Many people who are looking to incorporate tend to ask us “Why are so many corporations incorporated in Delaware?” To which we say, it comes with plenty of possibilities for you. Let’s take a look at it.
Why Are So Many Corporations Incorporated in Delaware
In order to answer your question, it’s good to know that, while Delaware allows plenty of versatility when it comes to creating corporations, it also has a very specific set of requirements. Here you will find some of the most important guidelines for this process so that you can meet them all accordingly and without any trouble. Remember that you can always reach out to us should you have any doubts about this matter.
Different Kinds of Corporation
When creating a Delaware corporation, the first thing you’ll have to do is determine how you wish to incorporate it so that you can file the correct forms and properly operate the organization going forward. Now, there are four main categories for which you can apply, each with its own regulations and requirements. Let’s take a look at these:
- Stock Corporation – A for-profit organization that issues shares of stock to shareholders in order to raise capital. Here, each share represents partial ownership of the corporation and grants shareholders certain ownership rights that, in turn, shape the corporation’s policies.
- Non-stock Corporation – A corporation that does not have owners represented by shares of stock but is, instead, run privately and without the input of any potential shareholders.
- Public Benefit Corporation – A corporation established in order to create social and public good, and to operate in a sustainable and responsible manner.
- Nonprofit Exempt Corporations – Refers to a corporation that does not have a for-profit incentive, such as foundations, charitable organizations, and educational institutions, among others.
File the Necessary Forms
After you know what kind of corporation you’re looking to create, it will be time to submit the application to your state’s secretary of state. This can be done directly with them or through a processing service, which is what we offer. Our platform allows you to safely submit all the necessary forms online without risking the mistakes, delays, and errors that come from handling it directly with the state. If you’re asking yourself “why are so many corporations incorporated in Delaware?” and you wish to get started, then all you need to do is head over to our sidebar, pick out the Delaware corporation option, and select the category that you’re looking for. You will be able to fill out and submit the application through our website without an issue.
Submit Forms to the Secretary of State
Once you’re certain about what it is that you want for your corporation, you need to file for the necessary documentation. In order to do this, you simply head over to the category you need in the menu. This will give you the option to fill out the form directly on the website so that you don’t have to print any applications or write them out by hand. Not only that, but you will be able to directly submit the forms to your Secretary of State with no delays or issues whatsoever. The Corporation Center is here to help you every step of the way so that you don’t struggle with forming your corporation and getting your business started.