Delaware Company Incorporation Overview

Prices in U.S Dollars (Prices below do not include Nominee Director. Please refer to our Nominee Service Price List for fees.)

 

Limited Liability Co.Corporation
Incorporation$1,050$1,090
Hong Kong Bank Account$800$800
Bank Account in Singapore, Latvia, Austria, British Virgin Islands, St. Vincent & The Grenadines, Mauritius, or Belize$750$750

 

Delaware has a long history as the preferred jurisdiction for incorporation in the United States. More than 850,000 business entities have their legal home in Delaware, including more then half of all U.S. public listed companies and over 60% of Fortune 500 businesses.

 

Corporation or LLC (Limited Liability Company)?

 

Both types of entities will protect your assets and have limited liability. A business that has been incorporated will allow you to "go public" and sell stock in your company. An LLC is a hybrid of a Corporation and Partnership, has a less formal air to it, offering greater flexibility for owners and enjoy "pass-through" taxation similar to that of a partnership. This allows an LLC to pass all its income and losses through to the owners.

 

Benefits of incorporating in Delaware

 

  • Low formation/incorporation and annual franchise/renewal fees.
  • No Delaware corporation income tax for Delaware corporations not operating in Delaware.
  • Delaware has no sales or personal property tax.
  • Business Licence is not required if Corporation is not doing business in Delaware. (Note: a business license is needed for each state or territory of the U.S. in which it does business. If it does no business in the U.S. or its territories then no license is needed.)
  • Directors and members need not be U.S. citizens.
  • No name or address disclosure requirement for the initial board of directors
  • The corporation must have a registered agent in Delaware, but not a business office.
  • One person may act as the only officer, director and shareholder of a corporation.
  • Where no business is conducted in the U.S. and the members/shareholders, director and officers are not US Citizens, a Delaware Company has the same characteristics as a normal "Offshore" Company.

 


 

Key Corporate Features

 

General

Type of Entity Limited Liability Company (LLC) Corporation
Type of law Common & Statutory Common & Statutory
Shelf Company Availability Yes Yes
Minimum Government Fees (Excluding Taxation) USD 300 USD 225
Corporate Taxation None* None on Out-of-State Profits*
Double Taxation Treaty Access Yes Yes

Share Capital or Equivalent

Standard Currency USD USD
Permitted Currencies USD USD
Usual Authorized N/A US$5,000
Minimum Paid-up Capital US$1.00 US$1.00
Directors or Managers
Minimum Number One Manager One Director
Local Required No No
Public Access to Records No Yes
Location of Meetings Anywhere Anywhere
Members
Minimum Number One One
Public Access to Records No No
Location of Meetings Anywhere Anywhere
Company Secretary Required No Yes
Local or Qualified Not Required Not Required
Accounts
Requirement to Prepare Yes Yes
Audit Requirements No No
Requirement to File accounts No No
Public Access to Accounts No No
Other
Requirement to File Annual Return No Yes
Change of Domicile Permitted Yes Yes
* U.S. Tax laws apply, hence whether U.S. Federal Taxes will be due is subject to the circumstances of the particular company, shareholders and members and the portions of the U.S. tax code that apply to them.

 


 

General Information

The State of Delaware is the second smallest state in America after Rhode Island and is situated on the east coast of the United States in the heart of the New England business, finance and IT corridor, mideway between New York and Washington, D.C.. The United States Census Bureau estimates that the population of Delaware was 907,135 on July 1, 2011, a 1.02% increase since the 2010 United States Census.

 

Delaware has a separate Court of Chancery that handles Corporation law cases quickly, competently and exclusively. Judges of this court are appointed on merit alone and not elected. The corporate law of Delaware are very user-friendly and is widely recognized as being one of the best in the country, often been used by other states as a standard for testing corporate laws. As a result, its corporate laws are familiar to many lawyers both domestically and internationally.

 

Infrastructure & Economy

Since the 1990s Delaware has become increasingly dependent on the finance and insurance sectors for employment and income, although manufacturing and agriculture are still important. The manufacturing, credit card, banking, and insurance industries are heavily concentrated in the north, while farming is carried on mainly below the Chesapeake and Delaware Canal . Chief agricultural products are broiler chickens, soybeans, corn, and dairy products. Potatoes and other vegetables are also grown. Delaware 's small fishing industry harvests mainly clams, menhaden and oysters.

 

Industries around Wilmington, especially the chemicals and materials company that was founded by the Du Pont family in the 19th cent. and that continues to be one of the largest in the world, also contribute to the state 's wealth. In addition to chemicals and chemical products, the biomedical, apparel, processed foods, rubber and plastic products, and transportation equipment industries are important. Dover Air Force Base is the largest military facility in the state.

 

• Language

  • English

 

• Currency

  • U.S. Dollar (USD)

 

• Exchange Control

  • None

 

• Type of Law

  • Statutory law based on British Common Law with extensions by the U.S. Congress and the Delaware State Legislature.

 

• Principal Corporate Legislation

  • Delaware General Corporation Law as amended.

 

 

Company Information

 

• Type of Company for International Trade and Investment

  • The Delaware Corporation or Limited Liability Company (LLC).

 

• Restrictions on Trading

  • None

 

• Powers of Company

  • A Delaware Corporation or LLC has the full capacity of, and all rights, powers, and privileges of, a natural person.

 

• Language of Legislation and Corporate Documents

  • English

 

• Shelf Companies Available

  • Yes.

 

• Language of Name

  • English

 

• Registered Office Required

  • Yes

 

• Name Restrictions

  • The name must not be the same, or deceptively similar to, the name of any corporation, limited partnership, limited liability company, foreign corporation, foreign limited partnership, foreign limited liability company, or a name reserved for use of any other proposed corporation, unless written consent of the person or other entity for whom the name is reserved is filed with the articles. A name appearing to be that of a natural person and containing a given name or initials must not be used as a corporate name, except with an additional word such as "Incorporated," "Limited," "Inc.," "Ltd.," "Company," "Co.," "Corporation," "Corp.," or other word identifying it as not being the name of a natural person. If the name implies banking, trust, or insurance powers, prior approval of the banking superintendent or insurance commissioner is needed.

 

• Suffixes to Denote Limited Liability

  • The name must end in Inc, Corp, Corporation, Ltd., Limited, Co. or Company.

 

• Disclosure of Beneficial Ownership to Authorities?

  • No

• Classes of shares authorised

  • Par value shares and no par value shares

If you are a lawyer, accountant , tax advisor or financial consultant and require services for your clients, please contact us for further options.

 

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