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Why Do So Many Companies Incorporate in Delaware?
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Why Do So Many Companies Incorporate in Delaware?

By Rick Bell Tuesday, June 16, 2015

Why do so many businesses incorporate in Delaware?


Companies incorporate in Delaware because of Delaware's corporate-friendly environment, whichwhy do so many companies incorporate in delaware offers numerous benefits in terms of convenience, tax liability and legal protection for businesses.


Here are just a few reasons businesses incorporate in Delaware:


  • In Delaware, one person can hold the title of each of the officers of the business.


  • Delaware has no minimum bank account requirement for a company’s bank account. This is in contrast to a number of states that require a $1,000.00 minimum bank balance.


  • Delaware does not require business owners to list their names when filing business formation papers; therefore, no names appear on the public record  and your company can maintain its privacy.


  • Delaware does not impose state income tax on businesses that do not operate within the state.


  • When you form a company in Delaware, Delaware is the domicile of your company, thus the rules and regulations your company follows are the Delaware corporate laws as applied by the Delaware Court of Chancery. Delaware is famous for its fair and flexible corporate laws and its case law, as dispensed by the most respected business court in the United States, the Delaware Court of Chancery.


  • Directors are free to set any price on shares of stock they wish to sell.


  • The process to form a business in Delaware is straightforward and uncomplicated; if you do so online, by phone or by mail through Harvard Business Services, Inc, we make it easy, fast and affordable for you.


You do not need to visit Delaware in order to form a business in the state. Delaware's Division of Corporations is the best in the world at processing business formation filings quickly, and it encourages entrepreneurs from across the country and around the world to form their businesses here. 


We can take care of all the necessary paperwork for you, so file your Delaware company with us today.


Image Attribution: Tichnor Brothers

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There is 1 comment left for Why Do So Many Companies Incorporate in Delaware?

Steve clark says: Monday, June 22, 2015

This was very helpful as I navigate the path foru new start up.

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