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Why Delaware?

• The Delaware General Corporation Law, Delaware Limited Liability Company Act, Delaware Limited Partnership Act, and other statutes regulating the formation and operation of business entities are generally acknowledged to be the most advanced and flexible examples of such statutes in the United States. Delaware statutes give business entities a great deal of leeway in managing their affairs.
• The General Assembly, Delaware's legislature, consults with the Delaware State Bar Association regularly on revisions to the statutes. Changes are usually incremental and intended to maximize the ease of conducting business in the state.
• Delaware courts have consistently valued the principal of freedom of contract and respect for the business judgment of company officers and directors.
• According to the U.S. Chamber of Commerce, Delaware state courts have ranked number one in the U.S. for 6 consecutive years. The criteria used in this ranking include such elements as speed and efficiency in rendering rulings, impartiality and competence of the judges, handling of scientific and technical evidence, and treatment of tort and contract litigation.
• Delaware is one of the only states in the U.S. to retain a court of equity, the Delaware Court of Chancery, which has exclusive jurisdiction over most business governance disputes. The Court of Chancery has built a long and highly respected tradition of sophistication and understanding of complex business issues.
• The Division of Corporations of the Secretary of State, the government agency that handles the formation of business entities, employs sophisticated technology to facilitate and streamline the process of formation. Certificates of good standing, UCC filings, and other documents can be obtained on an expedited basis; and the Division provides many essential services online.
• Delaware imposes a low annual franchise tax and low income tax rates on Delaware business entities. An entity formed in Delaware but conducting no business in the state is exempt from state income tax.  Be sure to consult with a tax advisor.