Author name: Brandon

Except as provided for in a limited liability company agreement, members’ rights to participate in management and ownership of limited liability company interests can be assigned freely upon voluntary transfer. Their assignee will become members upon being accepted as such an assignment. This section applies when domesticating a non-United States entity pursuant to Section 18-212 […]

Delaware LLCs, or limited liability companies, provide its owners with protection from debts incurred by their business entity. An internal contract between members called an Operating Agreement governs its structure and rules. Due to this flexibility, many companies choose a Delaware LLC even when operating outside its boundaries. No Delaware LLCs do not have shareholders,

The Delaware series LLC statute allows you to form multiple “sub-companies” (series) within one umbrella limited liability company, thus saving registration fees and annual entity taxes. Registered series companies are considered a single entity, so only one annual Franchise Tax payment of $300 must be submitted to the state. Legal Separation Legally speaking, a series

Delaware companies provide businesses with numerous tax advantages. Unlike other states, Delaware doesn’t levy corporate income tax or ad valorem property taxes on business income generated in Delaware. Delaware gives shareholders the right to inspect books and records of a corporation under Section 220 of its General Corporation Law, often leading to heated litigation over

If you want to set up your LLC as an LLC, filing in the appropriate state is key – particularly for location independent businesses like dropshipping, eCommerce and FBA companies. Delaware is widely recognized as an attractive business-friendly state due to its adaptable laws. Regular consultation with practicing attorneys ensures its corporate law statutes remain

Delaware’s strong laws regarding corporate issues such as minority member rights attract venture-backed companies. Skye Mineral Partners was decided by a court and concluded that minority members who use contract rights to block financing of their LLC subsidiary owe fiduciary duties to both themselves and to their LLC. Furthermore, it found that any waiver of

Delaware LLCs offer their owners considerable flexibility, as they can be taxed as sole proprietorship, S Corporation or C Corporation depending on how their owners decide to structure them. There is no maximum number of members, making expansion easier – adding new ones is possible at any time! Many entrepreneurs choose either self-filings or professional

Delaware provides for innovative operating agreement arrangements by including mandatory provisions which validate such plans in an efficient way. One mandatory provision gives members the right to seek third-party resolution of disputes regarding manager election and removal issues, giving promoters of high-stakes private equity deals at least some pause. Fiduciary Duty of Care Corporate directors

Delaware is the go-to state for business incorporation and formation. This state offers many key advantages that make Delaware an excellent location, including no double taxation on income and unparalleled contractual flexibility. The Corporate Section monitors LLC statutory and case law developments nationwide. With their extensive expertise in business organization law and creativity in developing

Registered Agents in Delaware LLCs serve as legal representatives to receive official mail on behalf of an LLC and help keep its activities within State law compliance by offering reminders about document filing deadlines and keeping certified copies of company documents. Entrepreneurs registering their LLC formation paperwork with the State of Delaware must appoint either