As of this writing, more than one and a half million companies in the United States have chosen to register in the state of Delaware. This number includes more than two-thirds of Fortune 500 companies, which are considered the largest and most influential companies in the world.

For those unfamiliar with company registration in the United States, this statistic may be surprising. After Rhode Island, Delaware is the smallest state in the United States, with a population of just over one million people (as of mid-2024). It is also a very beautiful state, with lovely beaches, forests, streams, and green hills. Nevertheless, Delaware attracts thousands of companies each year that want to incorporate in the United States and is even considered a Corporate Haven, meaning a safe place for corporations.

What makes Delaware so attractive to companies wanting to register in the United States? Here are some main reasons:

• Supportive Corporate Law: One of the most important laws in Delaware is the Delaware General Corporation Law, or DGCL. The essence of this law is to provide a legal basis that offers stability and optimal conditions for corporations, protecting them from interest groups or specific events that could shake companies. In other words, this important law in Delaware grants stability to companies registered there, which is a huge advantage.
• Court of Chancery: Delaware has a court that deals almost exclusively with corporate law, the Court of Chancery. Unlike other courts dealing with corporations in the United States, judgments in this court are not made by juries but by the judges themselves, who specialize in corporate law. This court provides a relatively favorable environment for companies and corporations, constituting another incentive to register a company in Delaware.
• Tax Benefits: Unlike other states, Delaware does not impose a State Corporate Income Tax on companies incorporated there but operating in other states. This is a very significant tax benefit for many companies.
• Privacy: Incorporation in Delaware does not require submitting the names of shareholders or key individuals in the organization and its management. This privacy appeals to many companies involving investors or individuals who prefer to remain undisclosed.

Due to these reasons and many others, numerous companies choose to incorporate in Delaware, which provides a very supportive environment for companies and organizations planning to operate in the United States.

As an external finance department that accompanies many international companies, we at Danoy specialize in registering companies in the United States, specifically in Delaware. To assess the feasibility of registering in Delaware, contact us.