:
registration of legal entity

Cost of registration The cost of the second year Number of Directors Corporate tax rates Payment of Charter Capital Financial statements
890.00 USD 765.00 USD 1 0.00% 0.00 No

Nowadays, the state of Delaware in the USA is called the capital of corporations. The capital of the state is the city of Dover. Approximately 250 companies are registered in this jurisdiction, and they are included in the lists of the authoritative business magazine of Fortune. Prime example of the reliability of business in Delaware is the presence of registered office of American Express. In addition, one third of companies registered on the New York Stock Exchange are based in the same state.

The legislative framework

The Act on Limited Liability Companies that is in force in the state permits the registration of companies combining the characteristics of partnership and corporation (LLC). Using LLC in Delaware, non-residents of the United States of America can absolutely legally avoid paying federal taxes.

Forms of doing business

Companies in Delaware can be classified as follows:

lLLC,

lcompany of "C" type,

lcompany of "S" type.

The said entities can be used as offshore companies in the USA, because only non-residents of the United States of America are entitled to register or buy them. The business of such enterprises is conducted exclusively outside the territory of jurisdiction.

Offshore LLC in Delaware is popular entity, and it is excellent alternative to standard offshore IBC.

Why is it profitable to register LLC in Delaware?

  • The company can have one founder (not necessarily the US resident, either legal or natural person). It is not necessary to appoint director or manager. Participant/participants can manage the company, and their number is not limited.
  • Flexibility in the organization of internal relations in the company. For example, the establishment agreement may provide for conditions of appropriation of retained earnings proposed by the participants. It is also possible to create classes and groups of participants that have special rights and privileges.
  • Debts and liabilities of the company are not subject-matters of personal responsibility of the participants.
  • Minimum amount of the authorized capital is not determined.
  • Appropriation of profits between participants is not related to the amount of the contribution of each of them.

Advantages of LLC in Delaware (with tax registration):

  • If the founders of LLC are non-residents of the United States, income tax should be paid only according to the profits received in the territory of the United States of America.
  • Operation and management of the company are carried out in accordance with written agreement concluded by its owners. It does not need to be publicly registered/disclosed to the Department of State Corporations. Thus, the company guarantees the owner full anonymity. The agreement can be made in any language without compulsory translation into English.
  • The status of LLC is also the opportunity for owners to determine business relationships in written agreement in accordance with their own will. This is the so-called "freedom of contract". Such flexibility when concluding contracts has no analogues in other laws relating to the operation of LLC.
  • The law of the state of Delaware allows, but does not require, the owners to manage the company. In addition, the law states that neither the owners nor the managers are personally liable for the debts and obligations of the LLC in Delaware.
  • Personal liability is limited to the amounts contributed by owners and managers to the company.
  • There are no restrictions for opening bank accounts.

Registration of offshore company in Delaware. Main information

It is quite simple to register or buy offshore company in Delaware. The procedure is similar to the process of registration of offshore companies in other jurisdictions.

Legislation of the state of Delaware allows the registered company to exist without entering information about it in the US tax authorities (the company does not pay taxes and does not submit reports, being classic offshore company).

The company is to be registered with the US tax authorities, if you need bank account in the USA and you have business partners there.

Registration of offshore company in Delaware (if the owner's business is not connected with the USA). Its peculiarities:

  • Any legitimate business is allowed.
  • In Delaware, there should be the company’s registered office.
  • The name of the company shall end with LLC or Ltd, Corp., Inc. (for corporations).
  • The proposed charter capital equals to $ 1000. There are no binding requirements for the amount of the capital.
  • Bearer shares are not permitted.
  • Shares without par value can be issued.
  • Minimum number of shareholders is one (natural person/legal entity).
  • Minimum number of directors is one (natural person/legal entity).
  • Citizenship and residence of shareholders and directors do not matter. The director and the shareholder of the company can be one person.
  • Nominee directors and shareholders are allowed.
  • Information about the company's banking transactions is not available to third parties and will be disclosed only upon the local court decision. Data on participants are publicly available.
  • Meetings of shareholders and directors can be held anywhere in the world.
  • The storage location of the company's documents in Delaware is selected by the participants themselves.
  • Company registration takes approximately 3 weeks.
  • The Registration Certificate should contain the following information:

- the company name;

- the address of the registered agent and office;

- any other information deemed necessary by the participants.

The certificate is accepted by the Secretary of State. If the document is issued correctly, the company can be considered as established on the day of its submission if the participants do not indicate another date. During the validity period of the Certificate, the company exists as independent legal entity.

Before starting the procedure of establishing company, it is necessary to reserve the name for it. In order to do this, it is needed to submit appropriate application to the Secretary of State. After verifying the variant of the name for compliance with state laws, the name is reserved for 120 days. Later, you can extend this period for another 120 days.

Bookkeeping in the state of Delaware.

The company shall provide annual report, maintain accounting records only in the case of tax registration in the United States.

Taxes in Delaware

There are two tax options for LLC in Delaware. Accordingly, there are such types of LLC as:

1. Individual entrepreneurial activity (activity of the company with one participant).

2. Company with two or more participants is the partnership.

LLC does not pay taxes if its beneficial owners do not have the US citizenship and are not recipients of green card, nor do they conduct business in the United States of America.

The principle of LLC taxation is called "flowing". The essentials is that the profit of the company itself is not taxed, it is distributed among the participants. And only after that it is subject to taxation.

Non-resident foreigners do not pay tax on income earned in the USA.

LLC that is legal entity pays "franchise" tax at fixed rate of $ 250. The delay in payment entails the accrual of interest (1.5% per month).

If the founder of the company is non-resident foreigner of the United States, and activities are not conducted in the territory of the states,  such company does not pay federal taxes.

We will register ready-made company in the USA in the state of Delaware for you within the shortest time possible. Buying company in the USA in Delaware is now easier than ever. Registration of company in the USA in Delaware is one of the simplest and cheapest ways to start legitimate international business. Registration of companies is one of the main directions of our work.

Set of documents
   
  • Statement of Organizer  
Nominee director and shareholder
   
  • Resolution effecting the issuing the Power of Attorney 
  • Apostilled Power of Attorney 
  • Director Resignation Letter 
  • Nominee Director’s Declaration  
  • Resolution effecting the change Director
  • Deed of Trust 
  • Instrument of Transfer 

General information
Square6 452.00
Population783 600.00
CapitalDover
Unemployment17.60
State polityConstitution - based federal republic
Telephone code1 302
Place in the world in corruption24
locationNorth America, bordering both the North Atlantic Ocean and the North Pacific Ocean, between Canada and Mexico
Climatemostly temperate, but tropical in Hawaii and Florida, arctic in Alaska, semiarid in the great plains west of the Mississippi River, and arid in the Great Basin of the southwest; low winter temperatures in the northwest are ameliorated occasionally in Janu
Literacy rate99.00%
Ethnic groupsWhite 79.96%, black 12.85%, Asian 4.43%, Amerindian and Alaska native 0.97%, native Hawaiian and other Pacific islander 0.18%, two or more races 1.61%
National currencyU. S. dollar (USD)
USD exchange rate1.00
GDP per capita12
Official languageEnglish
Credit ratingN/R
The judiciaryThe U.S. Supreme Court, Courts of Appeal, Federal District Courts U.S. Courts states and District Courts
Executive authorityHead of government: President; Vice President. Government: Cabinet appointed by the president with Senate approval. governor of state
Legislative authoritiesbicameral Congress: the Senate (100 seats), the House of Representatives (435 seats)
Corporate information
Opportunity to purchase ready-made companiesНет
Legal systemCommon Law
The use of the Cyrillic alphabet in the nameНет
Local registered officeДа
Organizational and Legal Formslimited liability company, limited partnership, "C" Corporation, "S" Corporation, partnership, limited partnership, sole proprietorship, joint venture and branch of a foreign corporation
Local registered agentДа
Shares and share capital
Standard currencyU. S. dollar
Information about the beneficiary is disclosedNo restrictions
Bearer sharesНет
Possibility to issue shares without par valueНет
Taxation
VATНет
Basic corporate tax rate0.00%
Capital gains taxНет
Currency controlНет
Stamp dutyНет
Director and Secretary
Minimum number of directors1
The requirement for residency directorsНет
Director of legal entities are allowedНет
The data reveals to the local agentДа
Data field to the public registryНет
The requirement for the presence of the SecretaryНет
Requirement to the residense of the SecretaryНет
Requirements to qualification of the SecretaryНет
Legal entity as the SecretaryНет
Shareholder and beneficiary
Data is entered in the public registerНет
Shareholders residency requirementНет
Information about the beneficiary is disclosedНет
Information may be disclosed to the local agentДа
Shareholders-legal entities are acceptableНет
Reporting
The requirement for filing reportsНет
Open access to reportsНет
Statutory auditНет
The requirement for filing Annual ReturnНет
Open access to the Annual ReturnНет
The requirement for reportsДа
Treaty on avoidance of double taxation (States which signed)60
Membership in the OECDДа
Is it offshore according to Russian legislationНет
Trademark Registration
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