| When most budding entrepreneurs get their chance to | | | | business laws. Add this to their legal experiences with |
| start their first company, their first choice is usually an | | | | businesses, it means that their courts can handle even |
| LLC (limited liability company). This type of company is | | | | the trickiest issues. In fact Delaware's court for |
| easy to set up and provides protection, or "limited | | | | corporations, Chancery Court, has a reputation for |
| liability", to its owners. All this means is that if the LLC | | | | being one of the best in the United States. Their laws |
| you set up acquires any debt, is sued, or has to make | | | | are also good for business. For example, they don't |
| payments, you won't be held liable to take out the | | | | usually tax you for out-of-state income. |
| funds from your personal finances - it all has to come | | | | Another reason is that most legal textbooks and law |
| from the company. It's an easy, straightforward way | | | | schools teach Delaware business laws, making most |
| to create a legal separation between your personal | | | | American lawyers familiar with these laws. Even if you |
| and business assets. | | | | hire a lawyer from outside the state, odds are that |
| For many of these new companies, their owners | | | | they are very familiar with Delaware business laws. |
| usually want to form the LLC in Delaware. Now, you | | | | You won't have trouble looking for legal advice or |
| might think that forming an LLC sounds fitting for your | | | | representation for your business. |
| business, but why set it up in Delaware? | | | | Lastly, Delaware is known for fast document |
| First of all, Delaware is considered a "business friendly | | | | processing. The businesses that set up in Delaware |
| state". More than half of Fortune 500 companies | | | | provide the State with additional revenue that has |
| register their main office in Delaware, and current | | | | allowed them to invest in state-of-the-art equipment. |
| records show that almost a million businesses have | | | | You can often submit your documents electronically, |
| already been registered in the state. The business | | | | and filing your paperwork takes considerably less |
| environment makes it reason enough for most new | | | | when compared to other states. |
| businesses to set up there. After all, you can easily | | | | If you look at all these reasons, you'll see that it's |
| build your network locally. But we've just scratched the | | | | almost ideal to form your LLC in Delaware, especially if |
| surface here. There are deeper and better reasons | | | | you live in or near the state. The only thing you need to |
| why it's a good idea to form an LLC in Delaware. | | | | know now, of course, are the steps you need to take |
| Delaware's high number and variety of local | | | | to register your business. |
| businesses means that they have a broad body of | | | | |