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Delaware has many benefits for businesses and its owners that has made it one of the most popular states for incorporating. In fact, over half of the Fortune 500 companies are incorporated in the State of Delaware. The reasons for incorporating in Delaware vary but we have listed a few of the benefits and advantages of forming your business in Delaware.

Laws and Legal System: Delaware maintains a separate and unique corporate legal system that does not use juries, but only uses judges appointed for their knowledge of corporate law. The Delaware Court of Chancery allows corporations the security of knowing or better predicting what the outcome of a certain case may be by looking at past rulings. In fact, many believe the Corporate and LLC laws themselves in the State of Delaware are more beneficial to businesses than any other state. These two factors alone make it a very favorable environment for businesses to operate in.

Cost: The cost to incorporate in Delaware is one of the lowest in the country

Tax Savings: No Corporate income tax for corporations that may be incorporated in Delaware but do not transact business in the state. No sales or use tax in Delaware.

Raising Capital: Delaware corporations may trade stock for capital, services, personal property or real estate, including leases and options. The directors may determine the value of the transactions

Other Benefits:

Directors need not be shareholders of the business.
Corporations and LLC’s may be formed by one individual holding all positions within the company.
Shareholders need not live or hold meetings in Delaware.
Shareholders and Directors are not required to be US citizens
There is no minimum capital requirement
Incorporations can be completed in just 24 hours.

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