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United States - DOING BUSINESS


Local business incentives


At a federal and State level, foreign investors may be granted funding allowances such as long-term subsidised loans. In order to encourage new businesses in their territories, the States have started a competitive battle aimed at offering investors the best services and advantages possible.
Foreign companies can benefit from aids, granted by three federal agencies:
- The EDA (Economic Development Administration) offers long term loans, with preferential rates for projects of creation and of activity extension leading to new immobilisations and jobs creation.
- The Small business Administration (SBA) offers guarantees for loans contracted by SME and can finance plants construction or material purchase by mid and long term loans.
- The Rural Development (depending on the Ministry of Agriculture - USDA) can garantee up to 90% og the loans granted to commercial companies that create jobs in rural zones.


Legal forms of companies


Form Number of partners/shareholders Minimum and/or maximum capital Liability Registration fee Release of financial documents
A sole proprietorship   1 person   No minimum legal capital.   The owner is liable for the company's debt   Lower expenses as compared to a Private Limited Company   No  
A General Partnership   At least 2 partners.   No minimum legal capital.   The General Partner is personally liable, with no limitation, for the company's debts and obligations.   Lower expenses as compared to a Private Limited Company   No  
A Public Limited Company (PLC)   At least 2 partners.   No minimum legal capital.   At least 1 of the partners is liable for the company's debt and obligations. The other partners' liability is limited to the value of the capital contributed.   Lower expenses as compared to a Private Limited Company   No  
A Private Limited Company   At least 2 partners.   No minimum legal capital.   Liability is limited to the value of the capital contributed. .   Approximately 276 US$ not including legal fees.   No  
A Corporation half way between a joint stock company and a Private Limited Company   No minimum.   No minimum legal capital.   Liability is limited to the value of the capital contributed.   Approximately 276 US$ not including legal fees.   Yes  


Registration and licensing procedures


The status are composed of a Certificate of Incorporation and of (by-laws. The corporate name must be registered, by checking that it is not being used in the State or in the state(s) where the company intends to do business.
The certificate of incorporation must be registered with the Trade Register of the State where the company is located. Only General Partnerships do not need to be registered.


Legal framework


The reference text for foreign investments is the International Investment Survey Act of 1976. Each State has its own regulation aiming at or having an incidence on Foreign Direct Investments and of which the inspiration is more or less liberal.


Foreign exchange control


There is no currency exchange control in the US. Free conversion of currencies is carried out, as well as the right to transfer profits and capital, with no limitation or period of time during which the latter must remain within the State.


Regulations concerning equity investment


A majority holding interest in stock of a local company is legal in the US.  


FDI inflows in United States




FDI inflows (millions US$) 2000 2001 2002 World rank
Foreign Direct Investments (F.D.I.) 71331   56834   95859   1 / 196
Sources : UNCTAD Database FDI/TNC


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Last modified in December 2003
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