How to Open LLC in USA for Amazon FBA

How to open an LLC in the USA for Amazon FBA sellers - complete guide for non-US residents by US Global Startup
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    How to Open LLC in USA for Amazon FBA (Step-by-Step Guide for Non Residents)

    Selling on Amazon USA from another country is 100% possible – but if you try to do it without a proper LLC Registration In USA, you will quickly hit walls and this will cause payment issues, Amazon verification problems, supplier rejections, and unnecessary tax withholding. This guide walks you through exactly how to open an LLC in the USA for Amazon FBA, step by step, so you can start selling the right way from day one by opening your Amazon Seller Central account.

    Why You Need To Start LLC In USA For Amazon FBA Seller Account

    Amazon FBA (Fulfillment by Amazon) lets you send your products to Amazon’s US warehouses. Amazon handles storage, packing, shipping, returns, and customer service on your behalf. However, if you want to operate professionally as a non-US seller, setting up a US LLC (Limited Liability Company) can make the process much smoother.

     

    Without a US LLC and proper tax setup, Amazon may be required to withhold upto 30% a portion of your earnings for US tax purposes in certain situations. An LLC can help you open a business bank account in the USA, improve credibility with wholesale suppliers from other exporting countries, and create a stronger foundation for growing your brand. Many Amazon sellers also use an LLC when applying for Amazon Brand Registry.

     

    An Amazon FBA LLC helps in creating a professional business structure, making it easier to manage payments and build a long-term Amazon business in the United States.

    Step 1: Check If Your Country Is Eligible to Sell on Amazon USA

    Countries That Cannot Sell on Amazon US

    Before anything else, confirm that your country is eligible to register on Amazon’s US marketplace. Due to US federal trade sanctions, sellers from the following countries are completely restricted from selling on Amazon US:

    If you are from any of these countries, US law prohibits you from selling on Amazon US, regardless of whether you form a US LLC for Amazon FBA or any other business entity. This is because all US-based businesses must comply with US federal trade sanctions and OFAC (Office of Foreign Assets Control) regulations.

    Countries With Additional Restrictions To Sell In US Amazon

    Some countries may face additional verification requirements when applying for an Amazon US seller account. These include:

    Sellers from these countries may be asked to provide extra documents and could experience longer account approval times. And Citizens of Afghanistan is even restricted to open bank account in USA.

    Countries That Can Freely Sell From Amazon FBA

    Amazon Seller Central’s eligible countries policy list more than 100 countries to open LLC In USA for Amazon FBA program. This includes India, China, Pakistan, the UK, the UAE, Germany, Hungary, the Philippines, Bangladesh, Turkey, Kenya, Australia, and most other countries. If your country is eligible, you can move forward with your Amazon FBA LLC registration.

    Step 2: Choose the Best State to Register LLC In USA for Amazon FBA

    As you are just getting started, choosing the best state to register company in USA as foreigner is an important decision. You can choose the state that best fits your business needs. For Amazon FBA sellers, Wyoming and Delaware are the two most popular options.

    Why Wyoming Is the Top Choice for Most Amazon FBA Sellers

    Wyoming is one of the most business-friendly states in the US. It has zero state income tax, zero franchise tax, strong privacy protection, and one of the lowest annual LLC fees in the country—just $60 per year. According to the Tax Foundation’s State Business Tax Climate Index, Wyoming consistently ranks among the top states for business taxes. For a foreign-owned LLC for Amazon FBA, Wyoming is often the most preferred recommendations.

    When Delaware Makes More Sense

    Delaware is a better choice if you plan to raise investment, bring in partners, or convert to a C-Corporation in the future. It has a well-established legal system that is widely used by startups and large corporations. However, Delaware charges a $300 annual franchise tax, which is significantly higher than Wyoming’s annual fee and may not provide additional benefits for most solo Amazon FBA sellers.

    Still unsure? Read our Wyoming vs Delaware LLC guide for non residents to find the best state for your Amazon FBA LLC based on your specific needs and future plans.

    Step 3: How to Open LLC In USA for Amazon FBA? - Documents and Process For Non Residents

    Once you have chosen your state, registering your LLC is a straightforward process. As a non-US resident, you only need a few basic documents to incorporate LLC in USA for Amazon FBA.

    Documents Required to Form LLC For Amazon FBA

    To Register US LLC for Amazon seller central, you will need:

    What You Get When You Register LLC Through US Global Startup ($249 All-Inclusive)

    We handle the complete process to register company in USA for Amazon FBA sellers, including:

    • Articles of Organization – Official LLC formation documents. Delivered within 3–7 business days, depending on the state.
    • EIN (Employer Identification Number) Registration – Required for opening a business bank account and completing Amazon tax verification. Typically issued within 10–14 business days.
    • Appoint Registered Agent – A real US address for receiving official state and IRS correspondence. Activated within 24 hours.
    • US Business Bank Account Assistance – Remote business banking setup with Mercury after EIN approval. Account approval typically takes 48–72 hours.

    The entire process is completed remotely, so there is no need to travel to the United States.

    How to Get an EIN for Amazon FBA Business

    An EIN (Employer Identification Number) is a 9-digit tax ID issued by the IRS for your US business. It is required to open a US business bank account, complete Amazon tax information, and operate your LLC.

    For US Residents

    If you are a US resident with a valid SSN or ITIN, you can apply for an EIN online through the IRS and usually receive it immediately.

    For Non Residents

    For most non-US residents, the IRS online application is not available. Instead, you must complete IRS Form SS-4 and submit it to the IRS by fax or mail. Once approved, the IRS will issue your EIN confirmation letter within 10 to 14 days, which can be used for Amazon Seller Central registration and opening a US business bank account.

     

    The EIN process for non-residents typically takes longer than online applications, which is why many Amazon FBA sellers choose professional assistance to avoid delays and application errors.

     

    At US Global Startup, we handle the entire EIN application process for our clients, helping ensure the application is completed and submitted correctly.

    Step 4: Set Up Amazon Seller Account For FBA After LLC Formation

    Once your LLC is formed and you have your EIN and US business bank account, you can register your Amazon Seller Central account as a business. This allows you to operate under your LLC and keep your business information consistent across Amazon, banking, and tax records.

    Documents Needed to Register on Amazon Seller Central

    Amazon may ask for the following:

    • Your LLC name exactly as it appears on your formation documents
    • Your EIN (Employer Identification Number)
    • Your US business address
    • US business bank account in the name of your LLC
    • Passport copy of the business owner
    • Proof of personal address (such as a recent bank statement or utility bill)
    • Credit or debit card for the Professional Plan fee payment ($39.99/month)

    Individual Plan vs Professional Plan

    Amazon offers two seller plans:

    • Individual Plan – No monthly subscription fee, but Amazon charges $0.99 per item sold.
    • Professional Plan – Costs $39.99 per month and provides access to advanced selling tools, bulk listing features, Sponsored Ads, detailed reports, and other business features.

    Most Amazon FBA sellers choose the Professional Plan because it offers the tools needed to grow and manage a serious Amazon business.

     

    If you need help setting up your Amazon Seller Central account, including account registration, category approval and brand enrollment, US Global Startup offers complete Amazon Seller Account setup for just $49. 

    Need ongoing support? You can also use our Amazon Virtual Assistant Service to help manage your Amazon Seller Central account, product listings, inventory, customer support, and day-to-day operations – all starting at just $17 per hour.

    Benefits of Opening a US LLC for Amazon FBA as a Non-US Seller

    If you are still wondering whether a US LLC for Amazon FBA is worth it? here are some of the biggest advantages :

    Collect Amazon payouts without restrictions:

    A US LLC can help you open a US business bank account with providers like Mercury and Wise. This allows Amazon to deposit your earnings directly in USD, and gives you more control over currency conversions and it also helps in reducing international transaction and conversion fees, which can often range from 2% to 4%.

    Sell under your brand name and protect it:

    A US Company provides a professional business structure for building a brand in the US market. You can also apply for trademark Registration In USA and enroll in Amazon Brand Registry, which helps protect your listings and unlock additional branding features such as A+ Content.

    Access To US Business Banking and Payment Platforms:

    Platforms like Mercury Bank, Wise Business, Stripe, PayPal Business, and Payoneer typically require a US EIN and business formation documents to open and verify your account. Without a US company and EIN, you may have to rely on a bank account in your home country, which can result in higher currency conversion fees and additional charges on every international transaction.

    Build Credibility with Global Suppliers:

    Many manufacturers, wholesalers, and distributors in countries such as China, Vietnam, India, and Japan prefer working with registered businesses rather than individual buyers. A US LLC with an EIN can help you negotiate for better pricing, access to wholesale accounts, place bulk orders, and build stronger supplier relationships as your Amazon FBA business grows.

    Protect your personal assets:

    Selling physical products online comes with risks such as product liability claims, intellectual property disputes, or customer lawsuits. An LLC creates a legal separation between your personal and business finances, so if something goes wrong, only your business assets are at risk and not your personal assets.

    Can Non Residents Open a US LLC for Amazon FBA?

    Yes. US state laws allow non-US residents to own and operate a US LLC for amazon FBA. You do not need a US visa, Social Security Number (SSN), or US residential address to form an LLC. In most cases, a valid passport and company information are enough to get started.

    Do Non Residents Pay US Income Tax on Amazon FBA Revenue?

    This depends on whether your home country has a tax treaty with the United States:

    Tax treaty countries (India, UK, Germany, China, etc.):

    You may be able to claim tax treaty benefits by submitting IRS Form W-8BEN or W-8BEN-E. This can help reduce or eliminate certain US tax withholding requirements. However, you may still need to file annual IRS forms, such as Form 5472.

    Countries without a tax treaty (Pakistan, Bangladesh, and Saudi Arabia, etc):

    Certain payments to residents of these countries may be subject to withholding taxes. However, proper federal tax filing can help in ensuring that income and expenses are reported correctly.

     

    In either case, Amazon FBA sellers are generally taxed on their net profit, not their total sales revenue. This means business expenses such as inventory costs, Amazon fees, shipping, and advertising can usually be deducted when calculating taxable income.

    How Much Does It Cost to Open LLC In USA for Amazon FBA?

    Service Amount (USD)
    US Global Startup LLC Package (state filing, EIN, registered agent, and bank account assistance) $249 one-time
    Wyoming Annual Maintenance (from Year 2 onwards) $379/year
    Amazon Professional Selling Plan $39.99/month
    Amazon Seller Account Setup (optional) $49 one-time
    Trademark Registration (optional) From $799 + USPTO fees

    The total first-year cost for a fully operational US LLC and Amazon FBA setup is typically between $750 and $900, depending on the optional services you choose. This covers the important services you needed to operate your Amazon FBA business.

    Popular Banking Options for Amazon FBA Sellers

    Mercury

    Mercury is one of the most popular banking options for sellers who open LLC in USA for Amazon FBA.

    Key charges:

    • Domestic ACH transfers: Free

    • Domestic wires: Free

    • International USD wires: Free (standard) or $15 for full-value delivery

    • Currency conversion on non-USD transfers: 1%

    • Foreign currency debit card transactions: 3%

    Wise Business

    Wise Business is useful for sellers operating in multiple Amazon marketplaces.

    Key charges:

    • Account opening: $31 one-time fee (US)

    • Receiving local account payments: Free

    • Currency conversion: Typically 0.4%–1% depending on the currency pair

    • International transfer fee: Varies by currency and amount

    Payoneer

    Payoneer is widely used by international Amazon sellers.

    Key charges:

    • Receiving Amazon payouts: Free

    • USD-to-USD bank withdrawal: $1.50 (certain conditions apply)

    • USD-to-INR withdrawal: Up to 2% above the mid-market exchange rate

    • Internal currency conversion: 0.5%–3.5% depending on the currency pair

    Relay Financial

    Relay Financial is designed for businesses that want to separate funds for inventory, taxes, and profits.

    Key charges:

    • Monthly fee: Free (Starter plan)

    • Domestic wires: $5

    • International wires: $10

    • ACH transfers: Free

    • Foreign currency card transactions: 1%–2% Visa international service fee

    For most Amazon FBA sellers with a US LLC, Mercury is the most commonly chosen option because of its simple USD banking setup and low international transfer costs.

     

    Note: Bank fees and currency conversion charges can change over time. Always verify the latest pricing on the official website before opening an account.

    How a US LLC Helps Amazon FBA Sellers Access Better Suppliers

    Get Brand Approvals

    Most US wholesale suppliers will not sell to you unless you have a registered US business. They ask for your LLC documents, EIN number, and resale certificate before opening an account. Without these, they simply ignore your emails.

    Big brands also issue a Letter of Authorization (LOA) only to verified businesses. No LLC = no LOA = no access to those products on Amazon.

    Attend Trade Shows and Meet Suppliers Directly

    Many wholesale trade shows in the United States are designed for business professionals, retailers, and qualified buyers rather than the general public. A US LLC helps you to present yourself as a legitimate business when applying for event registration, supplier accounts and meeting suppliers face to face.

     

    Popular trade shows for Amazon FBA sellers include:

      • ASD Market Week (Las Vegas) – One of the largest wholesale trade shows, featuring thousands of products and suppliers across multiple categories. Held twice a year
      • Global Pet Expo (Orlando) – Event for pet products and accessories.
      • Natural Products Expo West (Anaheim) – Focused on health, organic, natural, and wellness products.
      • Prosper Show – An ecommerce conference specifically designed for Amazon sellers and marketplace entrepreneurs.

    A US LLC and EIN can help strengthen your business credentials when networking with suppliers, exploring wholesale opportunities, and attending industry events.

    Real Example: How We Helped a Non-Resident To Open an LLC in USA Wyoming for Amazon FBA

    Rahul (name changed for privacy) contacted US Global Startup from Mumbai because he wanted to sell cutlery product on Amazon US under his own brand. Like many first-time sellers, he was unsure about the legal structure, banking requirements, trademark process, and he also needed Amazon seller central account setup service from us to operate professionally in the US market.

     

    After helping him to start LLC in USA for Amazon FBA through Wyoming state, Rahul was able to launch his business with a dedicated US business structure and then he started selling to customers across the United States.

    As a result, he was able to:

    • Successfully launched his Amazon FBA business through a Wyoming LLC
    • Started selling branded cutlery products on Amazon US
    • inventory to Amazon FBA fulfillment centers
    • Began receiving Amazon payouts into his US business bank account
    • Applied for a US trademark for his brand
    • Enrolled in Amazon Brand Registry
    • Expanded from a single product to multiple product listings
    • Managed his entire Amazon business remotely from India

    Today, Rahul operates his Amazon FBA business through a Wyoming LLC with dedicated business banking. His journey shows how entrepreneurs can successfully sell in Amazon by forming LLC company and build a scalable brand in the US marketplace while managing the business remotely from India.

    Conclusion

    A US LLC is not required to sell on Amazon FBA, but it can provide a stronger foundation for your business by helping with banking, branding, supplier relationships, and long-term growth. Setting up your LLC correctly from the start can make managing your Amazon business much easier.

     

    Ready to get started? Contact US Global Startup to form your LLC, obtain your EIN, and launch your Amazon FBA business with confidence.

    Frequently Asked Questions

    Common question about opening LLC for Amazon FBA program

    No, Amazon does not require you to have an LLC to start selling on Amazon FBA. You can register as an individual seller. However, many sellers choose to form an LLC to separate their personal and business finances, build global credibility, and create a more professional business structure as they grow.

    Yes, non-residents can use a virtual business address for their Amazon FBA LLC. However, the address must comply with the requirements of the service provider, bank, and Amazon Seller Central. Many foreign entrepreneurs use a registered agent address along with their LLC to establish a US business presence.

    Answer: LLC formation typically takes 3 to 7 business days, depending on the state. Obtaining an EIN usually takes 10 to 14 business days, and a US business bank account can often be opened within 48 to 72 hours after the EIN is received. Once these are ready, your Amazon Seller Central account can typically be set up within 5 to 7 days, if all required documents are accurate and complete. In most cases, the entire process is completed within 2 to 3 weeks.

    No, an LLC is not required to sell wholesale on Amazon. However, many wholesalers and distributors prefer working with registered businesses.

    Most non-residents selling on Amazon choose a single-member LLC if they are the only owner of the business. If there are multiple owners, a multi-member LLC may be a better option.

    No, you do not need a separate LLC for each Amazon store. Many sellers operate multiple products or brands under a single LLC. However, some business owners choose separate LLCs for different brands or business activities to keep operations and finances separate.

    After your LLC is formed, you can apply for an Employer Identification Number (EIN) from the IRS. Non-US residents can obtain an EIN without a Social Security Number (SSN). The EIN is required for opening a US business bank account, completing Amazon tax information, and managing your LLC's tax obligations.

    Most Amazon FBA sellers purchase general liability insurance and product liability insurance to protect their business against claims related to property damage, injuries, or product-related issues. Amazon currently requires sellers to obtain commercial liability insurance once their gross sales exceed $10,000 in a single month on Amazon.

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