16 Benefits of a Delaware LLC

Forming a Delaware Limited Liability Company (LLC) has numerous benefits that make it a popular choice among business owners. Here are 16 reasons to form a Delaware LLC:

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Benefit #1: Versatility 

Delaware LLCs are used for a variety of business purposes. Delaware LLCs offer protection for a wide range of assets, from one-person consulting businesses to multi-million dollar commercial properties. Businesses use LLCs to hold tangible assets, like real estate, and even intangible assets like intellectual property or trademarks. 

Benefit #2: Accessibility

Almost anyone (other than individuals from restricted countries) can form a Delaware LLC without having to live in or visit Delaware.

Benefit #3: Operate Anywhere 

Delaware LLCs can operate in any state or country. Whether you are doing business in California or India, you can still enjoy the benefits of forming an LLC in Delaware. You do not need a bank account or office in Delaware to form a Delaware. A Delaware LLC just needs to appoint a Delaware Registered Agent to represent the company and comply with state regulations.

Benefit #4: No Restriction on Foreign Owners

Citizens of any country (other than restricted countries) can be owners in a Delaware LLC. Delaware LLCs can easily conduct business internationally.

Benefit #5: Flexible Structure

Delaware LLCs allow business partners to structure their business however they want by signing an LLC Operating Agreement. LLC owners can tailor the rules for how a Delaware LLC is run to meet their specific business needs.

Benefit #6: Low Startup Cost

 Delaware has some of the lowest filing fees for LLCs. IncNow’s Delaware LLC packages start at just $9 plus state fees.

Benefit #7: Low Maintenance Fees

Delaware LLCs are only required to pay an annual franchise tax fee of $300 and an annual Registered Agent fee.

Benefit #8: No Delaware Income Tax

A Delaware LLC does not owe Delaware state income tax if it does business in a different state. 

Learn more about IncNow‘s top LLC tax tips. 

Benefit #9: Asset Protection

Delaware LLCs put up a barrier between personal assets and business liabilities. Business owners are protected from their business creditors. Delaware’s “Charging Order” prevents the creditors of an LLC from taking over the company.

Benefit #10: Quick Turnaround

You can form an LLC in Delaware in days, compared to weeks or even months in some other states.

Benefit #11: Tax Treatment Options

Delaware LLC owners can choose how they want the company to be taxed. A Delaware LLC can be taxed as a sole proprietorship, partnership, S-Corporation, or C-Corporation based on whichever tax election benefits the LLC the most. 

Learn more about how Delaware Single-Member LLCs can save on taxes. 

Benefit #12: Delaware’s Business Friendly Environment

Delaware has a separate court dedicated to resolving business disputes called the Court of Chancery. Judges in the Chancery Court are highly experienced in business cases and resolve disputes quickly and fairly.

Benefit #13: Strong Case Law

Delaware has a well-established body of case law related to LLCs and other business entities. Business owners and their legal representatives benefit from predictability in judicial decisions. 

Benefit #14: Widely Recognized

Delaware LLCs are widely recognized and respected by banks, investors, and other businesses. Forming a Delaware LLC may signal that the company is reputable and well structured.

Benefit #15: Privacy for Owners

Delaware does not require the names or addresses of an LLC’s owners to appear on the state’s public database. A Delaware LLC only needs to include the name and address of its Delaware Registered Agent on the formation document. 

Benefit #16: Easily Convert to a Corporation

Delaware LLCs can be converted to other business entity types, like corporations, as they grow and evolve, providing flexibility for the future. 

Why Form a Delaware LLC With IncNow.com

With nearly 50 years of experience, the Incorporation Specialists at IncNow.com (Agents and Corporations, Inc.) can assist you with any questions you may have about forming an LLC in Delaware. But there are many more benefits to incorporating with us:

Reason #1: We’re Affordable

  • IncNow‘s Delaware LLC packages start at just $9, plus required state fees.
  • First-year Delaware registered agent service is included in the startup cost!

Reason #2: Fastest Turnaround In The Industry

As a Delaware Registered Agent, IncNow has a higher filing priority than agents outside of Delaware and those that file themselves. That means your documents are normally returned to you in one to three days, not weeks.

Reason #3: Unmatched Experienced

  • We have been filing companies for 50 years.
  • Our Incorporation Specialists can help you understand topics such as the common provisions included in Operating Agreements and Certificates of Formation.

Reason #4: We Make It Easy

  • It takes five minutes to file your Delaware LLC online.
  • You can appoint IncNow as your Delaware Registered Agent, saving time in the process.
  • Avoid the often-complicated process of dealing directly with the state.

Reason #5: We’re Reliable

Reason #6: We Get Small Businesses

  • We’ve been family-owned and Delaware attorney-operated for 50 years. We understand the needs of small businesses because we are one!

Start your Delaware LLC in just five minutes with IncNow.com! We make it fast and easy for you, so you can focus on what’s important: growing your business.

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