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How to Register a Company in Delaware

Mar 12, 2021

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Registering a company in Delaware is one of the best choices you can make as a business owner. You might have heard many people say things like this in the middle of a casual chat. Do you know why? Delaware is ranked among the best states in the United States to do business with ease irrespective of your nationality. Many investors are already maximizing the opportunities that come with forming an LLC in Delaware. The wisest thing to do at this point is to join them and make a swift move for your company formation in Delaware. How to achieve this is for us to explain for you to understand. Therefore, we will be taking you through what you need to know and what you should do as a business person that is mindful of growth.

KNOWING THE DISTINCTION BETWEEN A DELAWARE CORPORATION AND A DELAWARE LLC




It is important to know how Delaware Corporation differs from Delaware LLC so you can understand the different types of business you can register in Delaware and make the most favorable choice for yourself.

When you decide to operate a business under Delaware LLC, the ownership of the company is given to members of the company. Meanwhile, for a Delaware corporation, what gives you ownership of the company is the shareholder stocks. The election of the executives that will manage and operate the company is the responsibility of shareholders.

Forming LLC in Delaware is common because of its immense benefits investors stand to enjoy.

TOP 10 REASONS WHY FORMING LLC IN DELAWARE IS WISE



  1.  Forming LLC in Delaware means you and your business will enjoy the best protection.

  2.  Delaware has the best laws to protect companies from creditors being the governing body of the internal affairs of a company.

  3.  Forming LLC in Delaware means you can still extend your business activities to other states in the US and other countries.

  4.  You enjoy the independence of managing your company without the Delaware authority's unnecessary interference.

  5.  Managers can take required risks in favor of the company without the fear of being sued or questioned by some investors.

  6.  When your company operates in other states, you are not required to pay income tax in Delaware.

  7.   Delaware is very fast in approving and filing your requests or complaints

  8.   With a Delaware LLC, you have the right to the ownership and management of almost anything related to business.

  9.  Within weeks, you can resolve your business disputes in courts, unlike other places where court cases can be concluded in a year or more.

  10.  Registering a company in Delaware means you will be part of business owners enjoying the best pro-business laws in the US and the world.


STEPS REQUIRED TO REGISTER A COMPANY IN DELAWARE



The following are the steps you can take for your company registration in Delaware:



  •  Decide on the type of business entity you want to register in Delaware

  •  Get a Registered Agent

  •  Go to the Delaware Division of Corporations to reserve the unique company's name you have come up with.

  •  Obtain formation forms for companies in Delaware

  •  Go on and submit the completed certificate for filing

  •  Include certified copies and certificate of good standing

  •  File an Annual report and pay a franchise tax


Note that there might be additional information specific to your type of business. For this, you are advised to maintain correspondence with the agency in charge of registering a company in Delaware. Do not hesitate to ask if there are additional requirements that might have been added with time. Remember; we live in a progressive world and things are bound to change in a wink of an eye.

CONCLUSION




Company registration in Delaware remains an ideal step to take for every serious company aiming to explore opportunities and enjoy protection from the authority that knows the worth of businessmen and women in a progressive society. Therefore, understanding the reasons why this is important to you will inspire you to take the giant stride and follow the due process required in registering a company in Delaware.

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