DELAWARE LLC FORMATION

Why form your LLC in Delaware?

Delaware has a reputation for being one of the most business-friendly states in the US.

The initial state filing fees and franchise taxes are relatively low, there are no taxes on out-of-state income, either. The filing process is simple and allows LLCs to get up and running quickly. The state keeps it easy after that, too, with online filing of LLC taxes and reports.

Another unique standout of Delaware is the Chancery Court. This is one of three constitutional courts in Delaware (alongside the Supreme Court and Superior Court).

The Chancery Court is only for business cases. This means that business-related cases are resolved much quicker than in courts that hear cases in all categories. Plus, the judges in the Chancey Court have much more experience in business hearings.

Delaware doesn’t require shareholders, directors, or officers to be residents of the state. Furthermore, one person can be named in all of these roles. It’s also one of the only states that allows you to exclude your personal identity from the formation documents.

Advantages of forming LLC in Delaware

Quick and simple formation process (electronic filing of documents)
Low filing fees and franchise taxes
No corporate income taxes (foreign LLCs that elect for corporation taxing)
More privacy for your business: Delaware doesn't require member or manager names to be disclosed in the formation documents.
Delaware LLCs are not required to file annual reports
Flexible business structure
Specialized business legal system (Chancery Court)

Disadvantages of forming LLC in Delaware

No flat franchise taxes
If you live outside of Delaware and want to form an LLC there, it could ultimately be more expensive than starting an LLC in your home state
The state requires mandatory, state-issued business licenses for all businesses.

Pre-made packages for LLC formation in Delaware

Get the business formation package that suits your needs, whether you’re looking for a basic package or comprehensive support. We provide all the essentials to initiate or expand your business successfully.

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Do you have a unique vision for your new company?

Don’t worry, we’ll help you make it happen. Start your LLC with a personalized offer from Laveco. Contact us and request a price quote now!