Limited Liability Companies and Corporations in Delaware
Delaware Intercorp, Inc is the Number 1 Ranked Delaware Incorporator, according to the 2007 Delaware Business Ledger Book of Lists. Delaware Intercorp charges NO FEE for the incorporation of your company if we act as your registered agent. Delaware Intercorp is a registered agent for Delaware Corporations and Limited Liability Companies. Call Us Toll Free: 888.324.1817 International: (1) 302.266.9367 Fax: 302.266.9940
Electronic same day filing at no additional cost. Filings received during normal business hours are filed the same day, usually within about an hour. We notify you of your filing number by email when the filing takes place.
No hidden fees. There is no additional filing fee or service fee for Delaware Intercorp to create your company if we are the Registered Agent in Delaware. All that is required is the State fee and our first year Registered Agent fee of $99.00.
Delaware’s advantages as a place of incorporation range from the Delaware General Corporation Law to the flexibility built into the corporate formation process.
Delaware’s large body of business laws helps a company plan carefully to avoid a lawsuit.
Delaware’s Chancery Court oversees matters involving Delaware’s General Corporate Law and has a reputation as one of the finest courts in the country.
Chancery Court issues decisions without jury trials, so their decisions are written, well thought-out and easy to follow.
Legal textbooks rely heavily upon Delaware corporate case law to teach law students because of the well written opinions from the Delaware Judiciary, so most American corporate attorneys have studied Delaware corporate law.
The Delaware Division of Corporations generates a considerable amount of revenue for the State, so they have invested in state-of-the-art imaging equipment, and process new filings very quickly.
A handful of Delaware registered agents, including Delaware Intercorp, have direct connections to the Division of Corporation’s electronic database, and can file your corporation formation documents electronically.
Why incorporate in Delaware? One of the best reasons for incorporating, or forming a Delaware limited liability company, is to separate your personal assets from your company’s assets. If you conduct business without using a corporation, or limited liability company, you place your assets at risk. Separating your personal property from your business property, and using a legal form such as a corporation, can help protect your personal property.
Incorporation or formation of a limited liability company also allows you to take advantage of the statutory and judicial laws of Delaware, to help you plan how your business runs.
An example:
Delaware Law allows for a version of the Limited Liability Company often called a Serial LLC. An LLC is normally very simple to create. The major difference between an LLC and a sole proprietorship or a partnership is the limitation of liability an LLC brings to you. But say that you wanted to conduct more than one type of business, and you didn’t want to create a separate corporation or limited liability company for each. The “Serial” LLC allows different lines of business to be treated separately from each
other from a liability standpoint. So, for example, an LLC that owns several apartment buildings may insulate the LLC from liability for each individual building, if the operating agreement allows for it, and the operating agreement is followed. For more information take a look at the Limited Liability Company Act of the Delaware Code (especially, Title 6, Section 18-215; Series of members, managers or limited liability company interests). The Series LLC law was originally designed to allow money management funds to operate effectively as limited liability companies. It is now being adapted to real estate and estate planning purposes. This is one area where the advice of an attorney is needed to help you sort out how a series LLC would work in your local jurisdiction.
Why incorporate in Delaware? Delaware has a separate Court of Chancery, a business court. The Court does not use juries and the judges are appointed on merit, not elected. Because there are no juries, decisions from the Chancery Court are issued as written opinions. Because of that, Delaware has a large body of written legal precedent to rely upon.
Delaware’s General Corporation Laws make it the friendliest state in America for corporations.
All of this means you have a stable legal platform upon which to operate. In other words, you know the rules going in. In many states, the courts can change the rules on a popular whim, with little regard for the effect on business. Chancery Court practitioners recognize that “outside the takeover process... most Delaware corporations do not find themselves in litigation. The process of decision in the litigated cases has so refined the law that business planners may usually order their affairs to avoid law suits.” According to the Wilmington News Journal, some Delaware corporate attorneys have complained that they have worked themselves right out of a job.
Delaware receives a large percentage of its revenue from corporate registration fees and therefore it is in the State’s best interest to attract as many corporations as possible.
Why incorporate in Delaware? The initial charge for incorporating in Delaware can be as low as $89.00. The annual franchise tax can be as low as $75.00 in many cases. The cost of continuing operations is low as well. There is no Delaware corporate income tax for corporations that are formed in Delaware so long as they do not transact business in Delaware. There may be significant federal tax advantages to incorporating as well. Shares of stock in Delaware corporations are not subject to Delaware taxes if the owner lives outside the state. One person may act as President, Treasurer, Secretary and sole director. With Delaware Intercorp’s no fee incorporation, the cost of doing business as a Delaware Corporation is affordable.
These are some very good reasons to incorporate in Delaware: