Wyoming offers unmatched privacy, zero state income tax, and the lowest annual fees in the US — making it the top choice for non-resident entrepreneurs.
Why Wyoming Stands Out Among All 50 States
When entrepreneurs outside the United States decide to form a US LLC, they face a critical question: which state should they choose? Delaware is famous, Florida is popular, and New Mexico is cheap — but Wyoming consistently ranks as the best overall option for non-resident business owners. Here is a deep dive into why.
No State Income Tax — Ever
Wyoming has no state income tax. This means your LLC will never owe the state of Wyoming a single dollar based on the income it earns. For a single-member LLC owned by a foreign national, the company is treated as a disregarded entity for federal tax purposes, meaning income passes through to the owner. With Wyoming, there is no second layer of state-level taxation to worry about.
Compare this to California, where a single-member LLC owes a minimum $800 franchise tax per year even if it earns nothing. Or New York, where combined city and state taxes can erode margins significantly. Wyoming simply does not impose these burdens.
No Franchise Tax
Many states charge a franchise tax — a fee just for the privilege of existing as a legal entity in their state. Delaware, despite its popularity for corporations, charges a franchise tax that can run into thousands of dollars per year depending on the number of authorized shares. Wyoming charges no franchise tax whatsoever.
Strong Member Privacy
One of Wyoming's most powerful features for international business owners is member privacy. Unlike most states, Wyoming does not require member names to be listed in the public Articles of Organization. When you form a Wyoming LLC, the state's public records show the LLC name, its registered agent, and the filing date — but not who owns it.
This is enormously valuable for entrepreneurs in countries where business ownership needs to remain discreet, or for anyone who simply values financial privacy. Your name does not appear on any publicly searchable government database.
Charging Order Protection — The Strongest in the US
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Wyoming was the first state to adopt charging order protection for LLCs, and its laws remain the strongest in the country. A charging order limits a creditor's remedy to receiving distributions from the LLC — they cannot take control of the company or force a liquidation. In Wyoming, this protection applies even to single-member LLCs.
This means that if you face a personal lawsuit or judgment, your LLC's assets are far better protected in Wyoming than in most other states. For asset protection planning, this single feature makes Wyoming the clear winner.
Low Annual Fees
Wyoming charges just $62 per year to maintain your LLC (the annual report fee). There are no hidden fees, no minimum tax, and no complex compliance requirements. Compare this to Nevada ($350+ annually) or Delaware ($300+ for the franchise tax plus registered agent fees) and the savings over a 5-year period are significant.
Ideal for Non-US Residents
Wyoming is particularly well-suited for non-resident entrepreneurs because you can form and maintain the LLC entirely online without ever visiting the US. There is no requirement to have a US bank account (though it is recommended). Wyoming LLCs are widely accepted by payment processors, Stripe, PayPal, and US banks.
Wyoming vs Delaware vs New Mexico
Delaware is the gold standard for venture-backed startups and corporations seeking institutional investment. If you plan to raise venture capital, Delaware C-Corp is often required. But for a small to medium international business, Delaware's fees and complexity add unnecessary cost.
New Mexico offers similar privacy benefits and has the unique advantage of no annual report requirement — making it even cheaper to maintain. However, New Mexico LLCs are less recognized internationally, and the state does not offer Wyoming's charging order protection. For budget-conscious entrepreneurs who do not need maximum asset protection, New Mexico is a valid alternative.
Wyoming hits the sweet spot: excellent privacy, superb asset protection, rock-bottom fees, and a well-recognized business-friendly reputation. For most non-resident entrepreneurs running online businesses, consulting firms, or e-commerce operations, Wyoming is the definitive best choice in 2025.
MP Partner Team
Specialist in US and UK company formation for non-residents. Helping international entrepreneurs build their legal presence.