Company in Delaware - is it worth it or not?

I am interested to read comments too. Where is your company at the moment and why do you want to move it?

Hey Patryk, Me and my co-founder have incorporated our company in Delaware in February 2024. We are Barcelona based, where the cost of creating and maintaining a pre-revenue company are astronomical. For context, we are currently building a no-code web scraping Chrome extension (https://gsd.social/ph) and the Delaware tax laws and regulations fit us perfectly as a SaaS. We used Stripe Atlas (https://stripe.com/atlas) to incorporate which considerably sped up the process and minimised the paperwork for us. It costed us $500 total. What I would advise you, no matter where you decide to incorporate your company, would be to do as late as you can to avoid paying fees for a company that doesn't generate revenue yet. Have you thought about what type of company you want to create ? Basically you can choose between C-Corp or LLC. Personally we opted for LLC (less administrative complications). Also Atlas has perks and discounts for all kinds of products you might need for your company and that includes accounting services.

In addition to the legal and regulatory advantages of Delaware, its location on the East Coast is something that can prove an advantage - very easy to get to other major cities like DC, NYC, or Boston to expand your network or attend events. Not to mention Delaware is one of the few states without sales-tax, which is a major fiscal benefit, providing residents and businesses better spending ability compared to other states.

Delaware used to be the go-to state for company incorporation, but nowadays there are other good options like Wyoming or Nevada that can offer better privacy protections and lower fees. Ultimately it depends on your specific needs and goals for the company. Lots of folks still swear by Delaware though if you want that gold standard! I'd be curious to hear where others have their companies incorporated and the pros/cons.

Depends on your business needs and goals. Delaware has benefits like low taxes, strong privacy protections, and a flexible legal system for businesses, especially if you're looking to raise funding. But may not be worthwhile if you're a small biz that mainly operates elsewhere. Plenty of successful companies headquartered in other states. What matters most is having a strong product, team and growth strategy.

"Delaware has a strong reputation for business incorporation, but exploring options in states with lower costs or specific benefits might also be a good idea.

I’ve heard Delaware is excellent for its legal and tax benefits. But it might be worth comparing with other states depending on your business type and goals.

If you'are looking for business-friendly regulations and tax advantages, Delaware is a strong option. Still, it’s worth considering other states based on your business needs.