US LLC Setup for OFM (2026): Wyoming, Delaware, New Mexico

⚠️ Last verified: 2026-04-20 · Volatility: LOW. State rules stable.

You've decided to form a US LLC. Which state? This guide compares the three most-used.

1. Why state choice matters

Not where you live

• You can form LLC in any state.
• State fees, privacy, taxes differ.

OFM-relevant factors

• Privacy: owner anonymity.
• Fees: formation + annual.
• Compliance burden: annual reports.
• Tax: franchise tax, income tax.

---

2. Wyoming

Pros

• Strong privacy, no public owner disclosure.
• Low annual fee ($60).
• No state income tax.
• Asset protection favorable.

Cons

• Registered agent required.
• Far from most operators.

Best for

• Privacy-conscious OFM.
• Most OFM community default.

Costs

• Formation: $100.
• Annual: $60.
• Registered agent: $100-$300/year.

---

3. Delaware

Pros

• Business-friendly courts.
• Prestige (not necessarily OFM-relevant).
• Established legal framework.

Cons

• Higher fees ($300+ annual).
• Annual franchise tax.
• Owner disclosure to state (not public).

Best for

• VC-backed tech.
• Rarely OFM-optimal.

---

4. New Mexico

Pros

• No annual report requirement.
• Low formation cost.
• Strong privacy.

Cons

• Less established than Wyoming.
• Registered agent mandatory.

Best for

• Set-and-forget LLC.
• Privacy + simplicity.

Costs

• Formation: $50.
• Annual: none (no report).
• Registered agent: $100-$300.

---

5. Community preference

Wyoming

• Most OFM operators.
• Privacy + reasonable fees.

New Mexico

• Growing preference.
• Simplicity.

Delaware

• Rare for OFM.

---

6. Formation process

Steps (any state)

1. Pick state.
2. Pick LLC name (check availability).
3. Hire registered agent (required).
4. File Articles of Organization.
5. Get EIN from IRS.
6. Draft operating agreement.
7. Open business bank account.

Service providers

• Northwest Registered Agent, popular, privacy-focused.
• Incfile / ZenBusiness, budget.
• StartGlobal / Doola, for international operators.
• LegalZoom, mainstream.

Cost via service

• $100-$500 all-in for formation.

---

7. Registered agent

What it is

• Your registered contact in the state.
• Required to have one.
• Receives legal notices.

Options

• Yourself (must be in state).
• Service provider ($100-$300/year).

For OFM

• Service provider almost always.
• Privacy + reliability.

---

8. EIN (Employer Identification Number)

What it is

• Federal tax ID for LLC.
• Needed to open bank account.
• Free from IRS.

Getting EIN

• IRS Form SS-4.
• Online if US person.
• Fax if international (Guide 3).

---

9. Operating agreement

What it is

• Internal document governing LLC.
• Sole member or multi-member.

Typically

• Service provider includes template.
• Customize if needed.

For OFM

• Standard template works.
• Name LLC's purpose generically.

---

10. Business bank account

Why needed

• Liability separation.
• Professional appearance.

OFM-friendly banks

• See Guide 5.
• Mercury (if qualify).
• Mainstream banks (often close).

---

11. Annual maintenance

Wyoming

• Annual report: $60.
• Registered agent renewal.

Delaware

• Annual report: $300.
• Franchise tax.
• Registered agent.

New Mexico

• No annual report.
• Registered agent.

All states

• Federal tax filing.
• Business bank fees.

---

12. Multi-state registration

If you operate from different state

• Foreign qualification in home state.
• Additional fees + compliance.
• Complicated.

For OFM

• Usually single-state setup fine.
• Unless you have employees in multiple states.

---

13. Tax treatment

Single-member LLC

• Default: disregarded entity.
• Income flows to personal return.
• Pay self-employment tax.

Multi-member LLC

• Default: partnership.
• K-1s to members.

Elect corporation

• S-corp election for tax optimization.
• At higher income.

---

14. Common setup mistakes

Using home state without evaluation

Missed privacy / tax benefits.

Self as registered agent

Privacy / reliability issues.

Not getting EIN

Can't open bank account.

No operating agreement

Legal gaps.

Skipping annual compliance

LLC dissolved or penalized.

---

15. Frequently asked questions

Wyoming or Delaware?

Wyoming for most OFM. Delaware rarely optimal.

How long does formation take?

1-7 days typically.

Can I change states later?

Yes via dissolution + re-formation or domestication.

Do I need operating agreement?

Yes, even if sole member.

Can I form without visiting US?

Yes via service provider (Guide 3).

---

Related guides

• Guide 1, Incorporate Decision
• Guide 3, Non-Resident US LLC
• Guide 5, Business Banking

---

This is general information. Consult qualified professional.

Built from a corpus of real operator discussions across 11 OFM Telegram communities (2024-2026). Usernames anonymized.