How to start an LLC as a German: When I was still living in Germany and running my first successful business, I had one big dream: to start an LLC as a German and keep my taxes legally as low as possible.
It all started during a trip to Thailand. I met someone who told me that he had already deregistered from Germany, set up an LLC, and was living a location-independent digital nomad lifestyle with a legally optimized tax setup. It sounded almost unreal. At that time, I wanted the same freedom – but I had no idea how to do it.
Here’s the thing: when a wish truly comes from your heart, it always manifests. And that’s exactly what happened to me.
Why I Decided to Start an LLC
Back in Germany, I was paying taxes like everyone else. I knew there had to be a smarter way.
An LLC for digital nomads seemed like the perfect solution – it’s simple, legal, and offers incredible flexibility for entrepreneurs abroad.
But I didn’t know where to start.
My Journey to Going Stateless
After expressing my wish to change my life, I made my first bold move: I terminated my apartment lease in Germany.
My plan? Travel the world.
My first stop was Malta. On the plane, I met someone who had gone through the exact journey I wanted: from owning a German company (UG) to switching to a U.S. LLC and setting up my taxes legally. He kept telling me:
„Bro, just start an LLC. It’s the smartest move you can make.“
That conversation changed everything.
In Malta, I started the process of deregistering from Germany and forming my first US Company. From there, my journey took me to Thailand – and by the time I landed, my formation was complete.
The Benefits of an Limited Liability Company for Digital Nomads
- Legally optimize your taxes while running your business
- No German bureaucracy or complex compliance
- Complete flexibility for online entrepreneurs & freelancers
- Easy international banking (Wise, Payoneer, etc.)
Since then, I’ve been traveling the world as a stateless entrepreneur, running my business through my Limited Liability Company
income and helping others set up their companies too.
Challenges Along the Way
Of course, the journey wasn’t without challenges.
The German transparency register (Transparenzregister) even accused me of money laundering – simply because I still had an active German UG while my US Company was running. It was a mess, but also a valuable learning experience.
How to start an LLC as a German
Now I’ve successfully helped multiple clients start an Limited Liability Company as Germans, go fully stateless, and live the freedom they’ve always dreamed of.
If you’re ready to take the leap:
👉 Book a consultation with me
„This is a Picture in Germany as i decided to make the step and get stateless“
Why More and More Germans Are Starting an Limited Liability Company
In the past, only big companies thought about setting up international structures. But times have changed.
Digital entrepreneurs, freelancers, and online business owners are realizing how powerful an Limited Liability Company can be:
- Low maintenance: No complicated bookkeeping like in Germany.
- Tax optimization: In the right structure, you can legally reduce your tax burden significantly.
- International freedom: Work from anywhere – Thailand, Dubai, Portugal, you name it.
- Professional appearance: Having an US Company gives you instant credibility with clients and partners.
For me, it was not just about taxes. It was about living life on my own terms.
Why I Help Others Start Their Own Limited Liability Company
When I went through this journey, I wished there had been someone who could guide me step by step.
Now that I’ve done it myself, I help others set up their own US Company and navigate the process with ease.
I know the fears, the bureaucracy, the “what ifs.” And I also know the incredible freedom that waits on the other side.
Work With Me
If you’re serious about:
- Deregistering from Germany
- Setting up an Limited Liability Company for your online business
- Keeping your taxes legally optimized
- Living as a true digital nomad
Then let’s make it happen together.
👉 Check out my Limited Liability Company
booking site here
👉 Book a personal consultation here
Can a German citizen start an Limited Liability Company in the US?
Yes. Germans can easily start a US Company without living in the U.S. It’s a simple process and can be done 100% remotely.
Do I need to deregister from Germany if I want to stop paying German taxes with a US company?
Yes, if you want to avoid German taxes, you need to deregister (Abmeldung) from Germany.
How much does it cost to start an US Company with your service
My LLC formation package cost €699
Can I use an US Company for my online business?
Absolutely. An LLC is perfect for freelancers, digital nomads, and online entrepreneurs who want legal protection and tax benefits.
Which state is best for forming an US Company as a non-US resident?
I recommend New Mexico for most clients because it’s simple, cost-effective, and privacy-friendly.
LLC: A real-world example
A German freelancer wanted to start a US LLC to work with international clients. Forming the company itself was the easy part: choose a state, appoint a registered agent, file the articles of organization and apply for an EIN. The harder part was understanding how the LLC is treated for tax purposes while he still lived in Germany, and which bank would accept his application.
LLC: Common misconceptions
- Germans cannot start a US LLC.
- A US LLC automatically means no taxes in Germany.
- A bank account comes with the formation.
There are many half-truths about LLC. An LLC is a tool, not a tax trick. It fits some situations very well and others not at all.
What Germans need to watch out for
As long as you live in Germany, Germany usually remains your tax country. Depending on how the LLC is set up, its profits may be attributed to you and taxed in Germany. This is not a reason against an LLC, but a reason for proper advice.
If you leave Germany, you also need to look at exit rules and deregistration. The earlier you plan, the easier it gets.
A realistic timeline
Formation takes a few days to two weeks depending on the state. The EIN follows, often within a few weeks. Opening a bank account can take another one to four weeks.
So plan a few weeks in total until your company is fully operational. If you inform clients and prepare contracts in advance, you can start right after the account is open.
Choosing the right state
Wyoming and New Mexico are popular for lean single-member companies, Delaware is common for startups with investors, and Florida makes sense if you have a real connection there. Compare annual fees, reporting duties and how banks see each state before you decide.
LLC: my step by step process
- Clarify goals and legal form
- Choose state and structure
- Form company, EIN and documents
- Set up bank account and ongoing duties
These four steps are always the same in LLC, but what happens inside them never is. Every market, audience and budget is different. That is why every project starts with an honest look at your starting point before we talk about solutions.
At the end of each step you know what is done, what comes next and why. You stay in control and can ask questions or change priorities at any time.
Checklist for LLC
- Right legal form chosen
- State chosen deliberately
- EIN applied for
- Business account opened
- Tax duties clarified
- Documents filed properly
If you can tick these boxes, you are in a good position. If not, these are exactly the points where LLC starts. Often two or three improved points already bring noticeably more enquiries or more clarity.
Common mistakes in LLC
Many freelancers and business owners make similar mistakes in LLC. They start without a clear goal, spread their budget over too many things at once, or give up after a few weeks because results are not visible immediately.
Another typical mistake is copying what others do instead of looking at your own market. What works in a big city does not automatically work in a smaller one, and what works for a competitor may not fit your offer.
I help you avoid these mistakes by setting clear goals, priorities and a realistic timeline upfront.
What LLC means for your market
Every market has its own rules. In LLC we first look at who your customers are, where they search and which competitors are visible there today.
That tells us which measures come first and which can wait. It saves time and money and makes sure the first results appear where they make the biggest difference.
Costs and process for LLC
Every project starts with a short call. After that you get a clear offer with a fixed price and timeline. There are no hidden costs and no long contract terms.
How long LLC takes depends on the scope. Smaller tasks are often done within a few days, larger projects run over several weeks. I keep you updated at every step.
Why LLC with me
You get one fixed contact who thinks website, Google visibility, company formation and entrepreneur mindset together. I work personally with every client, without changing agency teams.
My clients rate the collaboration with 4.92 out of 5 stars on ProvenExpert. You can find all my profiles on my reviews page.
How to get started with LLC
Send me a short message about your offer, your goals and your biggest challenge. I will reply personally and tell you honestly whether and how I can help.
Consulting is available in English, German and Russian. You can reach me by email, phone or WhatsApp, whatever is easiest for you. The contact page is the fastest way.
LLC: the benefits at a glance
- One fixed contact instead of changing teams.
- Clear priorities instead of random activity.
- Plain explanations without jargon.
- Transparent prices and a fixed timeline.
- Results you can measure and understand.
- Consulting in English, German and Russian.
What to prepare before you start
You do not need everything ready, but a few things help: a short description of your offer, your main clients or audiences, access to your website, Google profile or company documents, and a rough idea of budget and timeframe. If something is missing, we clarify it in the first call.
Do it yourself or get support?
Much of LLC can be learned. The question is whether the time is worth it. Doing it yourself saves money but often takes much longer and leads to mistakes that cost more later. A good middle ground: I handle strategy, structure and the technical parts, you take care of simple updates.
Setting realistic expectations
Serious consulting does not promise guarantees but a clear path. In LLC we define upfront how we measure success: enquiries, calls, revenue, time saved or completed steps. We review these numbers regularly and adjust when needed.
Questions from first calls
How fast will I see results? It depends on the starting point. First improvements often show within weeks, stable results within a few months.
Do I need a long contract? No. We start with a clear, manageable package.
What do you need from me? Short feedback, access and information about your offer.
LLC: Questions to clarify before you start
- Where will I live and pay taxes?
- Which state fits my business?
- Which bank fits my LLC?
Please consult a tax advisor for tax questions. I am not a tax advisor or a lawyer.
LLC: The process step by step
- Clarify your situation: residence, clients, business model and plans.
- Choose a state: costs, duties, reputation with banks.
- Formation: registered agent, articles of organization, operating agreement.
- EIN: the US tax number needed for banking and taxes.
- Bank account: with complete documents and a clear business description.
- Ongoing duties: reports, deadlines and filings.
This order saves time and avoids delays later.
LLC: Ongoing duties
After formation, depending on the state there are annual reports or fees, the registered agent must be paid, and there are reporting duties to the IRS even if the LLC itself pays no US tax. On top come the duties in your country of residence.
If you know these deadlines and plan for them, running an LLC takes little effort. If you ignore them, you risk penalties or dissolution.
Who LLC is for
An LLC is a good fit for location-independent entrepreneurs, people with international clients and those moving abroad. It is less suitable for freelancers who stay in Germany long term and mainly serve German clients; a German sole proprietorship, UG or GmbH is usually simpler there.
LLC: Frequently Asked Questions for German Founders
When Germans look into forming a US company, the same questions come up again and again. Below you will find short, clear answers to help you assess your plans realistically. Tax details always depend on your personal situation, so treat this as orientation and have your individual case reviewed before you make final decisions.
Do I need to travel to the United States?
No. Registration, the application for an EIN and day-to-day administration can all be handled remotely. You will need a registered agent in your chosen state who receives official mail on behalf of your company. Some banks may ask for an in-person appointment, but many business account providers work entirely online.
Do I need a US Social Security Number?
Not for forming the company. The EIN, your business’s federal tax identification number, can be requested without a Social Security Number through a separate process designed for foreign owners. What matters is that every detail in the application is complete and consistent, otherwise processing can be delayed.
Can I keep living in Germany and run an LLC?
Legally, yes. From a tax perspective, however, it gets complicated. If you manage the business from Germany, the German tax office will usually treat the profits as taxable there. Without careful planning, you end up with extra paperwork rather than advantages. For people whose life stays centred in Germany, a German legal form such as a sole proprietorship, UG or GmbH is often the simpler choice.
Which state should I choose?
It depends on your goals. Many location-independent solo entrepreneurs prefer states with low administrative requirements, such as New Mexico or Wyoming. Delaware is more common for structures involving investors. If you have a physical presence in a particular state, such as an office or staff, that state is often the natural option.
What ongoing obligations does an LLC have?
Depending on the state and how the company is structured, you may have annual filings with the state and with the IRS. You also need an active registered agent and clean bookkeeping. Keep all recurring deadlines in one calendar from day one, and the administrative side stays manageable even when you are travelling.
Can I serve German clients with a US company?
Yes, this is common. Make sure contracts and invoices are clearly issued in the company’s name so clients know who they are working with. Also clarify the VAT implications of invoicing German businesses or private customers. A professional website with complete legal information builds additional trust with clients who are unfamiliar with American business entities.
Is it the same as a German GmbH?
Not quite. Both limit personal liability, but an LLC is typically formed without a notary or minimum share capital and is taxed differently depending on its structure. A GmbH is more familiar to German banks and clients, while the US entity is leaner to run internationally.
Common mistakes to avoid
- Treating the company as a tax trick while ignoring your own residence
- Mixing private and business payments in the same account
- Letting the registered agent service lapse and missing official mail
- Skipping annual filings because there was little revenue in the first year
Quick checklist
- Clarify your tax residence and where the business will be managed
- Choose a state and a registered agent
- Register the company and draft an operating agreement
- Apply for an EIN
- Open a business account and set up bookkeeping
Follow this order. Founders who register first and think about residence and taxes later often have to restructure at considerable effort. Forming an LLC is not difficult when the groundwork is right; the real work lies in the planning beforehand.
I handle the full formation as a package, including the EIN application, and support you afterwards with bookkeeping and your online presence. Consulting is available in English, German and Russian. Get in touch if you want to set up your LLC properly from the start.