Starting a business in the United States as a Latin American entrepreneur opens doors to massive opportunities. However, the process of incorporating a U.S. company can be complex, especially if you’re navigating it from overseas. Luckily, platforms like Stripe Atlas, Clerky, and Firstbase aim to simplify this process, each offering unique solutions to help founders incorporate and manage their U.S. businesses.
In this post, we’ll dive into the key differences between Stripe Atlas, Clerky, and Firstbase, helping you decide which platform is the best fit for your startup needs.
Why Incorporate in the U.S. as a Latin American Entrepreneur?
Before comparing the services, it’s important to understand why many Latin American entrepreneurs choose to incorporate in the U.S. Here are some of the benefits:
- Access to U.S. investors: U.S. incorporation can make it easier to attract venture capital.
- Improved credibility: A U.S.-based company can build more trust with global customers and partners.
- Access to U.S. banking services: Incorporating in the U.S. provides access to Stripe, PayPal, and other international payment gateways.
Now let’s explore which of these three services—Stripe Atlas, Clerky, or Firstbase—best meets your needs.
1. Stripe Atlas
Stripe Atlas is a popular choice for non-U.S. entrepreneurs, especially from Latin America, looking to quickly incorporate in the U.S.
- What it offers: Stripe Atlas provides everything you need to form a Delaware C-Corp or LLC, including legal documentation, a U.S. business bank account, and access to Stripe’s payment processing tools.
- Pricing: $500 one-time fee for the setup, with additional fees for ongoing services like tax filings.
- Banking: Stripe Atlas partners with Mercury and Silicon Valley Bank to help you open a U.S. bank account without stepping foot in the U.S.
- For Latin American Entrepreneurs: Stripe Atlas makes it simple by handling the paperwork and bank account setup. However, ongoing compliance (like U.S. tax filings) is something entrepreneurs will need to handle separately.
Pros:
- Quick setup (ideal for Latin American entrepreneurs)
- Includes banking setup
- Comes with access to legal templates and resources
Cons:
- Limited post-incorporation support
- U.S. tax compliance not included
2. Clerky
Clerky is another incorporation service, primarily focused on startups that plan to raise venture capital. It provides more specialized legal services compared to Stripe Atlas.
- What it offers: Clerky handles Delaware C-Corp incorporation, but its primary focus is on the legal paperwork necessary to prepare startups for fundraising. This includes services like founder agreements, issuing stock, and preparing for fundraising rounds.
- Pricing: Starts at $799 for incorporation, with additional fees for legal documents and compliance.
- Banking: Unlike Stripe Atlas, Clerky does not provide assistance with setting up a U.S. bank account, which can be a challenge for international founders.
- For Latin American Entrepreneurs: Clerky is well-suited if you’re planning to raise funds from U.S. investors quickly, but it requires you to handle banking separately.
Pros:
- Excellent for venture-backed startups
- Offers detailed legal support
- Ensures all your fundraising documents are in order
Cons:
- More expensive
- No banking setup
- Focused on fundraising, less on day-to-day operations
3. Firstbase
Firstbase is designed to simplify U.S. incorporation for non-U.S. founders, providing a more complete post-incorporation service compared to the other two options.
- What it offers: Firstbase helps you form a Delaware C-Corp or LLC, set up a U.S. bank account, register for an EIN, and manage ongoing compliance needs like taxes and annual reports.
- Pricing: Starts at $399 for basic incorporation and goes up depending on additional services.
- Banking: Firstbase partners with Brex and Mercury for banking solutions, helping international entrepreneurs open an account remotely.
- For Latin American Entrepreneurs: Firstbase stands out with its focus on ongoing compliance, which makes it a good option if you want support after incorporation. They also provide services for U.S. address registration, which is useful for Latin American entrepreneurs who don’t have a U.S. presence.
Pros:
- Comprehensive post-incorporation support
- Includes tax and compliance services
- Banking and EIN setup included
Cons:
- Limited customization for startups looking to raise venture capital
- More expensive than Stripe Atlas
Which One is Right for You?
- Choose Stripe Atlas if you want a fast, straightforward way to incorporate and set up a U.S. bank account, and you don’t need extensive legal support.
- Choose Clerky if you’re laser-focused on raising venture capital and need the right legal documents to appeal to U.S. investors.
- Choose Firstbase if you want an all-in-one solution that takes care of incorporation, banking, and ongoing compliance, especially if you’re a solo founder or small team.
Incorporating a U.S. business as a Latin American entrepreneur is a big step toward scaling globally. Whether you choose Stripe Atlas, Clerky, or Firstbase, each has its own strengths and weaknesses. Carefully consider what matters most to your startup, such as speed, legal complexity, and compliance, before making your decision.
James Jara
Pricing Comparison: Stripe Atlas vs Clerky vs Firstbase
| Feature / Service | Stripe Atlas | Clerky | Firstbase |
|---|---|---|---|
| Incorporation Fee | $500 (one-time) | $799 (starting) | $399 (starting) |
| Business Entity Options | Delaware C-Corp or LLC | Delaware C-Corp | Delaware C-Corp or LLC |
| Bank Account Setup | Included (Mercury, SVB) | Not included | Included (Brex, Mercury) |
| Tax ID (EIN) Setup | Included | Included | Included |
| Legal Documents (Initial) | Basic Templates | Advanced (Founders, Stock, etc.) | Basic Templates |
| Fundraising Support | No | Yes (VC-Ready Documents) | No |
| Annual Compliance (Tax, Reports) | Not included | Not included | Available for extra fee |
| Post-Incorporation Support | Limited | Legal focus (fundraising) | Full ongoing compliance |
| Registered Agent Service | Included (1 year) | Included (1 year) | Included (1 year) |
| Ongoing Fees | Additional for compliance & taxes | Additional for legal services | Additional for compliance & taxes |
| Best For | Simple setup and banking | VC-backed startups | All-in-one solution for compliance |
Summary of Pricing and Features
- Stripe Atlas: $500 one-time fee for a straightforward incorporation with bank account setup but limited post-incorporation support.
- Clerky: Starts at $799 and is focused on venture-backed startups, offering advanced legal documents for fundraising but no banking or ongoing compliance support.
- Firstbase: Starting at $399, this is the most comprehensive solution, providing incorporation, banking, and ongoing compliance, making it ideal for entrepreneurs who need long-term support.
Top Y Combinator Companies and Their Incorporation Platforms
Many successful Y Combinator startups have chosen different incorporation platforms based on their unique needs and growth strategies. Here’s a look at some of the top YC companies and the platforms they used to kickstart their journey:
| Company | YC Batch | Platform Used | Notes |
|---|---|---|---|
| Stripe | YC S10 | Self-incorporated | As the creators of Stripe Atlas, they had a custom setup. |
| Airbnb | YC W09 | Traditional Legal Setup | Airbnb used legal firms early on due to rapid scaling needs. |
| Cruise Automation | YC W14 | Clerky | Cruise used Clerky to handle their early legal needs before acquisition. |
| Zapier | YC S12 | Stripe Atlas | Zapier used Stripe Atlas for incorporation, benefiting from fast setup and banking. |
| YC S05 | Traditional Legal Setup | One of the earlier YC companies, they used a traditional route. | |
| Rappi | YC W16 | Clerky | Clerky was used by Rappi to handle legal documents as they expanded across LATAM. |
| Brex | YC W17 | Firstbase | Brex, a fintech startup, used Firstbase to manage U.S. incorporation and compliance. |
FAQ: U.S. Incorporation for Latin American Entrepreneurs
1. What are the main differences between Stripe Atlas, Clerky, and Firstbase?
Entrepreneurs often ask about the differences between Stripe Atlas, Clerky, and Firstbase for U.S. incorporation. Each platform offers distinct benefits depending on your startup’s needs. Stripe Atlas focuses on quick setup and banking, Clerky is best for startups aiming to raise venture capital, and Firstbase provides comprehensive post-incorporation support.
2. What’s the best incorporation service for Latin American entrepreneurs?
The best incorporation service for Latin American entrepreneurs depends on your goals. Stripe Atlas is ideal for those seeking a simple, fast solution with banking support. Clerky is perfect for those focusing on venture funding, while Firstbase is excellent for ongoing compliance and full-service needs.
3. How can I start a U.S. company from Latin America?
To start a U.S. company from Latin America, services like Stripe Atlas, Clerky, and Firstbase streamline the incorporation process by handling legal paperwork, U.S. banking setup, and other necessary steps, making it easier to incorporate remotely.
4. Is Stripe Atlas a good option for LATAM startups?
Yes, Stripe Atlas is a great option for Latin American startups. It simplifies U.S. incorporation by providing everything you need to start, including banking setup, access to legal documents, and payment processing tools, making it easy for LATAM entrepreneurs.
5. How does Clerky support startup incorporation for LATAM entrepreneurs?
Clerky is ideal for LATAM entrepreneurs looking to raise venture capital. It provides in-depth legal documentation for equity distribution, fundraising, and incorporation, ensuring that your startup is legally prepared to approach investors.
6. Can Firstbase help Latin American entrepreneurs with U.S. incorporation?
Yes, Firstbase is a comprehensive solution for Latin American entrepreneurs. It helps with U.S. incorporation, setting up a bank account, getting an EIN, and managing ongoing tax compliance, making it a reliable choice for entrepreneurs looking for long-term support.
7. How can non-resident entrepreneurs incorporate in the U.S.?
Non-resident entrepreneurs, including those from Latin America, can incorporate in the U.S. through platforms like Stripe Atlas, Clerky, or Firstbase. These services guide you through forming a U.S. business entity, opening a U.S. bank account, and maintaining legal compliance.
8. What’s the best incorporation approach for LATAM startups looking to scale?
For LATAM startups aiming to scale, choosing the right incorporation service is crucial. Stripe Atlas offers fast setup, Clerky is ideal for startups seeking investment, and Firstbase provides long-term compliance support, depending on your growth strategy.