Annual list ($150 for LLCs) | Anniversary-based |
Delaware's minimum franchise tax is $175 under the authorized-shares method, per the Delaware Division of Corporations. Miss a deadline and you risk losing good standing, which complicates banking, contracts, and future funding rounds.
Federal Returns and ECI
Which federal return you file depends on entity type:
- Corporations: Form 1120
- Partnerships: Form 1065
- Foreign corporations engaged in a US trade or business: Form 1120-F
Income effectively connected to that US trade or business (ECI) is taxed at graduated rates after deductions, not a flat withholding rate. Exact treatment depends on your entity type and any applicable US-India tax treaty provisions.
Don't Forget the India Side
RBI's Overseas Investment Directions require an Annual Performance Report (APR) for every foreign entity where an Indian resident holds ODI. File it through your Authorised Dealer bank each year until the investment is fully disinvested.
If your US entity's accounting year ends December 31, the APR is due by December 31 of the following year, per RBI's notification. Incomplete filings are treated as non-submission; a late-fee mechanism exists for up to three years after the due date.
Building Operational Infrastructure
Once compliance basics are handled, focus shifts to running the business day-to-day.
- US phone number and website — needed for vendor onboarding, payment processors, and credibility with US customers
- Merchant account/payment gateway — most require a US bank account and EIN already in place
- Apostille certification — required when Indian banks or regulators need your US formation documents; India accepts apostilles under the Hague Convention (since 2005) without further attestation (Ministry of External Affairs)
- Visa vs ownership — owning and directing a US company from India does not require a US visa—only physical work inside the US does
How VJM Global Supports Indian Companies Expanding to the US
Running US compliance from India means juggling two time zones, two sets of regulators, and two filing calendars that rarely align. Miss the overlap, and something falls through.
VJM Global's cross-border teams work both sides of the filing calendar, using each market's own regulators rather than forcing an Indian framework onto US filings (or the reverse). Support typically covers:
- Entity formation
- EIN application support
- Accounting
- Ongoing compliance management
With 30+ years of experience and 500+ American business owners served, the firm is set up for this dual-country coordination.
For Indian founders, that means one point of contact instead of separate US and India advisors who don't talk to each other.
Frequently Asked Questions
What should I do right after forming my US company?
Get an EIN, confirm your registered agent, and adopt an operating agreement or bylaws. Then open a business bank account and set up bookkeeping before you take on revenue or sign contracts.
How do I get an EIN from India?
Non-residents without an SSN can apply on Form SS-4 by IRS phone, fax, or mail using a passport. The international phone line is usually the fastest path to a same-day EIN.
Can I open a US business bank account from India?
Yes. Some banks still want an in-person visit; many founders use online or fintech business accounts that support non-resident owners. Keep your formation documents, EIN letter, and passport ready.
What ongoing compliance does a US company need?
Most states require an annual report plus a franchise tax or similar fee. You also file federal—and often state—tax returns each year, even if the company earned no income.
When do non-resident owners file US taxes?
Calendar-year entities generally face a mid-April federal deadline, with extensions available. Forms depend on LLC vs C-Corp status and any tax elections; non-residents usually cannot use S-Corp status.
