Which route fits me: part of a corporate group or not?
If a company holds the shares, such as your company at home, your corporation is part of a corporate group. It then also needs documents from your parent company: the Share Subscription Agreement and its resolutions. If you hold the shares yourself, alone or with co-founders, it is not part of a group.
Who can be a Director or Officer?
Any individual, of any nationality, even without residence in Texas or the US. A director doesn't have to be a shareholder. Because directors must be individuals, in a group structure a person from your parent company sits on the board, not the parent company itself. A President and a Secretary are required, and one person can hold every role at once: President, Secretary, sole director and sole shareholder.
How much share capital is required?
There's no share capital requirement as with many European companies, and Texas has not required minimum capital since 2003. In the Certificate of Formation you set how many shares the corporation may issue and whether they have a par value. The board of directors decides what is paid in for the shares.
Do I have to travel to the USA?
Not for the formation; everything is done remotely. You only travel to Austin for the optional introduction at a traditional US bank. With Credit Builder, you travel to the USA once for the bank appointment.
Here's how it works.
How long does it take?
In our experience, the formation is usually complete within three to five business days. The EIN, BE-13 and bank application follow step by step.
What do we need for identity verification (KYC)?
For the formation: the names of the Directors (we enter our address as the mailing address) and the details of the shares; in a group, also the details of your parent company and its representatives. For Mercury: the formation documents, the IRS letter confirming the EIN and your passport; Mercury may also ask for proof of address. For euro account details, Wise requires photo ID of the owners and proof of the company's address.
What does it cost from the second year?
The annual package: $2,400 per year without a group, $2,900 per year in a group. State fees are passed on at cost: Texas charges no separate fee for the Public Information Report, and franchise tax only applies above the revenue threshold. Bookkeeping, annual financial statements and tax returns are only added if you book them.
Do I really need resolutions and minutes?
Yes. They are your corporation's memory, and anyone who does business with you, lends to you or buys from you will want to see them. We keep them from day one.
Why they matter.
Is Delaware the better choice for me?
If your business happens in Texas, your company belongs in Texas too. A Delaware company doing business in Texas also has to register there: two states, two Registered Agents, two sets of filings and fees. Delaware makes sense when there's a specific reason, such as investors or a holding structure. Then we form in Delaware and register in Texas:
Delaware corporation with Texas registration.
Can your corporation get a US bank account if you live in Europe?
According to Mercury, it accepts applications from founders without US citizenship or US residence if the company is formed in the US, operates or plans to operate there and provides a real business address (no Registered Agent address, no P.O. box). We file the application with you once the documents and EIN are in place; Mercury decides on the account. On top of that, euro account details through Wise and, if you travel to Austin, an introduction at a traditional US bank. More under
US banking.
Can my company send employees to its US company?
That's what the L-1 is for, and it's the preferred route: your company transfers someone who has worked for it full time for at least one continuous year in the three years before the application, in a managerial role or with specialized knowledge. For a new US office, business premises must be secured, and the first approval is valid for one year at most. Which route suits whom is set out in writing in the visa roadmap for $2,000, prepared with the immigration attorney on the firm's team, who also files the petitions.
What does the corporation mean for my taxes and my company at home?
That depends on your situation, and that's exactly what the tax plan for $2,000 is for: in writing and coordinated with your accountant at home. The tax limits in the Texas constitution apply to individuals, not to the corporation: it is subject to franchise tax and US federal taxes, and your parent company is taxed in its home country.
How do I build a credit history in the USA?
With two connected histories: yours and your company's. The strongest business cards also check your personal credit history. That's why we build both. For you:
ITIN Express included, a US bank account, a US residential address with a phone line and our guidance to your first credit card; on-time payments on cards that report to the credit bureaus can help build a credit history. For your company: the D-U-N-S number, the Mercury IO card, whose payments Mercury says it reports to Experian, Equifax and Dun & Bradstreet (Mercury decides on the card), and a second business card that reports to the bureaus. We stay with you until your company has its own credit.
All about Credit Builder.