How to Start an AI Startup in the USA
The United States maintains global leadership in technological innovation. Approximately 30% of all global companies in the field of generative artificial intelligence (AI) are based in the American market.
However, launching a project overseas requires an understanding of the local corporate structure, taxation, and immigration rules. Below, we will examine how to start an AI startup in the USA, choose a state, prepare documents, and obtain a founder visa.
Why the USA is a Priority Market for AI Startups
In 2025, US-based companies attracted approximately 75% of all global venture capital investments in AI (around $194 billion). In comparison, the entire EU received about 6%, while China and the UK received 5% each.
Google, Microsoft, or Meta are more likely to acquire US legal entities, which simplifies the final exit for founders. This is also supported by the market’s readiness to adopt innovation. According to a McKinsey study:
- 88% of US companies already use AI in at least one business function.
- More than 60% of corporations are testing AI agents.
- About a quarter of companies are scaling agent-based solutions within their processes.
For entrepreneurs thinking about how to build a startup in artificial intelligence, this market provides customers willing to pay high fees for ready-made B2B solutions.
AI Regulation in the US
For a long time, there was no single regulatory act, and artificial intelligence was regulated selectively at the agency level (FTC, FDA, SEC).
The situation began to change with the adoption of the presidential order Ensuring a National Policy Framework for Artificial Intelligence. Its goal is to create unified nationwide rules, replacing fragmented state laws that forced startups to adapt their software to each region’s requirements.
The current direction of US compliance is defined by two documents that appeared in June 2026.
- Trump Executive Order
The order Promoting Advanced Artificial Intelligence Innovation and Security replaces strict government control with a focus on cybersecurity. The document completely prohibits forced licensing or pre-release approval of AI models.Instead of mandatory code disclosure within 90 days, voluntary benchmarking has been introduced. In other words, developers may voluntarily provide agencies (including the NSA and CISA) access to algorithms for up to 30 days for testing. The government’s priority is infrastructure protection, while the use of AI for cyberattacks and data theft is now subject to criminal penalties. - Bipartisan Congressional Bill
The Great American AI Act proposes creating the Center for AI Standards and Innovation (CAISI) based on NIST under the Department of Commerce. Developers of the most powerful systems are expected to:- report training processes to the agency;
- prepare plans to reduce cybersecurity risks;
- undergo external audits.
The main value of the bill for business is the mechanism of “federal preemption.” If the law is passed, national standards will fully replace the strict and contradictory restrictions of individual states.
Which State to Choose for AI Startup Registration
Are you deciding where and how to start an AI startup in the USA? For technology businesses, four locations are traditionally highlighted.
| State | Registration time | Owner registry | Additional costs and requirements |
| Delaware | 1–3 days | Fully closed (founders’ names are not public) | Minimum fee – from $175 per year |
| California | 5-10 days | Open (all data is publicly available) | Mandatory minimum tax – $800 per year, even if the startup has not yet earned anything |
| Texas | 3-5 days | Open (available via state website search) | State corporate tax – 0% (fee is paid if revenue exceeds $2.47 million) |
| New York | 3-5 days | Open (from 2026 a local BOD report is mandatory) | Expensive setup: for LLCs, publication of notices in two newspapers is required (cost from $300 to $2000+) |
The choice of state depends on investors’ readiness to finance your project. If you need legal assistance on how to launch an AI startup in the USA, contact our specialists.
Delaware
It is suitable for startups that plan to raise venture capital investments in the United States. Most funds prefer to invest specifically in Delaware C-Corps, therefore registration in Delaware often allows avoiding costly restructuring before a funding round.
California
Thousands of specialists from OpenAI, Google, Meta, and NVIDIA work in the region, as well as graduates of Stanford and Berkeley. If a product requires a strong research team or close contact with the AI community, California provides the largest talent market in the country.
New York
Optimal for AI solutions in finance, insurance, media, and law. For a B2B startup, this provides an opportunity to meet potential clients without cross-country flights and to launch pilot projects with large enterprises more quickly.
Texas
How to build an AI startup in the USA while scaling a team quickly? One of the most popular options is to register a company in Austin. The city has become a major relocation destination for Silicon Valley professionals. It is easier here to hire employees, open an office, and scale operations without the cost level of San Francisco or New York.
How to Register an AI Startup in the USA: Step-By-Step Guide
How to create an artificial intelligence startup in the USA? With professional legal support, the launch process is predictable and faster.
Choosing a Legal Structure
For a technology project aimed at raising venture capital, only a C-Corporation (C-Corp) is suitable. An LLC does not allow flexible equity distribution, issuing stock options for the team, and is not suitable for large funds for tax reasons.
Company Registration
Articles of Incorporation are submitted to the Secretary of State of the chosen state through a registered agent. The official company name and initial number of authorized shares are also fixed. To properly register a company in the USA and immediately establish a corporate governance foundation, internal bylaws are also adopted in parallel.
Obtaining an EIN
To obtain a tax number (Employer Identification Number, EIN), an application is submitted to the U.S. Internal Revenue Service (IRS). For non-resident founders without a Social Security Number (SSN), this process takes longer, as documents are sent and processed by fax or mail.
Opening a Corporate Bank Account
The procedure is carried out in a U.S. bank or a major fintech service (for example, Mercury or Brex) within 1–2 weeks. To successfully open an account in the USA, you must provide corporate documents, EIN, founders’ passports, and prove the business’s connection to the jurisdiction.
Intellectual Property Protection
All rights to code, algorithms, and databases must be officially transferred from the founders to the company. This is done through an Intellectual Property Assignment Agreement, which can be assisted by an intellectual property lawyer.
Obtaining Necessary Licenses
Ordinary IT companies rarely require municipal licenses in the USA. For AI startups, this is not sufficient. Owners must obtain copyright rights for training datasets and secure official permissions from content rights holders.
Visa for AI Startup Founders in the USA
It is possible to manage a U.S. company remotely. However, for full business development, meetings with investors, and participation in accelerators, founders need to be physically present in the United States. Entry and work authorization is provided by a relevant visa.
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O-1A Visa
To qualify for this status, the founder must meet at least three of the following immigration criteria:
- receipt of professional awards or prizes in business/IT;
- publications in professional media or major tech publications;
- participation in well-known accelerators or raising venture capital;
- experience judging hackathons, competitions, or acting as an expert evaluator of projects.
The process of obtaining the visa is always initiated by the American side (employer or agent). They file a petition on your behalf using Form I-129. The document review period ranges from 15 to 90 days.
Initially, the visa is issued for 3 years with the possibility of unlimited extensions as long as the business is operating. However, the founder’s family receives O-3 category visas, which allow them to live in the United States but do not grant the right to employment.
International Entrepreneur Rule (IER)
IER is not a full visa, but it allows temporary stay in the United States (without being tied to the founder’s personal capital, assessing only the startup’s potential). To apply, the following requirements must be met:
- the company must have been registered in the United States within the last 5 years;
- the founder’s ownership stake in the project at the time of application must be at least 10%;
- the project must have attracted investments from qualified U.S. funds in the amount of at least $311,071, or government grants of at least $124,429.
The status grants the right to stay and work in the country for up to 5 years. Initially, approval is granted for 30 months, after which it can be extended for another equal period if the startup demonstrates revenue growth or creates jobs for Americans.
The application process via Form I-941 takes 6–12 months. At the same time, entrepreneurs’ spouses receive the right to work in the United States, but each entry into the country requires an additional immigration fee of $1,000.
E-2 Visa
Suitable for entrepreneurs who are ready to invest their own funds into a U.S. startup. The basic requirements also include:
- your home country must have an investment treaty with the United States (the list includes more than 80 countries);
- the founder must own at least 50% of the company’s shares or have full operational control over the business;
- the investment must be “substantial” (the minimum threshold is not defined by law, but in practice it is $100,000+).
The business must generate enough income to hire at least two American employees. The legality of the source of funds must be confirmed with tax returns.
The visa can be renewed indefinitely as long as the startup remains active. In addition, investors’ spouses automatically receive the right to work in the United States, and children can attend public schools free of charge.
How to Attract Funding for an AI Startup in the United States
Are you thinking about how to open an AI startup in the USA. and immediately secure external funding? In the American market, capital is raised from three main sources.
Accelerators
These programs help founders without Silicon Valley connections prepare their projects for pitches to angel investors, test hypotheses, and secure initial funding in exchange for equity.
Well-known accelerators include:
- Y Combinator. Invests $500,000 for 7% equity. Currently, about 60% of the startups it selects specialize in AI.
- Techstars. Offers AI-focused programs, invests via convertible debt, and provides mentorship and pilot opportunities.
- NVIDIA Inception. Provides access to GPUs, cloud computing credits, and technical experts (all without taking equity).
Participation in such programs also provides discounts on cloud servers, reducing startup costs for training models.
Venture Capital Funds
Large funds typically enter at the Seed and Series A stages, when the project already has a working product and initial sales. Investors focus on the depth of technology, team expertise, and total addressable market.
The most active investors in the AI sector include:
- Andreessen Horowitz (a16z). A major fund with approximately $43 billion in assets. It has dedicated AI budgets and a special Speedrun program with checks up to $500,000.
- Sequoia Capital. One of the oldest Silicon Valley funds, known for investments in Apple and Google. It focuses on projects building foundational AI platforms and models.
- Gradient Ventures. Google’s corporate fund with $200 million in capital. In addition to funding, it provides technical support and consulting from the parent company’s engineers.
With venture capital, it becomes easier to scale marketing, sales, and engineering hiring. However, founders give up a significant share of the company and must align strategic decisions with investors.
Government grants (SBIR/STTR)
The U.S. government provides non-dilutive grants to AI startups via the SBIR.gov portal, without taking any equity in the business. Funding is provided in two phases:
- Phase I: from $50,000 to $323,000 to validate the concept and test the idea.
- Phase II: up to $2,153,927 for building and scaling the prototype.
The majority of grants are distributed by the Department of Defense (DoD), the National Institutes of Health (NIH), the National Science Foundation (NSF), and NASA. To qualify, the startup must be registered as a U.S. C-Corporation, and the project lead must be a U.S. citizen or resident.
Taxes for an AI Startup in the United States
Legally, a C-Corporation is subject to double taxation (the company pays first, and then founders pay tax on dividends). However, in practice, venture-backed AI startups reinvest all earnings into growth for years and do not pay dividends, so this typically does not occur.
The federal corporate income tax is 21%. In addition, there is a state tax ranging from 0% in Wyoming to 8.84% in California. Franchise tax is paid only in the absence of net profit (in Delaware – from $175 to $400 per year).
As sales grow, sales tax also applies. AI subscription services and APIs are recognized as digital products in many states, so startups must collect this tax once they exceed the economic threshold of a given state (usually around $100,000 in annual revenue).
Common Mistakes When Launching an AI Startup in the United States
How can you build an artificial intelligence startup in the United States and avoid failing within the first year? It is not an easy task, but it is entirely achievable. To protect your project at the early stage, consider the mistakes that startups encounter most often:
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- Product as a wrapper (AI Wrapper). If you do not have a unique dataset and the project relies solely on APIs from OpenAI or Anthropic, the business may shut down as soon as the creators of the underlying model release a similar update.
- Ignoring computing costs. Unlike conventional software, in AI every user click generates ongoing server expenses. Audience growth without accounting for these costs can make the project unprofitable when scaling.
- Using protected content for training. Collecting datasets from open sources without a commercial license can block an investment round. American funds verify data compliance and may immediately reject a project due to the risk of lawsuits.
- Bureaucratic delays. Postponing the issuance of an EIN and the opening of a corporate bank account can paralyze the project. Without them, it is impossible to integrate Stripe, hire American engineers, or receive funds from investors.
If you need assistance with contract review, intellectual property protection, or document preparation in the United States, you can always contact our lawyers.
Lawrange Assistance With Launching an AI Startup in the United States
For more than 10 years, international technology businesses have entered new markets with our support. We know from practical experience how to create an AI startup in the United States and protect technology from copying.
With us, you do not have to search for different contractors for specific tasks, because we provide:
- Registration of a C-Corp in accordance with venture capital fund requirements.
- Obtaining an EIN and support during the opening of bank accounts in the United States.
- Preparation of Intellectual Property Assignment Agreements.
- Legal audit of datasets and verification of licenses for foundation models.
- Preparation of privacy policies.
- Preparation of documents for O-1A and IER applications.
To protect your project from risks, schedule a consultation with our lawyer. Leave a request with our manager, and we will contact you.
Conclusions
The U.S. market will not embrace promising code if the product cannot be safely purchased or scaled. Without clear ownership rights to the technology and proper dataset licenses, a business will lose investors and major clients.
If you are considering how to launch an AI startup in the United States with long-term growth in mind, allocate resources wisely. Focus on the product, metrics, and users, and delegate legal matters to professionals.
FAQ
Can a non-resident open an AI startup in the United States?
Yes. Foreign nationals are allowed to register companies, own shares, and serve as directors of U.S. corporations without having residency status or a visa.
How much does it cost to register an AI company in the United States?
The cost is calculated individually, as it depends on the mandatory state filing fees, registered agent fees, and the scope of legal assistance required for preparing corporate documents and protecting technology rights.
How does AI regulation in the United States differ from the EU AI Act?
The European AI Act introduces strict oversight with mandatory certification requirements and significant penalties for violations. In the United States, the approach is more flexible: regulation is decentralized through existing agencies and focuses on industry self-regulation in order to maintain the pace of innovation.
Is a license required for an AI business in the United States?
No special federal license is required to develop software or AI algorithms. However, licensing or certification may be necessary if your AI product is used in regulated industries such as healthcare, autonomous transportation, financial advisory services, or the defense sector.
C-Corp or LLC – which should you choose for an AI startup?
Venture capital funds and accelerators generally invest only in C-Corporations. This business structure makes it easier to issue shares, distribute stock options among team members, and scale an AI project.