Now let’s see what makes Wyoming LLCs and corporations unique:
Delaware vs Wyoming:
Which State is better for a Non-US resident?
Delaware and Wyoming are the most popular business incorporation states in the US. There is an ongoing debate as to which one of them is more beneficial. Below you can find a brief review of some key factors that may help you to make a decision.
Registering in the USA
There are many advantages you can enjoy when registering a company in the USA. Such as Tax Advantages, Market Advantages (ease of access in the markets of USA), Company Reputation (not only in the USA but also all over the world), Getting a chance to be enlisted in the USA stock market (once the company goes public) and strong protection of personal liabilities.
But to achieve the best possible outcome for your business, the choice of the state where you want to establish your business is crucial. Wyoming and Delaware are the most popular states to register a company. But which one is better for your business?
Why Wyoming can be a great option for registering your business:
It’s a well-known fact that Wyoming is one of the best places to establish a company. This is also backed up by the fact that a very good number of the companies dealing on Wall Street are registered in Wyoming. It was Wyoming that invented the American LLC in 1977 which was modeled after the 1892 German company law known as Gesellschaft mit beschrnkter Haftung (GmbH). Delaware copied Wyoming's LLC and profited from it most through better marketing. The popularity of Wyoming as a "corporate heaven" is enhanced by the very liberal Corporation Law. The law enables companies to be established quickly with the broadest possible powers permitted under the law. There are little or no restrictions on any business activities.
Advantages of Registering in Wyoming
The reason behind incorporating in Delaware:
Incorporating in Delaware holds many advantages; here are the key ones: The Delaware court method is well-recognized and highly respected: Delaware’s court of Chancery specializes in corporate disputes and instead of juries they use judges. This means that if the business is involved in litigation, it’ll get a judge with a lot of skill in complex corporate law matters. On the other hand, corporate prosecutors are usually accustomed to Delaware business law. Delaware offers a lot of flexibility for organizing a company: Delaware corporate laws are pretty much flexible in terms of structuring a corporation and board members. In terms of privacy: Delaware corporations are not required to show the owner’s name on the formation of documents. This creates a decent layer of privacy. Delaware offers tax benefits: While Wyoming is growing in popularity due to their lack of state corporate margin tax, Delaware offers business-friendly tax law which helps to get rid of these tax expenses. Among this all, Delaware tends to attract larger companies that can benefit in the long run with the legal system and court of Chancery.
Advantages of Registering in Delaware
Let’s discuss the pros and cons of forming a Delaware LLC or corporation and what makes Delaware companies unique:
So which State is better for you?
Both Delaware and Wyoming offer great benefits to those who incorporate in their States.
Usually, Wyoming offers greater benefits to smaller companies with increased privacy and fewer taxes.
Whereas, Delaware tends to attract larger corporations that can benefit from its well-developed legal system and the Court of Chancery. Ready to get your company registered? Register your company in the US right now, or if you have any questions you can contact us and one of our representatives will get back to you shortly.