Where Should You Invest?
What’s the best location for your E-2 business?
When setting up an U.S. business as a non –resident, you will face many important decisions. Usually, one of the biggest challenges is to choose where your new business will be located. The U.S. consists of many different geographic and demographic consumer markets, each with distinct tastes, purchasing behaviors, legal and tax regulations and climates. Therefore, location matters enormously and it can influence whether your business succeeds or fails.
Location. Location. Location.
First of all, you have to consider scope of your business. Some places are better for different kinds of companies depending on the industry. For example, consumer-focused Internet start-ups boom in Silicon Valley, Boston is the best for biotech and big data, and for media- and fashion-focused enterprises, New York is the right place to make money. Also you should take into account availability of human capital, networking possibilities and consumer values of particular region. There are major differences between laid back, creative West Coast mentality and assertive, fast-paced East Coast business culture, so it’s up to you which one do you prefer. Moreover, since you have to personally supervise operation of your business and usually taking all your dependants with you, also cost of living can play significant role in your decision process. You should know that popular places like New York and San Francisco come with a price tag and rent and living expenses can negatively influence your business viability, especially if you are budding entrepreneur.
Where to incorporate?
Another thing is a choice of the state of incorporation of a company. You have to know that it doesn’t have to be the same as place where you actually do a business. Nevada, Delaware, and Wyoming are typically referred to as “corporate heavens” and are all popular jurisdictions to incorporate your business. Friendly corporation laws and no corporate income taxes make these states favorites among others. However, incorporation in other states is not really bad idea either. In fact, if you do business in only one state and intend to do business only there, then it is best to incorporate in that particular state. That’s because whenever you incorporate in a different state than where your business is located, you are considered operating out of state and will have added fees and paperwork. So at the end, the benefits of incorporating in corporate heaven won’t be as strong for a small company to counterbalance the added fees and hassle.
As you can see, there are many elements that you have to consider by choosing a business location. It is perhaps the most critical decision in investment process, and once you are committed to a choice, it is expensive to change. So to be sure that you are doing the right thing, contact immigrationbiz.com for more information. Our professional team is always ready to help you.
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