Immigrant Entrepreneurs: USA Business Guide

Immigrants own 19.1% of all U.S. employer companies despite representing just 13.9% of the population, according to the U.S. Census Bureau (2022 data). That share has grown from 18.0% in 2018, and immigrants now account for 23.6% of all U.S. entrepreneurs as of 2023, per the American Immigration Council.

If you are an immigrant looking to start a business in the United States, you have access to multiple visa pathways, government programs, and formation tools designed for international founders. This guide walks you through every step, from choosing the right visa to opening your first business bank account.

Immigrants start businesses at more than twice the rate of native-born Americans, according to the American Immigration Council (2024). In states like New Jersey, immigrants founded 37.2% of new businesses.

Immigrant-owned firms generate more patents per worker than native-owned firms and are more likely to produce and bring innovations to market, per the U.S. Census Bureau. Nearly 80% of privately held U.S. companies valued over $1 billion have an immigrant founder or immigrant senior leadership.

As of 2024, 46% of Fortune 500 companies (230 of 500) were founded by immigrants or their children. Immigrant-owned businesses employ roughly 1 in 7 private-sector American workers, and 91% of new immigrant-owned businesses in 2024 had at least one employee (compared to 84% of all new businesses).

You also bring built-in market knowledge. Over 2.1 million immigrant entrepreneurs without a college degree run retail shops, restaurants, and personal service businesses, serving both niche ethnic markets and mainstream American consumers. Your cross-cultural knowledge is a genuine competitive advantage when it comes to building a brand that connects across communities.

The most significant barrier is immigration status itself. The United States does not have a dedicated startup visa for immigrant entrepreneurs, per the American Immigration Council. You must fit your business ambitions into existing visa categories (E-2, EB-5, O-1, or employment-based green cards), each with substantial investment or qualification requirements.

Access to capital is harder. Language barriers, lack of U.S. credit history, and unfamiliarity with the American banking system create friction at every stage. Many traditional banks require a Social Security Number, which non-residents do not have. For more about navigating these funding gaps, see our small business grants guide and minority business resources page.

Regulatory complexity is another real obstacle. You must understand federal tax obligations (including Form 5472 for foreign-owned LLCs), state-level registration, and how your visa status affects what business activities you can perform. Avoid common pitfalls by reviewing our list of common first-time founder mistakes.

The five-step process below covers visa selection, entity formation, banking, tax setup, and finding free mentors. Every step includes specific costs, timelines, and the tools international founders actually use. For a broader overview of business formation, see our guide on how to form an LLC.

Step 1. Choose your visa path. The E-2 Treaty Investor Visa requires a "substantial" investment (practically $100,000+ for most service businesses) and nationality from one of 80+ treaty countries. It is valid for up to 2 years with unlimited renewals. The EB-5 Immigrant Investor Program offers a green card and requires a minimum of $800,000 in a Targeted Employment Area (TEA) or $1,050,000 elsewhere (as of 2026), plus creation of 10 full-time U.S. jobs. The O-1A Extraordinary Ability Visa is for founders with demonstrated national or international recognition in their field; it has no investment minimum, no annual cap, and allows up to 3 years with unlimited extensions. Always consult an immigration attorney at USCIS.gov for current eligibility rules.

Step 2. Form your LLC. Non-residents can form an LLC in any U.S. state without a visa or SSN. Wyoming is the most popular choice (state filing fee of $100, annual report of $60). Use a formation service like Doola (from $297) that specializes in non-U.S. residents and handles EIN registration, operating agreements, and registered agent setup. Compare options on our best LLC formation services page.

Step 3. Get your EIN and open a bank account. Your business needs an Employer Identification Number from the IRS (free). Non-residents without an SSN apply by mailing or faxing Form SS-4. Once you have your EIN, open a business bank account with Mercury (free checking, no SSN required in many cases) or Wise Business for multi-currency needs.

Step 4. Handle taxes. Foreign-owned single-member LLCs must file Form 5472 with a pro forma Form 1120 annually. If you have U.S.-source income, you will also need an ITIN (Form W-7) to file your personal return (Form 1040-NR). Hire a CPA experienced with non-resident business taxation. See our accounting software recommendations to track your books.

Step 5. Get free help. Visit an SBA-funded SBDC (nearly 1,000 centers nationwide) or connect with a SCORE mentor (11,000+ volunteer professionals). These free services are available to all entrepreneurs regardless of immigration status.

The U.S. Small Business Administration (SBA) funds multiple programs open to immigrant entrepreneurs. SBDCs serve roughly 650,000 business clients annually through 63 lead centers and nearly 1,000 delivery points. Services include free one-on-one advising, market research, and help securing capital. International trade is a special emphasis area, which is especially useful if you plan to sell to or source from your home country.

The SBA 8(a) Business Development Program is designed for socially and economically disadvantaged small businesses. If you qualify, you gain access to federal contracts, business development assistance, and sole-source contracting opportunities. Check eligibility at SBA.gov.

The Minority Business Development Agency (MBDA) provides business consulting, access to capital, and contract opportunities for minority-owned businesses. If you qualify, MBDA Business Centers offer personalized strategic growth plans. Learn more in our minority business grants guide.

Upwardly Global is a national nonprofit that has helped over 12,500 immigrant and refugee professionals since 2000. While its primary focus is career placement, its coaching, resume-building tools, and networking opportunities are valuable for anyone transitioning from employment to entrepreneurship.

Immigration matters require an attorney. Visa rules change frequently, and a mistake can lead to deportation, visa denial, or permanent bars on re-entry. Always verify current requirements on USCIS.gov and consult a qualified immigration attorney before making business or investment decisions tied to your immigration status.

Visa and business structure interact. The E-2 visa requires you to own at least 50% of the business and actively direct its operations. The EB-5 requires that your investment create or preserve 10 full-time U.S. jobs. Your entity structure (LLC vs. C-Corp) affects visa eligibility, tax treatment, and your ability to raise outside capital. A C-Corp is typically required if you plan to raise venture capital or pursue certain green card paths.

Tax obligations are real even if you live abroad. Non-resident LLC owners must file Form 5472 annually (the penalty for non-filing is $25,000 per form). If you earn U.S.-source income, you need an ITIN (apply via Form W-7). Work with a CPA familiar with both your visa category and your home country's tax treaty with the United States.

To compare the advantages and disadvantages of different business structures, review our sole proprietorship vs. LLC comparison. For help finding qualified legal counsel, see our legal services for small business guide.

Doola (from $297/year) is a formation and compliance platform built specifically for non-U.S. residents. It handles LLC formation, EIN registration, registered agent service, bookkeeping, and annual tax filings in one dashboard. This is the top pick if you live outside the United States and want end-to-end support.

Mercury (free checking and savings) offers business banking designed for startups and remote founders. You need a U.S.-registered LLC or C-Corp and an EIN, but you do not need to visit a physical branch or hold an SSN. Accounts are typically approved within 3 to 5 business days.

Wise Business (free to open) is ideal if you regularly send and receive money across borders. It offers local account details in multiple currencies (USD, EUR, GBP, and more) and charges significantly lower fees than traditional wire transfers. Note that Wise is not a bank and funds are not FDIC-insured.

ZenBusiness (from $0 + state fees) is a cost-effective formation option if you are already physically in the United States and want simple, fast LLC registration. It is best for U.S.-based immigrant founders who do not need the extra international support Doola provides.

For a full comparison of formation providers, visit our best LLC formation services page. If you need accounting software, QuickBooks and Xero both integrate with Mercury and Wise.

1. Determine your visa eligibility. If you are outside the U.S., check the State Department treaty list for E-2 eligibility. If you are already in the U.S. on another visa, consult an immigration attorney about changing status. Visit USCIS.gov for official requirements.

2. Start your LLC. Use our guide on how to form an LLC to pick a state and formation service. If you are a non-resident, Doola or Firstbase can handle the entire process remotely.

3. Book a free SBDC or SCORE session. Go to sba.gov/local-assistance and schedule your first meeting. Ask about market research, business plan review, and local funding programs.

4. Explore funding. Review our startup funding options and small business grants pages to find capital sources that do not require U.S. citizenship. If you are ready to plan your growth, start with our free business plan template.