A business entity is the manner in which you organize and register your business. Registering as an LLC or a corporation means you can officially start doing business in Delaware, and the state legally recognizes your business as a unique organization.
What Is an LLC?
LLC stands for limited liability company. As opposed to a sole proprietorship, setting up an LLC allows you to separate your personal and business liabilities. Organizing your business as an LLC also makes it easy to track business expenses for taxes. Registering your LLC requires a small fee.
If you don’t have the time to complete the paperwork, professional LLC services are available to help you with this process.
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Setting Up an LLC in Delaware
Choosing to set up an LLC in Delaware is very popular because there is no sales tax in Delaware. After you settle on a business name, you have to file paperwork with the state and also include a filing fee of $75.
An LLC in Delaware also requires a registered agent to receive documentation on behalf of your business. The registered agent just needs to be a person with an address in Delaware who is available during all business houses. You can be the registered agent yourself if you can make this commitment. If you prefer, you can use a registered agent service.