Delaware’s 2024 Annual Report: The First State Still Reigns Supreme
Delaware has done it again. The latest Annual Report from the Division of Corporations confirms what we already know: Delaware remains the number one choice for businesses across the country and around the world. The numbers are strong, the trends are steady, and Delaware continues to prove why it is the gold standard in corporate formation.
Key Highlights from the Delaware Annual Report 2024
- 66.7% of all Fortune 500 companies are incorporated in Delaware.
- More than 2.1 million legal entities are active in Delaware today.
- In 2024, 289,810 new businesses were formed, a slight dip from prior years but still a powerful number.
- 81.4% of U.S.-based IPOs (Initial Public Offerings) chose Delaware as their corporate home.
Delaware is not just about volume. It is about quality, reliability, and an unmatched legal infrastructure. The Court of Chancery, expert judiciary, flexible statutes, and the Division of Corporations’ legendary efficiency continue to set the standard for the business world.
How Many Businesses Were Formed in Delaware in 2024?
Formation numbers have held steady over the past three years, showing Delaware’s enduring strength:
- 2022: 313,650 new formations (73.7% LLCs, 18.7% corporations, 6.8% LPs/LLPs, 0.8% trusts)
- 2023: 298,165 new formations (73.3% LLCs, 20.0% corporations, 5.7% LPs/LLPs, 0.8% trusts)
- 2024: 289,810 new formations (72.9% LLCs, 20.1% corporations, 6.2% LPs/LLPs, 0.7% trusts)
Why Do Fortune 500 Companies Choose Delaware?
Delaware has long been the corporate home for America’s largest companies. In 2024, two-thirds of Fortune 500 companies were incorporated here. The reasons are simple and powerful:
- Best-in-Class Legal Framework – Flexible, clear, and refined over decades.
- Court of Chancery – The most respected business court in the world.
- Deep Legal Services Community – Experienced professionals who know Delaware law inside and out.
- Division of Corporations – Efficient, reliable, and capable of processing filings in as little as 30 minutes.
Why Delaware Still Wins
- Predictability and Precedence: The Court of Chancery’s case law provides unmatched clarity.
- Investor Confidence: Venture capitalists, private equity, and institutional investors trust Delaware.
- Innovation and Efficiency: Delaware modernizes quickly and adapts to the needs of today’s businesses.
- IPO Magnet: More than 81% of U.S.-based IPOs in 2024 were Delaware companies.
Final Thoughts
Back again, and Delaware’s still got it. That 81.4% IPO stat is not just a number, it is the market voting with its pocketbook.
Yes, formations dipped slightly from 2022 to 2024, but with nearly 290,000 new entities in a single year, Delaware is not slowing down. That is still enormous growth.
The real magic is the unmatched combination of top-tier courts, flexible laws, and a Division of Corporations that is not just functional, it is legendary.
In short, Delaware is not just surviving, it is thriving, and it is not giving up its crown anytime soon.
Ready to Form Your Company in Delaware?
At Harvard Business Services, Inc., we have helped form more than 400,000 companies since 1981. Whether you need an LLC or a corporation, we make the process fast, easy, and affordable.
Learn more about forming your Delaware company today.
To view the Delaware Division of Corporations: 2024 Annual Report click here
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