Why choose Delaware?
Delaware costs more each year than Wyoming or New Mexico. The extra cost buys familiarity, because US investors, lawyers and banks deal with Delaware companies every day.
If you are building a startup and expect to raise money, Delaware is worth the extra cost. If you just need a company to sell online, a cheaper state usually makes more sense.
Delaware LLC at a glance
Annual taxEvery Delaware LLC pays a flat yearly tax by June 1, even if the business had no income. It rose from $300 to $400 for the 2026 tax year, so the first $400 payment is due on June 1, 2027. Late payment adds a $200 penalty plus interest.
Annual reportDelaware LLCs do not file an annual report. The yearly tax is the main obligation.
Business lawDelaware has a long history of company law and a dedicated business court, which is why many investors and advisers prefer it.