Why Would a Business Register in Delaware?

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Why would a business register in Delaware?
There are two major reasons for Delaware’s dominance of the corporate incorporation business. The other major reason corporations choose to incorporate in Delaware is the quality of Delaware courts and judges. Delaware has a special court, the Court of Chancery, to rule on corporate law disputes without juries.
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Delaware’s business-friendly laws and tax rules make it a popular place for companies to register. One of the few states in the union without a sales tax is Delaware, which also has a fairly low corporate income tax. A crucial factor for companies involved in legal issues is Delaware’s established and reputable court system.

The adaptable corporate structure in Delaware is yet another factor that could influence a company’s decision to register there. Limited liability corporations (LLCs) and partnerships, which can offer extra security for business owners’ personal assets, are just two of the many business forms that are permitted in Delaware.

Businesses that desire to conduct business under a name other than their legal name employ fictitious names, commonly referred to as “doing business as” (DBA) names. This is typical for companies who wish to establish a brand or a certain image. The price to register a fictitious name in Pennsylvania varies by county but often costs $50 to $100.

Being the first state to adopt the US Constitution has made Delaware renowned and given rise to the moniker “The First State.” Numerous significant businesses call it home, including DuPont, Dow Chemical, and Bank of America.

Last but not least, Delaware is not a true island. It is a state on the East Coast of the United States that shares borders with New Jersey, Maryland, and Pennsylvania.

In general, companies opt to set up shop in Delaware due to the state’s advantageous tax and legal policies as well as its adaptable corporate structure. Delaware is known for its rich history and big enterprises, and companies may decide to operate under a fictional name for branding reasons.

FAQ
How do I check to see if a business name is available in the US?

By examining the database of the Secretary of State in the state where you wish to register your firm, you can determine whether a business name is already taken in the US. Each state maintains a database for the registration and availability of business names. In order to make sure that the name you wish to use doesn’t have any trademark concerns, you may also check its availability in the USPTO trademark database.