How to Form an LLC
in Delaware

Delaware charges a $90 filing fee for the Certificate of Formation, payable to the Delaware Division of Corporations. That is the only mandatory state cost to form the LLC. Optional expedited processing adds $50–$1,000 depending on speed (24-hour, 2-hour, or 1-hour turnaround). Eleet AI charges $339 all-inclusive — that covers the $90 state fee, Certificate of Formation prep, formation filing, and first-year Delaware registered agent service. National services like LegalZoom charge $0–$349 for formation but add the $90 state fee, registered agent ($125–$299/yr), and various upsells separately — real total is typically $340–$700+.

Every Delaware LLC must pay a flat $300 franchise tax to the Delaware Division of Corporations each year by June 1. This is a FLAT tax — it applies whether your LLC made $0 or $10 million. There is no separate annual report fee (unlike most states) — the $300 franchise tax is the only recurring state obligation for Delaware LLCs. Missing the June 1 deadline triggers a $200 penalty plus 1.5% monthly interest on the unpaid balance, and prolonged delinquency results in "Ceased Good Standing" status and eventual charter cancellation. Note: this is the LLC franchise tax — Delaware CORPORATIONS pay a separate, more complex franchise tax that scales with authorized shares ($175–$200,000+).

Probably not — unless one of three things is true: (1) you are raising venture capital (VC firms strongly prefer Delaware entities and nearly all Delaware C-Corps), (2) you have multiple members with sophisticated ownership structures that benefit from Delaware's mature LLC case law and customizable operating agreements, or (3) you actually live or do business in Delaware. For a solo founder or small-business LLC with normal operations in another state, forming in Delaware typically INCREASES your compliance costs: you pay Delaware's $300 annual franchise tax AND have to "foreign qualify" your LLC in your home state (another filing fee, another registered agent, another annual report). You gain very little unless you hit one of those three conditions. Eleet AI will form your Delaware LLC if you want one, but we will also tell you when your home state is the smarter choice.

The Court of Chancery is Delaware's specialized business court — it hears only equity cases (contract disputes, fiduciary duty claims, corporate governance disputes) and has no juries. Judges (called Chancellors and Vice Chancellors) are business-law experts appointed for 12-year terms, many with decades of M&A experience. The result: Delaware has the most predictable, most-cited body of business case law in America. For complex multi-member LLCs or entities expecting litigation, this predictability is genuinely valuable. For a one-person LLC running an e-commerce store, the Court of Chancery is mostly a non-factor — you are statistically unlikely to ever see the inside of it.

Yes. Every Delaware LLC must designate a registered agent with a physical street address in Delaware — no P.O. boxes. The registered agent receives service of process, franchise tax notices, and Division of Corporations correspondence. You can serve as your own registered agent only if you have a Delaware street address and are available during business hours. If you do not live in Delaware, you must hire a commercial registered agent — this is typically $50–$299/year depending on provider. Eleet AI provides a licensed Delaware registered agent and includes the first year with every Delaware LLC formation.

Yes. Delaware specifically welcomes non-resident LLC formations — over two-thirds of Fortune 500 companies are incorporated there, and most are not headquartered in Delaware. The Division of Corporations processes filings from all 50 states and internationally. However, remember the foreign-qualification issue: if you operate your business in another state, you will likely need to register your Delaware LLC as a "foreign LLC" in that state, which adds filing fees, another registered agent, and another annual report. Eleet AI handles Delaware-only filings and can also help with foreign qualification in most states as an add-on.

Certificate of Formation is the Delaware-specific name for what most states call Articles of Organization — it is the official document filed with the Division of Corporations to legally create your LLC. Under 6 Del. C. § 18-201, the certificate requires only three elements: (1) the LLC name (must include "Limited Liability Company", "L.L.C.", or "LLC"), (2) the registered agent's name and Delaware street address, and (3) the signature of an authorized person. Delaware does NOT require you to list members, managers, business purpose, or principal office — this is why Delaware is favored for privacy. Once the Division of Corporations approves the filing, your LLC legally exists and you receive a stamped Certificate of Formation.

Standard processing is 2–3 weeks. Delaware offers multiple expedited tiers: 24-hour ($100 extra), 2-hour ($500 extra), 1-hour ($1,000 extra), and same-day ($50–$200 depending on tier). Delaware's expedited processing is the fastest in the country — if you file by 2pm ET with 1-hour service, you can have your stamped Certificate of Formation that afternoon. Eleet AI's standard Delaware filing uses normal processing (2–3 weeks); add the $50 expedited add-on for 24-hour turnaround.

After the Division of Corporations approves your Certificate of Formation: (1) Apply for an EIN at IRS.gov (free, takes 5 minutes online), (2) Open a business bank account using your EIN and stamped Certificate, (3) Draft an operating agreement — Delaware LLCs famously have very flexible operating agreements and you should customize yours to your actual business, (4) If you operate outside Delaware, register your LLC as a foreign entity in your operating state, (5) Mark June 1 every year on your calendar for the $300 franchise tax. Delaware has no sales tax and no state income tax on out-of-state income for pass-through LLCs, so federal and home-state tax obligations are your main concern.

More than most states, yes — but not completely. Delaware does not list LLC members or managers on the publicly-filed Certificate of Formation, and the Division of Corporations does not publish an ownership registry. Your registered agent's address appears on the certificate, but if you use a commercial registered agent, that is the commercial agent's address, not yours. However, two important caveats: (1) your bank, the IRS, and any party you do business with will know who you are — privacy from the public record is not privacy from counterparties, and (2) the federal Corporate Transparency Act now requires most LLCs (including Delaware) to report beneficial owners to FinCEN — that report is non-public but discoverable under specific legal process. Delaware is a strong privacy state, not a secrecy state.