Taking into consideration the fact internet advertizing work can be successfully organized remotely I think that your non US clients will find it easy to deal with you. I think that it is very important for each client to deal with a company that has a good reputation at the market. Clients would like to see good results for money they pay. Location of your company is less important I think.

I'd say, incorporation in USA is great idea. Especially you have great advantages of economy. Stats like Delware especially are very good.

siphonica, I would suggest that you check with the Australia Department of Taxation or equivalent. They should be the ones that can tell you specifically what you need to do. If you are not located in the US and have not beneficial interest, you probably do not need to file US taxes. However, you should check with a small business accountant or tax professional since you can provide them to more specifics about your company. Selecting a Small Business Accountant should help you. JimD

I've never had to bill a US company myself (I am Sydney, Australia based) as my US clients in the past were billed by my employers.   Now that I am running my own business,  what rate of tax should I add to the invoice if I am billing for an SEO service?   In Australia, we send invoices to our own (local) clients for our fee + 10% Goods & Services Tax (which is collected for the Australian Govt).   Is it an equivalent procedure for foreign entities billing US entities?  I know I do not need to bill US entities for Australian GST, but do I need to bill for your tax?   If so, what is the rate?

Hello Everyone!   This is my first post and just wanted to say I love this awesome online business community. I'm an Internet marketing consultant and web designer. I have been operating as a sole proprietorship for 12 years. I'm also located in Canada and see there's a large market to tap into all around the world, especially in places like the U.K., Europe, Australia, and the U.S.   The U.S. market is particularly interesting to me since its right across the border from me. Literally 5 minutes away.   For this reason I've debated incorporating in the U.S. and Canada too.   It be nice to hear from other's in a similar situation (foreign nationals looking to incorporate in the US).   In my situation it seems that the tax burden is one factor to consider (paying taxes to both the US and Canadian government). In fact, you don't even get the tax breaks if you are incorporated in the US and living outside the country.   Also, is incorporating in the US really going to boost the trust a potential prospect has (especially US based ones)?   I would think the trust factor depends on more than where you incorporate. Surely, it is one factor that could boost trust. But there's a lot more to it. Things like years in business, clients and testimonials, etc.   I'm not a legal expert or accountant so I can't give any solid advice here. But I really hope someone who knows more would chime in.   Thanks so much Eric Bonnici

There are few things to look at while registering your company. I myself registered my SEO Company in Canada because I'm Canadian. In my line of business, which is providing SEO services to site owners promoting their sites, there are more individual service providers and companies in India than anywhere else. Pricing offered by Indian service providers are often significantly less than that of North American service providers but some clients just dont feel comfortable dealing with offshore companies. Specially when they have to pay upfront for the services. It all depends on your type of business and target audience.

Trust may be an issue - but do know that if you are wanting to incorporate in another country just to lower your tax burden - the U.S. will also require you to pay taxes on the revenue you earn here in the states as a foreign entity - thus, you might not be saving anything. Plus, you would be required to pay U.S. taxes without being able to receive many of the U.S. deductions that could off-set your income. Talk to your CPA about your best bet first.

stevec, I think it would depend on your clients. You can maybe do a survey and see whether or not they are more apt to doing business with a US company. If you do set up a US company, check out our Starting a Business information. And if you are a foreign national, check this article out. Starting a Business in the US as a Foreign National. JimD