With the Delaware LLC expedite filing option, you may have your incorporation application handled in as short as one hour or as long as 24 hours.
Depending on whatever option you choose, the Delaware LLC expedite filing option enables you to have your incorporation application handled in as little as one hour or as long as 24 hours.
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Overview of Delaware LLC
A Delaware LLC is one of the most common types of corporate formations in the world. Delaware is often regarded as the greatest state in the United States for forming a limited liability company (LLC) or a corporation. To establish a Delaware LLC, you must first obtain a certificate of formation with the secretary of state and pay the required filing fee. You must also draught an operating agreement outlining the ownership and management structure.
Advantages of a Delaware LLC
The Court of Chancery in Delaware is a special court specialised to dealing with commercial lawsuits. Its nearly 200-year history has given it significant authority in corporate law, and courts in other jurisdictions turn to its prior rulings for precedent.
There is no corporate taxation.
LLCs are not taxed individually in Delaware. Profits and losses are passed on to members, who file individual tax returns. As a result, there is no double taxes.
Delaware limited liability companies (LLCs) have a simple company structure and fewer formalities. You are not required to have a board of directors or to have annual shareholder meetings. This also saves money since you don’t have to hire as many accountants and tax professionals as you would otherwise.
There is no annual reporting.
Annual reports are not needed for a Delaware LLC. It is one of the least taxed company entities in the US.
Steps to Creating a Delaware LLC
Select a Name
Choose a name for your business. Perform a name search to confirm that the name is not the same as or similar to one that is already registered in the state.
If you do not intend to file your certificate of formation right away, you may choose to reserve the name.
Name reservations are permitted in Delaware for a duration of 120 days.
The certificate of incorporation must be filed with the Delaware Division of Corporations, along with a $90 filing fee.
The name and address of your registered agent must be included on the certificate of formation.
The certificate of formation cannot be filed online. Instead, you must transmit it by mail, fax, or in person.
Processing in a Hurry
The certificate of formation generally takes around three weeks to complete, but you may pay an extra charge to have it expedited.
The following expedited filing options are available in Delaware:
For $100, same-day processing is available.
$50 for 24-hour processing.
$500 for a two-hour processing time.
$1,000 for one-hour processing.
Agent du registre
You must appoint a registered agent to accept service of process and other legal papers for the business before submitting the certificate of incorporation.
The agent must be a Delaware resident or a domestic business organisation. A foreign business entity must have a local office in the state if it is a foreign business entity.
Operating Agreement for an LLC
A Delaware LLC’s members must write an operating agreement outlining the conditions of ownership and the method of operation.
Among other things, the paper must have the following information:
Members’ ownership %
Rights and obligations of members
Members are entitled to a portion of the company’s revenues and losses.
Members’ voting rights and voting procedures
Whether the firm will be controlled by members or by managers.
The procedure for revising an existing operating agreement.
Choosing the S-Corporation Designation
The IRS has designated S-corporations as a unique tax classification.
A Delaware LLC may choose to file its taxes as an S-Corp rather than a conventional LLC.
Every member of a standard Delaware LLC is taxed on all revenue received from the firm. In the case of an S-corp, however, member-employees are only taxed on their earnings.
Taxation of Delaware LLCs
Although Delaware LLCs are not obliged to make an annual report, you must pay a $300 tax on or before June 1 each year.
forming a corporation in Delaware
To form a Delaware company, you must submit a certificate of incorporation to the secretary of state.
The corporation is formed on the effective date mentioned in the certificate of incorporation and continues to exist until it is dissolved in accordance with relevant legislation.
The filing fee for a certificate of incorporation is determined by the corporation’s authorised share capital. A single page requires a minimum filing fee of $89, and each additional page costs $9.