Forming a Delaware LLC: How Does it Work?

Delaware LLCs provide several advantages for businesses, including liability protection. However, forming a Delaware LLC the right way requires following specific steps. 

Here are the 5 steps you need to follow to form a Delaware LLC.

The 5 Steps to Form a Delaware LLC

Step 1: Choose a Business Name

You need to choose a unique business name for your Delaware LLC that is not already registered with the Delaware Division of Corporations. The team at IncNow® can check your preferred business name to see if it is available in Delaware. 

Additionally, the business name must include the words “Limited Liability Company”, “LLC”, or “L.L.C.”.

Step 2: Choose a Delaware Registered Agent

A Delaware Registered Agent is a person or company responsible for receiving legal and tax documents, called “Service of Process”, on behalf of your company. 

While you do not need to live in Delaware to form a Delaware LLC, Delaware does require you to appoint a Registered Agent who has a physical address in Delaware.

IncNow’s Delaware LLC packages include one year of Delaware Registered Agent services. 

Step 3: File a Certificate of Formation

The next step is to file a Certificate of Formation with the Delaware Secretary of State’s Division of Corporations. The Certificate of Formation is the official public document that establishes the LLC as a legal entity in Delaware. 

The Delaware Certificate of Formation requires basic information about the company, like the company name, and the name and address of a Delaware Registered Agent. Delaware does not require the names or addresses of the owners of a Delaware LLC to appear on the Certificate of Formation. 

You can file the Certificate of Formation by mail or online. Filing the Certificate of Formation in Delaware also requires paying a $90 filing fee. 

Step 4: Prepare and Sign an LLC Operating Agreement. 

An LLC Operating Agreement is an internal business document that establishes the LLC’s ownership and management structure. An LLC Operating Agreement should be signed by all the LLC members, and the signed copy should be kept with other important company documents. 

Incorporation Specialists advise LLC members to prepare and sign an LLC Operating Agreement. The Operating Agreement clarifies the roles and responsibilities of each LLC member and helps to avoid legal disputes. LLC members can better protect their assets from personal liability by signing and adopting a well-prepared LLC Operating Agreement. 

Step 5: Obtain an EIN Number

An Employer Identification Number (EIN) is the type of unique tax identification assigned to businesses by the IRS. An LLC needs an EIN number to open a business bank account, hire employees, and file US federal tax returns. 

IncNow can assist with obtaining an EIN number from the IRS for a Delaware LLC.

Easy Delaware LLC Formation With IncNow.com

IncNow.com makes the process of forming your LLC quick, easy, and affordable. Delaware LLC packages start at just $9 plus state fees. Documents are turned around within one to three business days.

Simply visit our online order form, fill in your information, and we’ll take care of the rest, including your Certificate of Formation and LLC Operating Agreement (if you select our “Now LLC” or “Complete LLC” packages).

You’ll be done in five minutes, hassle-free! Trust IncNow’s 50 years of experience, favorable Trustpilot reviews, and Better Business Bureau rating. Get started now!