The HBS Blog offers insight on Delaware corporations and LLCs as well as information about entrepreneurship, start-ups and general business topics.
Delaware law dictates that every Delaware company (whether a corporation, LLC, LP, non-profit corporation or a public benefit corporation) must appoint a Registered Agent.
Whether you are forming a new business entity or need to find an alternate Registered Agent for an existing company, there are plenty of Delaware Registered Agents available.
How do you know which Registered Agent is best suited for you and your company?
Here are 10 specific features to look for in a Delaware Registered Agent:
Harvard Business Services, Inc. proudly possesses all of these attributes; plus, we offer an array of additional services that can benefit your company.
You can form a new company with us and feel confident, knowing you are establishing a relationship with the best Delaware Registered Agent.
If you already have a company formed in the state of Delaware but your current Registered Agent does not meet these standards, you should make the switch now!
Our featured podcast this month is called Tropical MBA and is the brainchild of authors Dan Andrews and Ian Schoen. Episodes of their show have been used and integrated into business school curriculums across the United States.
The Tropical MBA podcast has also been downloaded over a million times and has active listeners in more than 100 countries.
The show’s focus is on building location-independent (or at least office-independent) businesses that can be run from anywhere in the world—hence the name Tropical MBA.
The podcast discusses a wide array of business and entrepreneurial topics, such as:
This episode, titled “5 Reasons Not to Sell Your Business,” is the 314th installment of the podcast, and was inspired by the fact that Dan and Ian were actually entrepreneurs themselves. They developed an online e-commerce product business, which generated more than seven figures in sales. About a year ago, they decided they wanted to sell their business, so they did.
While Dan and Ian have not felt regretful about selling their business, they have thought about a number of scenarios if they had continued running it rather than relieving themselves of their company.
The episode discusses the hypothetical ins and outs of why, if you are in a similar position, (thinking about selling a business you’ve developed from the start-up phase), this may not be the best idea for you.
Dan and Ian came up with five considerations you should contemplate before marketing your business and inking a deal with a potential buyer:
Of course, this is just a short summary of the 20-minute podcast.
Click below to listen to the full episode. If you like what you hear, you can access a full archive of Tropical MBS podcasts.
In a series LLC, owners need only form one LLC; they can then establish any number of separate series internally, without any additional expenses for the creation of an these individual series.
Regardless of how many entities are contained in your Delaware series LLC, there is just one Delaware Registered Agent Fee and just one Delaware annual Franchise Tax payment of $300.
Each series can hold its own assets, have its own members, conduct its own operations and pursue different business objectives, yet all of the series remain insulated from claims of members, creditors or litigants pursuing assets or asserting claims against any of the other series.
The structure, which has been likened to a piece of honeycomb, has existed for years, but there are still some unknown factors about the Delaware series LLC. The legal separation of the assets and liabilities of each series has not been tested in court.
The United States federal tax treatment afforded to individual series is still uncertain as well. Even though Delaware law clearly provides for the legal separation of each series, it is unclear whether courts and/or jurisdictions in other states would recognize a legal separation of liabilities and assets within what is essentially a single entity.
In addition, other states have not provided concrete guidance on the effect of the series' distinction in regard to state taxes. Furthermore, many banks are not familiar with the series LLC structure and have difficulty comprehending that each series can open up its own bank account.
This is often the biggest hurdle for business owners, as most banks just do not understand the Delaware LLC structure and thus do not know how to open separate bank accounts for each series contained in a single LLC.
Should the owners of a series LLC need to seek council or tax advice, it may be difficult, as many attorneys and accountants are still unfamiliar with the structure and therefore cannot provide competent assistance. Regulations on the taxation of the series LLC were proposed back in 2010; however, there is still minimal guidance on how these entities are to be taxed.
Due to the uncertainty of these issues, some people opt to form their new LLC as a series LLC but simply hold off on using the individual series until the myriad issues mentioned above are clarified, and attorneys, accountants and other states become more familiar with the unique structure of the Delaware series LLC.
This way, the series LLC is ready to be utilized in the future and it will not be necessary to amend the Certificate of Formation to allow for the series LLC structure.
Trustpilot Inc. is the Yelp for online merchants. The Wall Street Journal recently called the company the “dominant source of user-generated reviews of businesses online.”
Trustpilot was formed in 2007 by Danish entrepreneur Peter Holten Mehlmann, who asserts that his company has published over 13 million reviews of more than 100,000 brands.
Third-party recommendation companies exist so consumers can pass along their experiences of products, customer service and overall satisfaction (or lack thereof), knowing they will remain anonymous. Companies pay Trustpilot to gauge their real customer experience rating and to increase their own transparency in the marketplace.
Companies who use TrustPilot cannot alter or pick and choose which comments are published. TrustPilot publishes all the reviews, good and bad. That way, the customer can be assured of getting the real experiences of real customers. Strict controls are in place to ensure that only credible reviews from real customers are published.
Trustpilot recently announced that delawareinc (Harvard Business Services, Inc.) has achieved its “Milestone Award” for getting more than 500 reviews with a 9.7 TrustScore (out of 10).
Only 15 companies have achieved such a score in Harvard’s category.
TrustPilot uses a formula, based on the number of reviews a company has, the age of the reviews and the star rating of the reviews.
The online invitations to reviewers are only sent to real customers who have recently used the services of the company.
Mike Bell, Harvard’s Vice President and Director of Marketing says, “We appreciate our customers and we value their opinion. Trustpilot provides a platform where our customers can tell us about our efforts to excel in servicing them. We are proud to receive this award and thank our customers for providing their experiences about incorporating through our services.”
Delawareinc, also known as Harvard Business Services, Inc., has been forming Delaware business entities (LLCs, corporations, limited partnerships and non-profit companies) for over 35 years. The company is one of the top Delaware formation services and has formed over 150,000 Delaware companies for clients all across the country and around the world. Harvard is one of the few Delaware Registered Agents connected directly online to the Delaware Division of Corporations, which allows us to form companies and process official company documents quickly and efficiently.
Following are a few of Harvard’s recent Trustpilot reviews:
People often ask us, "What is a Certificate of Good Standing?" They then tell us they need a Delaware Certificate of Good Standing, and wonder how to get one.
This certified document, which is produced by the Delaware Secretary of State’s office, is required for real estate closings as well as accounting and legal matters.
The Certificate of Good Standing is also known as a Certificate of Status or Certificate of Existence in some states.
Here's what you need to know about the Delaware Certificate of Good Standing:
This document illustrates that your corporation or LLC is a valid Delaware company that has paid all its taxes in the state of Delaware up to the current date. It is signed by the Delaware Secretary of State and attests to the good standing status of your company on the date it is produced and signed.
Most of the time, authorities will accept the document as that proof your corproration or LLC is real and valid, for a month or two after the date of issue, but beyond that, you will need to obtain a newly-issued, updated Delaware Certificate of Good Standing.
When you’re asked to supply one. Don’t order one in anticipation of the need. A Delaware Certificate of Good Standing is typically needed when you open a business bank account, obtain a Certificate of Authority to operate your company in another state, purchase or sell real estate or obtain a loan from a bank.
A Delaware Certificate of Good Standing proves your company is a legal, valid corporation or LLC that was formed in Delaware and is current on its Delaware Franchise Tax payments.
Depending on what the Delaware Certificate of Good Standing is being used for, it will be accepted anywhere from 30 days to six months from the date it is produced and signed by the Delaware Secretary of State.
Under normal conditions, we can guarantee a 48-hour turnaround to get you a Certificate of Good Standing. However, we do offer an expedited service that speeds up the process if you are in immediate need of the document. Call us at 1-800-345-CORP for details.
Call our office at 800-345-2677, Ext.6911 or order it directly from our website.