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Why Delaware Is Recognized As The Preferred State Of Incorporation
It is amazing but true that the second smallest state in America is the home of nearly 60% of the companies listed on the New York and American stock exchanges and over half of the Fortune 500 firms. Also, many international companies looking to do business in America and in other jurisdictions worldwide choose Delaware because of its corporate laws and Chancery Court, its stability and its reputation as the “American Corporate State.” |
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It is easy to form a Delaware corporation or LLC by phone, fax, internet, or mail when you use the service of Registered Agents Legal Services, LLC. We will check and reserve your preferred corporate name within seconds and form your new Delaware corporation, or LLC the same day! |
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Delaware is not a high cost state in which you may form a corporation. |
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No minimum amount of capital investment is required when forming a corporation in Delaware. While some other states may require $500, $1000 or more, your investment in a Delaware corporation or LLC can be zero. |
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A Delaware corporation or LLC permits one individual to hold all the corporate offices including president, treasurer and secretary. Other states may require different individuals for these offices. |
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Delaware corporations have a special “Director Shield” that permits corporations to shelter their directors from personal liability in connection with their good faith actions as board members. Delaware statutes also help limit hostile or abusive takeover tactics. |
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A Delaware corporation may be operated anonymously, never revealing the owner’s identity to the State of DE. |
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The by-laws of a Delaware corporation may be formulated or altered by its directors. |
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Delaware is the only state with a special court system dedicated specifically to corporate law. Since the turn of the century, the Delaware Chancery Court has built a body of case law that has no equal and is often cited as precedent in other state courts. In the event of legal action by or against a Delaware corporation, the outcome is often highly predictable. The Court has a long history of common sense, pro-management decisions. |
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The corporate headquarters and the records of a Delaware corporation may be located in any state in America or in any country in the world as long as you maintain a registered agent to represent you in Delaware. In fact most of the owners of Delaware corporations, and LLCs have never set foot in the state. |
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There is no Delaware sales tax, no property tax and no state corporate income tax for corporations that are formed in Delaware but do not transact business in the state. Consult your tax advisor for specifics. |
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There is no Delaware sales tax, no property tax and no state corporate income tax for corporations that are formed in Delaware but do not transact business in the state. Consult your tax advisor for specifics. |
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There is no Delaware inheritance tax on shares of stock held by non-residents of Delaware. |
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Delaware corporations are permitted to pay dividends out of profits as well as out of surplus. |
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Delaware Holding Company statutes provide significant tax advantages to parent or related corporations which elect to place intangible assets in this state. We suggest you speak with your lawyer or tax advisor. |