50 States of Incorporation: Delaware

Tucked away on the East Coast and the sixth most densely populated state in the United States, “The First State” Delaware holds another nickname when it comes to business as the “incorporation capital of the world.”

Delaware is the legal home to more than a million business entities, including 50% of all U.S. publicly traded companies and 64% of the Fortune 500. Additionally, the state recently became 19th state to enact benefit corporation legislation, allowing companies the ability to register within Delaware as a benefit corporation.

How did Delaware get that coveted nickname when it comes to incorporating anyway? Ranked #21 on the Forbes list of best states for business and notorious for an especially modern corporate climate and economic outlook, Delaware attracts innovative companies and risk-taking entrepreneurs alike thanks to its business-friendly corporate law. What that law brings to the table for a business that decides to call Delaware its home but without actually operating within the state is no corporate income tax. As for the businesses that do operate in Delaware, purchases made aren’t subjected to sales tax and income is subject to a flat tax of 8.7%.

Whether you’re ready to file an LLC, non profit, corporation, or professional corporation in Delaware, we’ve got a quick cheat sheet at what you can expect when it comes to specific filing requirements.

Delaware LLCs

  • Filings are completed within two weeks at the state level – rush filing takes about one week.
  • Limited Liability Companies need “Limited Liability Company” or LLC or L.L.C. abbreviations after their name. Names of the members and the following words are also acceptable for Delaware LLCs: Association, Club, Company, Foundation, Fund, Institute, Limited, Society, Syndicate, Trust, and Union.
  • Registered agents must be appointed if there is a physical address in Delaware.
  • An annual $250 franchise tax fee must be paid by June 1st each year.

Delaware Corporation

  • Filings are completed within three weeks at the state level – rush filing it takes about one week.
  • Director information is not required on the Articles of Incorporation.
  • A business address within Delaware isn’t required by the state.

Delaware Non Profit/Professional Corporation

  • Filings are completed within three weeks at the state level – rush filing it takes about one week.
  • Director information is required on the Articles of Incorporation.
  • A business address within Delaware isn’t required by the state.

Ready to join the incorporation capital and file for an LLC or corporation in Delaware? Have a few more questions? Give call us at 1(877) 692-6772 or leave a comment below!

About Deborah Sweeney

is the CEO of MyCorporation.com. MyCorporation is a leader in online legal filing services for entrepreneurs and businesses, providing start-up bundles that include corporation and LLC formation, registered agent, DBA, and trademark & copyright filing services. MyCorporation does all the work, making the business formation and maintenance quick and painless, so business owners can focus on what they do best.