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America - About Delaware

General Information

Delaware is the 49th state of the United States of America located on the Eastern Seaboard of America and bordered by the Atlantic Ocean and Delaware Bay. Delaware is the leading US state for international business, over 60% of the companies listed in the New York and American Stock exchanges and Fortune 500 companies are incorporated in the Delaware LLC Jurisdiction. Delaware is a highly respected and prestigious Jurisdiction, with excellent confidentiality.


  • Incorporation Fees - from £695
  • Renewal Fees - from £550more information about Renewal Fees

£ 695

















Type of Company

In October, 1991, Delaware enacted the legislation which enables the formation of a Delaware Limited Liability Company (LLC). An LLC is a combination of a corporation and a partnership which has become extremely popular vehicles for conducting International Business. Like a corporation, an LLC has a legal existence separate from its owners; and the owners and managers are not personally liable for the company's debts and obligations. Like a partnership or an S-corporation, an LLC is automatically treated as a pass-through entity for tax purposes. There are many benefits from incorporating aDelaware LLC:

  • Asset Protection
  1. Owners of Delaware LLCs and corporations benefits from limited liability protection
  2. Owners' assets cannot be seized as a result of the LLC or corporate liabilities.
  3. Due to the privacy protection offered by Delaware, it is more difficult for attorneys to track business owners and owners' assets.
  • Confidentiality
  1. Company ownership need not be disclosed to the State of Delaware
  2. Company ownership transfers need not be reported to the State of Delaware.
  3. Delaware does not maintain a publicly available profile of companies' management.
  • Flexibility
  1. Delaware is one of the least expensive states in which to form an LLC or corporation.
  2. Delaware allows one individual to act as the shareholder and director.
  3. Apart from a registered agent address, owners are not required to maintain a physical address within the state.
  4. Company records do not need to be physically located in the State of Delaware.
  5. Stock can be transferred instantly and privately, without filing a public notice
  6. Delaware does not impose a minimum capital investment requirement for LLCs and corporations.
  7. Delaware LLCs and corporations offer generous protection (sometimes called indemnity) from personal liability.
  • Taxation
  1. Delaware imposes no income tax on either LLCs or S corporations.
  2. Delaware imposes income tax on C corporations only to the extent that income is earned in the State of Delaware.
  3. Delaware imposes a low franchise tax for small companies.
  4. There is no sales tax in Delaware.
  5. There are no Delaware capital shares or stock transfer taxes.
  6. There is no state inheritance tax on stock held by non residents of Delaware

The registration of a Delaware LLC

Incorporation : A Delaware LLC may be formed by one or more organizer or member.

Name of the company : A Delaware company name must have these words after the company name or the abbreviation thereof i.e. "Limited Liability Company", "L.L.C.", or "LLC" to denote corporation. The Delaware LLC company may not use a name identical or similar to an existing company within the State of Delaware. The use of the following words is also prohibited: Bank, Insurance, or Reinsurance. Additionally, the use of bank, trust, insurance or reinsurance within the name of the LLC is generally prohibited in all 50 states.

Members : An LLC does not have shareholders as they do not issue shares. The owners of an LLC are known as members. A minimum of one member (owner) is required for a Delaware LLC. Members may be individuals or corporate bodies and are liable only to the extent of his or her percentage of ownership in the LLC.

Directors : A unique feature of the LLC legislation is that it allows members to define their business relationship in a written agreement which governs the operation and management of the entity. The members of the LLC may choose whether they wish to manage the entity or to appoint a member or a third party to be the manager. There is no requirement that members themselves be the managers of the LLC. A member acting as the manager or a third party acting as the manager is not liable for any debts or liabilities of the LLC solely by reason of that person being a member or acting as a manager. The contractual flexibility offered by the Delaware Act is unmatched by any other LLC statute.

Registered office : Delaware law requires for Delaware LLCs to have a registered agent when Delaware LLC is first formed and throughout the life of Delaware Company. The registered agent is responsible for receiving important legal and tax documents.

Taxation : US State income tax is levied in addition to federal income tax. In the state of Delaware corporate tax is levied on the income of all domestic businesses. All non-resident limited liability companies that do not conduct business in Delaware and do not receive income from a Delaware source are exempted from corporate taxes, sales taxes and property taxes. The only tax paid to the state of Delaware is an annual franchise tax. There is also exemption from inheritance tax on stocks or shares held by non residents.

Audit and financial returns : Delaware LLC is not required to file state or federal tax returns. There is generally no requirement to file financial statements with the state of formation unless the corporation owns assets within that state or has conducted business within that state. An Annual Report is required only in cases, where there is distribution of profits to US residents.

Meetings : There are no statutory requirements concerning meetings of members or record keeping. It is recommended that with two or more members, Members' Agreement be entered into. If meetings are held by members, this may be done anywhere in the world and in any way convenient to the members.