If you are an international foreign investor seeking a favourable business location in the United States, you may want to consider Delaware. This state is known for its offshore centre status and favourable taxation system. While there are no specific requirements for establishing an offshore company in Delaware, it is important to adhere to Common Law. One option for setting up an offshore company in Delaware is to create a limited liability company (LLC), which can be beneficial for both US residents and non-residents. Our agents, who have extensive experience in helping entrepreneurs from around the world form offshore companies in Delaware, can provide complete support and guidance with regard to document preparation.
Main conditions for setting up an offshore in Delaware
An individual who wishes to start a business in the United States may consider forming an offshore corporation in Delaware, which offers various tax benefits. For example, non-residents working for an offshore corporation in Delaware may not be subject to value-added tax (VAT), personal income tax, or other levies. To form an offshore corporation in Delaware, the following requirements should be considered:
- it can be set up by at least one shareholder;
- the accepted name of the business must end with the termination LLC or Limited Liability Company;
- you must prepare the Articles of Association;
- you must appoint a registered agent for your LLC in Delaware;
- the LLC must have a bank account.
Offshore company in Delaware can be established in complete privacy, as they are not subject to public disclosure. Additionally, Delaware limited liability companies (LLCs) do not have to file annual reports, which is not the case for other types of businesses in the United States. When starting a business in the US, it is important to have a thorough understanding of the legislation of the specific state where the business will be located, such as Delaware. Foreign entrepreneurs are allowed to form businesses in Delaware.
Registration of an offshore company in Delaware for non-residents
Non-residents interested in registering an offshore company in Delaware do not need to reside in or visit the state to do so. However, there are certain restrictions on who can form an offshore company in Delaware, including individuals from certain countries such as Russia, North Korea, Cuba, Syria, and Iran.
Non-residents can choose from various business structures, including a corporation, LLC, limited partnership, or non-profit corporation, to form an offshore company in Delaware without being registered as residents in the state. Our local agents can assist with the necessary paperwork and guide you through the process of working with the relevant authorities.
There are many options available for international entrepreneurs looking to do business in the United States. If you are considering starting a company in the US, we recommend working with our specialists to understand the necessary formalities, including drafting and submitting articles of incorporation, opening a bank account, and obtaining a tax registration.
Setting up a branch in the US can take approximately 5 weeks, during which time the necessary documents will be prepared, including articles of incorporation, and a bank account will be opened. The process of obtaining a business license will also be started. It is worth noting that the management of the company does not have to be local, so you have the freedom to choose regardless of your country of origin.
Duties of a Registered Agent in Delaware
As previously mentioned, an offshore company in Delaware must have a registered agent, who is responsible for a number of duties, including handling the company’s registration formalities in the state. Some of the other duties of the registered agent includes managing the necessary documents for the company and presenting them to the Delaware Division of Corporations and/or the Secretary of the State of Delaware.
The registered agent is the point of contact for any legal action taken against the offshore corporation in Delaware.
Delaware is an attractive location for LLC companies due to its favourable tax system, which includes a 0% corporate tax rate. It is also possible to set up an LLC with just one shareholder and a minimum share capital of USD 1. Additionally, shareholders do not need to reside in Delaware. Contact us to learn more about the benefits and requirements of Delaware offshore company registration.
Key Characteristics of a Delaware Offshore Company
Foreign investors often prefer offshore companies in Delaware due to the numerous benefits they offer, including a favourable tax system. Some key features of Delaware offshore companies include::
- 0% corporate tax rate and other favorable tax provisions.
- Registered office in Delaware required.
- Registered agent needed.
- Registration of a limited liability company, as the optimal structure for offshore.
- Confidentiality of shareholders and directors.
- The minimum share capital is USD 1.
- Can be set up with just one shareholder.
- At least one director is needed, regardless of nationality.
- Company secretary required.
- No public access to accounting documents.
- Filing annual returns is required.
- 0% tax rate on royalty payments and distribution.
- No auditing requirements.
- Business operations must be conducted outside Delaware.
It is important to note that offshore companies in Delaware must maintain accounting records, even if an audit is not required. Additionally, the process of forming a Delaware offshore company typically takes about 7 days.
The Advantages of an Offshore Company in Delaware
Delaware is a popular choice for foreign entrepreneurs to start a business due to its favourable legislation for both local and foreign businesses. There are several benefits to consider when deciding to open an offshore company in Delaware, including:
- an offshore in Delaware can be 100% foreign-owned;
- the general meeting of the owners can be organized anywhere, not only in the state;
- there is no maximum number of shareholders allowed for creating an offshore;
- there are low registration fees for LLCs in Delaware;
- the assets of the owners are protected in case of company liquidation or bankruptcy;
- the identity of the owners is confidential;
- the offshore company in Delaware is ready in seven working days.
