Ask HN: What is the cost/risk for US companies hire remote outside US?

These days most companies are hiring remote (at least in some bubbles, like the “Who is hiring” thread). But most of those that are US companies are ”Remote US only”. Why?

I understand that if those companies were to hire people outside the US as FTE it would require them to establish a presence in that country. But why not hire remote outside the US as contractors?

I am lucky to be hired as a contractor by a US company living outside of US. The process is very straightforward forward. I signed a contract and I send my invoice every month, along with a US bank account where they can deposit my salary (myself I use Payoneer, as I don’t have a US bank account). It ends up being a less bureaucratic process for the company, not more.

In my case I am treated as a FTE (a permanent employee, part of team, part of the decisions, the whole thing), only happens that my contract is of a contractor. I don’t have any benefits, but, in my case, the salary arbitrage to the cost of living in my city more that compensates that.

I would like to know why those company that hire “remote US only” are not open to that. Which risks/cost I am not seeing?