Expanding to the U.S. from South America? What You Legally Need Before You Lease, Hire, or Sell

If you’re a business owner based in South America and looking to expand into the U.S. market, Florida is often the natural entry point. The proximity, shared cultural ties, and Latin American population make it appealing, but don’t let those similarities fool you.

The U.S. legal and regulatory landscape is fundamentally different, and if you plan to lease a space, hire employees, or sell products or services here, there are a few key legal requirements you’ll need to take care of before anything else.

At Ayala Law, we’ve helped many entrepreneurs from South America make a smooth legal transition into the U.S. market. This blog post covers what you legally need before operating, and what mistakes to avoid.

Do I Need a U.S. Tax ID to Do Business in the United States?

Yes, you do.

If you’re a foreign individual or company doing business in the U.S., you’ll need to apply for one of the following:

• EIN (Employer Identification Number): This is like a Social Security number for your business. It’s required if you want to open a bank account, hire employees, or file taxes.

• ITIN (Individual Taxpayer Identification Number): If you are not a U.S. resident but still need to pay taxes or report income, this is likely what you’ll use.

How to Get an EIN as a Foreign Business Owner

You can apply for an EIN through the IRS, but if you’re not a U.S. citizen or don’t have a Social Security number, the process must be done by fax or mail—and includes extra documentation.

Tip: Work with a U.S.-based attorney or CPA to avoid delays. Mistakes in the application process can hold up your entire expansion timeline.

What Kind of Business Entity Should You Form in Florida?

If you’re from South America expanding your business into Florida, you’ll want to form a U.S.-based legal entity, usually one of the following:

• LLC (Limited Liability Company): Flexible and easy to manage, often ideal for foreign investors.

• Corporation (Inc.): Preferred if you’re planning to raise capital or attract investors.

Forming a U.S. entity helps:

• Limit your personal and foreign company’s liability.

• Make contracts enforceable in U.S. courts.

• Simplify banking, leasing, and hiring.

Pro tip: Choose your structure before signing any U.S.-based contract. It determines how you’re taxed and how you’re allowed to operate.

Do You Need an Import License to Sell Products in the U.S.?

It depends on what you’re selling.

Products That Typically Require Import Licenses:

• Alcohol, tobacco, firearms

• Food and agricultural goods

• Pharmaceuticals

• Medical devices or cosmetics

If you’re importing general consumer goods, you may not need a license, but you’ll still need to register with U.S. Customs and Border Protection (CBP) and comply with packaging, labeling, and safety regulations.

Mistake to avoid: Assuming that a product approved in South America or your home country is automatically compliant in the U.S. In many cases, FDA or FTC rules are very different from what you’re used to.

Why You Need U.S.-Based Contracts (Not Just Translated Ones)

Here’s a common error we see from foreign businesses, especially those from South America: They take a contract they’ve used in South America, translate it into English, and try to use it in the U.S.

That rarely works.

Here’s why:

• Contract law in the U.S. is structurally different from South America. Terms that are enforceable in one country may be unenforceable here.

• Florida law has unique rules about non-compete clauses, dispute resolution, indemnification, etc.

• If the contract is ever challenged, courts will look to U.S. legal standards, not the legal intent behind a translated document.

If you’re leasing a space, hiring contractors, or forming a business relationship, have your contracts drafted or reviewed by a U.S. attorney to ensure they’re enforceable here.

What Employment Rules Should You Know Before Hiring in the U.S.?

In the U.S., employment law is state-specific, and Florida has its own rules you’ll need to follow.

Some key legal points:

• You must have an EIN before hiring anyone.

• Wage and hour laws apply, even to part-time employees.

• You’ll need to register for unemployment insurance and possibly workers’ compensation.

• Misclassifying employees as independent contractors is a common legal mistake—and can lead to penalties.

If you’re a business from South America hiring your first U.S.-based employee, get legal advice first. A simple employment offer can have long-term consequences if not done correctly.

Other Legal Considerations When Expanding from South America

• Banking: U.S. banks often require multiple business documents (including a U.S. address and EIN) to open a business account.

• Visas: If you or your team will be working in the U.S., consult an immigration attorney to explore visa options like L-1 (intra-company transfer) or E-2 (investor visa).

• Intellectual Property: Trademarks in South America don’t automatically protect you in the U.S. Consider filing for trademark protection here.

Final Thoughts: Work With a Legal Team That Knows Both Sides

Expanding your business in South America to the U.S. is exciting, but it’s also complex. You don’t need a massive legal department to do it right, you just need the right guidance from professionals who understand both Latin American and U.S. business environments.

At our law firm, our founder is an entrepreneur from South America himself, and our team has worked with dozens of international clients making their move into the U.S. market. We’ll help you set up correctly, avoid costly mistakes, and build a solid legal foundation from day one,

If you need help expanding your business into the U.S., contact an experienced business attorney in Miami at 305-570-2208.

You can also contact attorney Eduardo A. Maura at eduardo@ayalalawpa.com.

Schedule a case evaluation online here.

[The opinions in this blog are not intended to be legal advice. You should consult with an attorney about the particulars of your case].

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