General Guide to Company Incorporation in Delaware
|Reasons for doing business in Delaware|| |
- fast incorporation,
- tax benefits,
- no need for shareholders to reside in Delaware
Best use for companies in Delaware
For doing business outside USA
Proper business entity for incorporation in Delaware
Limited liability company
|Minimum share capital for LLC in Delaware||USD 1|
|Formalities for starting a business in Delaware|| |
- drafting the Articles of Association,
- opening a bank account,
- registering for taxation
|Resident directors and shareholders (YES/NO)||No|
|Required number of directors and shareholders|| |
At least 1
|Registered agent required (YES/NO)|| |
|Corporate bank account required in USA|| |
Yes, but not mandatory
|Time frame for company incorporation in Delaware||Around 2 months|
|Corporate income tax|| |
|Hiring staff for company in Delaware (YES/NO)|| |
|Traveling to USA for company formation in Delaware (YES/NO)|| |
|Filling annual return (YES/NO)|| |
|How can our agents help you with company formation in Delaware?|| |
- preparation of documents,
- tax registration,
- collaboration with the local authorities,
- opening a bank account
The minimum share capital for starting a business in Delaware
Regardless of the American state in which you want to develop a business, the support of our local specialists will be helpful. For instance, if you want to open a branch in USA, you must consider formalities such as preparing the necessary documents, opening a bank account, and registering for the payment of taxes, among others. Feel free to get in touch with us for complete assistance in this matter.
Conditions for company formation in Delaware
If you are thinking of opening a company in USA, we recommend the services offered by our local specialists. They can take care of formalities such as the preparation of documents, the application for the necessary business license, as well as the registration for the payment of taxes, regardless of the chosen American state. You will have the guarantee that you comply with the legislation and that the registration process is straightforward.
No VAT for companies in Delaware
Opening a bank account for your company in Delaware
Hiring staff for your company in Delaware
Salaries in companies in Delaware
Opening a website for your company in Delaware
A virtual office for your business in Delaware
Are you interested in company incorporation in Delaware? You should know that there are many entrepreneurs who do not want to rent or buy an office for their company in Delaware. They have the possibility of obtaining the services of a virtual office in Delaware. We also mention that our consultants can provide such services on request.
Income tax for companies in Delaware
Another advantage when starting a business in Delaware is that there is no income tax if the company does not perform activities in that state.
Why open a company in Delaware
Delaware is known as a corporate haven, alongside Wyoming and Nevada. The General Law Corporation of Delaware is advantageous and flexible for companies registered here. Additionally, one of the reasons why you should start a business in Delaware is that the main office can be anywhere in the world, as the shareholders are not obliged to run the business in the state.
Creating a foreign LLC in Delaware
Do I need a business license in Delaware?
- The seller and reseller permit, the health permit, and the building permits are needed.
- The home occupation permit and the signage permit need to be obtained.
- The business operation license or the business privilege license is necessary for your Delaware LLC.
- Delaware Division of Revenue issues the business license for domestic and foreign investors in this state.
- Delaware One-Stop Business Licensing and Registration Service issues the mandatory licenses and permits for running the activities in this state.
Can I create an offshore in Delaware?
- A Delaware offshore can be established under the rules of a limited liability company.
- Local and foreign entrepreneurs can choose Delaware for creating an offshore.
- A Delaware offshore can be established by at least one stockholder.
- The Articles of Association are the needed documents for such a business entity.
- Just like any other company, a Delaware offshore needs a bank account.
- An offshore in Delaware needs a representative agent appointed by owners.
- The minimum share capital for an offshore in Delaware is not imposed.
A short guide for company formation in Delaware
Entrepreneurs interested in Delaware corporation formation should know that the registration formalities are quite simple. We present you a short guide that can help you open a company in Delaware in a fast and reliable manner:
- Decide on the corporate name – Words like “company”, “incorporated”, “club”, “corporation”, “limited”, or society” are permitted for the formation of the business name of the company in Delaware. Abbreviations are also accepted. Once the business name is selected, a verification is required with the Delaware Secretary of State.
- Prepare the documents – The Certificate of Incorporation or the Articles of Association must be filled and submitted to the same institution mentioned above. An online filling is also permitted, yet you can discuss it with our agents for support.
- Appointing the registered agent – This is another essential step in company formation in Delaware. A registered agent can be a person or another company with residency in Delaware as the main requirement. Our agents can act as representatives for your business in this state.
- Preparing the internal corporate document – Bylaws represent the internal corporate document with information about the standard rules of the company. There is no obligation for having such documents, however, these might be used for creditors and banks verifications. Bylaws are kept at the main business office in Delaware.
- Open a bank account – If you want to start a business in Delaware you should open a bank account related to the company. All the financial transactions can be made through this bank account. Make sure you choose the right type of bank, in accordance with the needs of your future business.
- Register for taxation – When creating a company in Delaware, tax registration is required. The EIN or the Employer Identification Number is issued by the IRS (Internal Revenue Service) and shows that your business in Delaware is a taxpayer. One of our company formation agents in USA can assist you throughout the registration formalities.
- Obtain the business license – Activities in Delaware cannot commence without a business license. This is issued by the Delaware Division of Revenue. In some cases, local business licenses are solicited, depending on the city or county the company is incorporated. This is another topic covered by our agents.
- Obtain the company seal – You can start the activities of your business in Delaware if you obtain the company seal. The procedures in this matter can be discussed with our agents in USA.
These are, in large lines the main requirements for company incorporation in Delaware, reminding that each step can be managed in a professional manner by our company formation specialists in USA. Delaware is a great destination for business, yet you need to observe the regulations and respect the registration conditions. Talk to us and discover how we can help.
Investing in USA
USA was the second-largest investor in the world in 2019 and continues to present confidence among international entrepreneurs who want to expand their business portfolios. There is no doubt that USA is great for business in all sectors and all states. Most investments that come from countries like Germany, Canada, UK, France, and Ireland are absorbed by sectors like manufacturing, trade and maintenance, finance, and insurance. The quality of business is excellent in USA and allows the fast registration of companies without any complicated formalities. Delaware, for example, is a generous state from a business point of view because there are many advantages, among which, the ones related to taxation. Offshore companies are permitted in Delaware, and many foreign investors already enjoy the benefits of owning such businesses in this American state. Referring to facts and figures, the following are quite interesting and highlight the business and the economic direction of USA:
- The 2020 Doing Business report ranked USA 6th out of 190 worldwide countries for the simplified business process.
- More than USD 9,465 billion represented the total FDI stock for USA in 2019.
- The attraction for greenfield investment was reflected by the total value registered in 2019: nearly USD 102 billion.
- More than 40% of the foreign investments in USA in 2018 were absorbed by the manufacturing sector, followed by the financial and insurance with more than 12%.
FAQ about company formation in Delaware
For a better understanding of the company incorporation in Delaware, please get in touch with our team of experts in USA and discuss further details.