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Basic
$199
Fees for filing legal documents to register or maintain a business.
02 weeks processing
Agent fee
Registered Address
Document filing with the Secretary of State
Standard
$499
Fees for filing legal documents to register or maintain a business.
05 days processing
Includes everything in basic package
Comprehensive name check
Preparation of Articles of Incorporation
Lifetime customer support (phone & email)
Federal Tax ID (EIN) Obtainment Service
Premium
$599
Fees for filing legal documents to register or maintain a business.
01 day processing
Includes everything in standard package
2 hours of free tax consultation
Key Points of Delaware LLCs
Strong Privacy Protections
Delaware LLCs do not require public disclosure of members or managers, ensuring ownership anonymity.
No State Income Tax for Out-of-State Business
LLCs operating outside Delaware are not subject to state corporate or personal income tax.
Business-Friendly Legal Environment
Delaware offers flexible LLC laws and a respected Court of Chancery that specializes in business matters.
Understanding Delaware LLCs
A Delaware LLC combines strong liability protection with flexible governance, making it a top choice for entrepreneurs, holding companies, and startups. It is widely respected for its privacy, efficient tax treatment, and legal credibility across jurisdictions.
What is a Delaware LLC?
A Delaware LLC provides limited liability protection and offers flexible management structures. It can be member-managed or manager-managed, with governance terms privately defined in an operating agreement that may be written, oral, or implied.
A Delaware LLC offers several benefits, including:
Robust asset protection, anonymous ownership filings, pass-through taxation by default, and exemption from state income tax for out-of-state business. It also benefits from Delaware’s business-friendly courts and established legal framework.
Why choose an LLC in Delaware?
Choosing an LLC in Delaware offers legal predictability, privacy, and operational ease. It is ideal for businesses seeking investor trust, minimal disclosure, and strategic tax advantages, especially those operating outside Delaware.
Key Benefits Include:
Privacy Protection
Predictable Taxes
No Double Taxation
Legal Environment
Business Credibility
Clear Guidelines
Pros and Cons of an LLC in Delaware
Starting a Delaware LLC: Benefits
A Delaware LLC protects personal assets from business liabilities, offers flexible management, and permits anonymous ownership through minimal public disclosure. It’s easy to form, and the Series LLC option allows internal separation of assets or operations under one entity.
Taxation of a Delaware LLC
Delaware LLCs benefit from pass-through taxation by default, with profits reported on members’ personal returns. There’s no state income tax for LLCs operating solely outside Delaware, and no franchise tax applies to LLCs, only an annual flat fee.
Starting a Delaware LLC: Drawbacks
Forming an LLC in Delaware still requires annual filings and compliance. Ownership transfers may require member approval, and anonymity may be limited when registering in other states. Proper recordkeeping is essential to maintain liability protection.
Who Can Form an LLC in Delaware?
Any individual or business entity can form an LLC in Delaware, with no residency or citizenship requirements.
Types of LLCs in Delaware
Domestic LLC (Delaware-based LLC)
A domestic LLC is formed under Delaware law and operates within the state, offering limited liability protection, pass-through taxation, and flexible governance.
Foreign LLC (Out-of-state LLC registering in Delaware)
A foreign LLC operates in Delaware but was initially formed in another state. It must register, appoint a Delaware registered agent, and submit a certificate of good standing from its home state.
Series LLC
Delaware allows Series LLCs, enabling one parent LLC to create multiple series with separate assets, liabilities, and members. Each series must follow statutory rules and maintain distinct records.
Professional LLC (PLLC)
Licensed professionals in Delaware may form a PLLC to provide services like legal, accounting, or medical work. All members must be licensed, and malpractice liability is not shielded.
How to Start an LLC in Delaware
Choose a Business Name
Select a unique name that includes "LLC" or "L.L.C." and ensure it’s distinguishable from existing entities in Delaware. Use the Secretary of State’s name search tool to verify availability.
Appoint a Registered Agent
Designate a registered agent to accept legal documents. This can be an individual or a registered service company with a physical address in Delaware.
File the Articles of Organization
Submit Form LLC to the Delaware Secretary of State, providing LLC name, principal office address, and registered agent details.
Create an Operating Agreement
Though not required, it’s recommended to draft an Operating Agreement outlining ownership, governance, and profit distribution to reinforce liability protection and support tax compliance.
Delaware LLC Requirements
Age and Residency
Number of Members
Management Structure
Registered Agent and Office
Name Compliance
Delaware LLC Application
To start an LLC in Delaware, the key step is filing the Certificate of Formation with the Delaware Division of Corporations. This officially forms your business as a legal entity under the Delaware Limited Liability Company Act.
Required Information
The Certificate of Formation must include:
- LLC name (must be unique in Delaware and include “LLC,” “L.L.C.”, or “Limited Liability Company”)
- Registered agent’s name and physical Delaware address (no P.O. Box)
- Name and address of the person filing (authorized person)
- Whether it is member-managed or manager-managed, if such structure is declared in governing documents (though not always required in the formation
- Optional effective date, if different from filing date
Filing Options
- Online or by Mail: File the Certificate of Formation either through the Delaware Division of Corporations online system or by paper submission.
- Expedited Processing: Delaware offers expedited filing options—“1‑Hour”, “2‑Hour”, “Same Day”, etc.—for extra fees.
Post-Filing Requirements
- Operating Agreement: Not required by the state to be filed, but strongly recommended for governance and clarity among members.
- Annual Franchise Tax: All Delaware LLCs must pay a $300 flat franchise tax each year by June 1 to maintain good standing.
- Registered Agent Requirement: Must continually maintain a registered agent with a physical address in Delaware.
In Delaware, listing members/managers in the public Certificate is not required, giving additional privacy.
Delaware LLC Taxation
Franchise Tax
All domestic and foreign Delaware LLCs must pay a flat annual franchise tax of $300, regardless of income or activity.
Delaware LLC Fee
There is no additional income‑based LLC fee beyond the annual franchise tax; fees remain fixed unless you form registered series entities.
Sales and Use Tax
Delaware does not impose a state sales or use tax on goods or services.
Delaware LLC Annual Filing
What to File
Delaware LLCs do not file a detailed annual report as do corporations; the main requirement is paying the annual franchise tax.
Filing Deadlines
The $300 franchise tax is due June 1 of each year. Registered series have their franchise tax due the same day.
Penalties & Consequences
Failure to pay the annual tax by June 1 leads to penalties (e.g. late fees) and loss of good standing; the LLC (or series) may lose state privileges until the tax and penalties are paid.
Expanding Your Delaware LLC
As your business grows, you may expand your Delaware LLC into other states. This involves registering as a foreign LLC in each state where you plan to operate and ensuring compliance with that state’s legal and tax requirements.
Registering a Foreign LLC in Delaware
If your LLC was formed in another state but will operate in Delaware, you must file a Certificate of Registration, submit a Certificate of Good Standing from your home state, and appoint a registered agent with a Delaware address.
Doing Business in Other States
To expand your Delaware LLC, register as a foreign LLC in each state where you conduct business. This includes filing with the state, providing a Certificate of Good Standing, and fulfilling local tax, reporting, and licensing obligations.
Find The Right State To
Form An LLC
Every state has different rules, costs, and considerations for LLC formation.
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Doing Business in Delaware
Frequently Asked Questions
Yes, most states require you to have a registered agent to handle legal documents and notices during business hours.
While not always required by law, having an operating agreement is a smart move to outline your LLC’s rules and avoid disputes down the road.
An EIN is a federal tax ID; most LLCs need one to open a business bank account, file taxes, or hire employees.