A US vendor and a security review
Enterprise procurement wants a US company, its tax form and often a security questionnaire.
Cleared by the LLC
Built for · AI
A US company for an AI startup founded outside the United States
AI startups form US companies for the same reasons as any software company, and one more: many of their customers, their compute and their investors are in the United States, and all three prefer a US company to deal with.
01 · Why a US company
What it does for AI startups.
An AI product sells API usage or seats to companies that want a company to invoice them, runs on cloud accounts billed to a company, and is often built expecting to raise money.
Read the full explanation
An AI product sells API usage or seats to companies that want a company to invoice them, runs on cloud accounts billed to a company, and is often built expecting to raise money. A Wyoming LLC covers the first two and can be converted for the third. A Delaware C-Corporation covers all three from day one, at a higher yearly cost, and is the right choice if you already know investors are coming.
The structure tool gives you the answer and the reasoning. In short, raising within two years points to Delaware, and being funded by customers points to Wyoming.
- 01
Usage billing that works
A US company is on every processor's country list, and invoices are paid in dollars.
API usage payout+9,120.00 USD - 02
A US vendor for procurement
Enterprise customers want a US company, and often a security questionnaire.
VendorAster AI LLC - 03
Cloud accounts in the company's name
Cloud providers bill a company, and their startup credit programmes ask for one.
Billing accountAster AI LLC - 04
Funded by customers, or by investors
A Wyoming LLC costs less to keep. A Delaware C-Corporation is what most investors and accelerators expect.
Customers · InvestorsSeparate accounts
02 · What stands in the way
Three things in the way, and one way through.
Usage billing needs a working processor
Processors for usage-based billing may not serve the country you live in.
Cleared by the LLC
Programmes that expect Delaware
Many investors, accelerators and grant programmes expect a Delaware corporation.
Cleared by the LLC
A US company, with its EIN and a US bank account.
An LLC if customers fund you, a Delaware C-Corporation if investors will. Both answer the walls above.
Start a company03 · Your options
Three ways to structure an AI startup abroad.
The question is who pays for the compute. Customers point to an LLC; US investors point to a Delaware corporation.
| Your company at home | A Delaware C-Corp | A Wyoming LLCWhat we set up | |
|---|---|---|---|
| US investors and SAFEs | A cost or a limit: Usually want a US parent first | Works in your favour: What their documents assume | A cost or a limit: Convert first, at legal cost |
| US enterprise customers | A cost or a limit: A foreign vendor, paid by wire | Works in your favour: A US vendor, W-9, paid by ACH | Works in your favour: A US vendor, W-8BEN from you, paid by ACH |
| Stripe for usage billing | A cost or a limit: Depends on your country | Works in your favour: As a US business | Works in your favour: As a US business |
| US tax on the profit | Neutral: Your country's | A cost or a limit: 21% federal, on the corporation | Works in your favour: Usually none, run from abroad |
| Yearly cost to the state | Neutral: Your country's | A cost or a limit: $450, Delaware | Works in your favour: $60, Wyoming |
| Yearly US filing | Works in your favour: None | A cost or a limit: Form 1120, with 5472 if 25% foreign-owned | A cost or a limit: Form 5472, and Wyoming's report |
Works in your favourNeutralA cost or a limitRaising from US investors within two years? Start as the corporation. Converting later works, but costs legal fees at the moment you can least spare them.
Your company at home
- US investors and SAFEs
- Usually want a US parent first
- US enterprise customers
- A foreign vendor, paid by wire
- Stripe for usage billing
- Depends on your country
- US tax on the profit
- Your country's
- Yearly cost to the state
- Your country's
- Yearly US filing
- None
A cost or a limit:
A cost or a limit:
A cost or a limit:
Neutral:
Neutral:
Works in your favour:
A Delaware C-Corp
- US investors and SAFEs
- What their documents assume
- US enterprise customers
- A US vendor, W-9, paid by ACH
- Stripe for usage billing
- As a US business
- US tax on the profit
- 21% federal, on the corporation
- Yearly cost to the state
- $450, Delaware
- Yearly US filing
- Form 1120, with 5472 if 25% foreign-owned
Works in your favour:
Works in your favour:
Works in your favour:
A cost or a limit:
A cost or a limit:
A cost or a limit:
A Wyoming LLCWhat we set up
- US investors and SAFEs
- Convert first, at legal cost
- US enterprise customers
- A US vendor, W-8BEN from you, paid by ACH
- Stripe for usage billing
- As a US business
- US tax on the profit
- Usually none, run from abroad
- Yearly cost to the state
- $60, Wyoming
- Yearly US filing
- Form 5472, and Wyoming's report
A cost or a limit:
Works in your favour:
Works in your favour:
Works in your favour:
Works in your favour:
A cost or a limit:
Works in your favourNeutralA cost or a limitRaising from US investors within two years? Start as the corporation. Converting later works, but costs legal fees at the moment you can least spare them.
04 · Step by step
From company to first enterprise contract, in seven steps.
Choose the structure for where the money will come from. The rest is paperwork buyers and programmes check.
Step 1: Choose the structure
Funded by customers: a Wyoming LLC. Raising from US investors within two years: a Delaware C-Corporation. The three-question tool gives the answer and the reasoning.
Before you orderYou and your co-foundersStep 2: Form the company
We file it, with the founders' split in the operating agreement or the first stock issue. Wyoming approves an online LLC filing the same day it is filed; Delaware takes two to three weeks.
Same day in WyomingWe do itStep 3: Get the EIN
Without a Social Security Number the IRS issues it by fax, which is the slowest step. The expedited EIN, $199, has us file the day the company exists and chase it.
The longest waitWe do itStep 4: Open the bank account and Stripe
In the company's name, so cloud bills, model APIs and customer payments run through one place.
Days, then Stripe's reviewYouStep 5: Apply for compute credits
Cloud providers and AI labs run startup programmes. Most want a real company with a website and a domain email; some want a Delaware corporation or an accelerator's referral. The amounts are theirs to set and change.
Once the company existsYou, with each programmeStep 6: Get ready for enterprise review
Expect a security questionnaire, a data processing agreement, and questions about which models you send customer data to and where it's stored. Write the answers down once.
Before the first large dealYouStep 7: Diary the filings
A corporation: the founders' 83(b) elections within 30 days of their stock grant, Delaware's annual report and franchise tax by 1 March, and Form 1120 by 15 April. An LLC: Form 5472 by 15 April and Wyoming's annual report.
Every yearOn your calendar
05 · The honest part
What to know before you order.
Can the company get cloud credits?
Credits and perks
Cloud providers and AI labs run credit programmes for startups.
Read more
Most need a company, some prefer a Delaware corporation, and a few are only available through an accelerator or partner. The credits are the providers' to give, and a properly formed company is what they ask for.
What would make the company owe US tax?
Where the model is built
Research and engineering done outside the United States by a company with no US office or staff keep the income foreign-source.
Read more
A US employee, a US office or a US salesperson with authority to sign changes that, so use US contractors and keep management where the founders are.
Sources: Delaware Division of Corporations, franchise tax; IRS Form 15620, the section 83(b) election; IRS Publication 519, US tax guide for aliens; IRS, Instructions for Form 1120; Stripe, pricing; IRS, Instructions for Form 5472.
06 · What it costs
What the first year costs, line by line.
Ours from our price list, Stripe's from its own page.
| Cost | Amount | When | What it covers |
|---|---|---|---|
| Launch, Wyoming LLC | $351.40 | First year | $249 to us and $102.40 to Wyoming, at cost. The LLC, the EIN and the operating agreement. |
| Or a Delaware C-CorpOptional | $450 a year | To the state | Delaware's annual report and minimum franchise tax for the share structure investors expect, due each 1 March. |
| Expedited EINOptional | $199 | Once | Gets the bank account, Stripe and credit applications started sooner. |
| Stripe, for usage billing | 2.9% + 30¢ | Each payment | A US card. An international card costs 1.5% more. |
| From the second year | $309 | Every year, as an LLC | $249 for Launch and Wyoming's $60 minimum. Form 5472 or 1120 is an accountant's fee on top. |
Compute is the cost that grows. Credits cover the first months for many startups, but plan the bill as if they end.
The plan that fits
Launch, usually.
Funded by customers? Launch. Raising soon? A Delaware C-Corporation.
Launch
Fits an AI startupFor your first company, when it needs to exist and nothing more yet.
What it covers
- Your Wyoming LLC, filed, with the state fee at cost
- The EIN cloud providers and processors ask for
- An operating agreement with each founder's share
Raising within two years? Start a Delaware C-Corporation instead.
07 · Questions
Questions from AI startups.
If yours is not here, email us at hello@baseacross.com before you order.
Beyond the usual vendor forms, a security questionnaire, a data processing agreement, and which models and sub-processors see their data and where it's stored. Having the answers written down shortens every deal.
If their stock vests, yes, within 30 days of the grant, or they pay tax on the stock as it vests at its value then. A founder abroad without an SSN still files it, and there's no way to file it late.
Yes, when an investor asks. It costs legal fees and a few weeks. If you already know you'll raise within two years, form the corporation now.
A Wyoming LLC on Launch is $351.40 for the first year: $249 for Launch and $102.40 to Wyoming, at cost. After that it is $309 a year, $249 to us and $60 to Wyoming.
Ready when you are
Answer the questions. We do the filing.
It takes about four minutes. You see the whole order, Wyoming fee included, before anything is charged.
Step 1 of 10 · About four minutesNothing charged yet
You're startingLLC · WY
Start a companyLaunch · $351.40 · Wyoming fee included