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https://www.caagesf.org/faq/often-asked-why-do-so-many-companies-incorporate-in-delaware.html#:~:text=There%20are%20two%20major%20reasons%20for%20Delaware%E2%80%99s%20dominance,to%20rule%20on%20corporate%20law%20disputes%20without%20juries.
https://www.upcounsel.com/why-do-companies-incorporate-in-delaware
Many Fortune 500 companies choose to incorporate their businesses in Delaware because, despite its small size, the state offers an ideal business environment for startups and big corporations. In addition, Delaware computes taxes out of the revenues of a company, which reduces corporate income tax.
https://thehustle.co/why-delaware-is-the-sexiest-place-in-america-to-incorporate-a-company/
Companies will often transfer these assets to a Delaware subsidiary and pay their own subsidiary for the rights to use said assets. This saves them money on both ends: The company can write off these payments in its home state, dramatically lowering its tax bill. The company isn’t taxed on its dealings in Delaware.
https://bridgehouse.law/incorporate-in-delaware
Delaware prides itself on having corporate-friendly laws, which is the main reason why so many companies register themselves in the state. Delaware laws and courts offer liability protection for business owners, business managers, and shareholders. It is also easy to incorporate in Delaware. Incorporation costs are cheap.
https://www.delawareinc.com/blog/why-do-businesses-incorporate-in-delaware/
Tuesday, May 18, 2021. Rick Bell. Companies incorporate in Delaware because of its corporate-friendly environment, which offers numerous benefits in terms of convenience, tax liability and legal protection for businesses.
https://www.mentalfloss.com/article/76951/why-are-so-many-us-companies-incorporated-delaware
Because Delaware has had a reputation for being friendly to businesses for such a long time, it makes sense logistically for businesses to incorporate in …
https://joneskeller.com/why-do-so-many-companies-incorporate-in-delaware/
Almost 65% of Fortune 500 companies are domiciled in Delaware. Almost 90% of of the companies that did an IPO in 2019 were Delaware entities. Why is this tiny state on the East Coast the preferred jurisdiction of formation for so many corporations? Delaware is half the size of most counties in Colorado but it’s a preferred jurisdiction of formation for corporations for …
https://medium.com/useless-knowledge-daily/why-most-companies-incorporate-in-delaware-b8eae1e528a3
As more businesses started coming to Delaware for incorporation it made sense to start thinking about tax law. Delaware created a tax system that gives businesses numerous ways to legally minimize...
https://corplaw.delaware.gov/why-businesses-choose-delaware/
A number of factors have led to Delaware’s dominance in business formation. First, the statute —the Delaware General Corporation Law (“DGCL”) is the foundation on which Delaware corporate law rests. [ See Delaware’s Sound and Enabling Statute .] …
https://www.upcounsel.com/why-incorporate-in-delaware
Investment bankers typically require a company to incorporate in Delaware before the company can go public Relocating the corporation can be less expensive Relocating the corporation could be less expensive - the annual franchise tax in Delaware can be as low as $125 / year with reporting fees whereas in California the annual franchise tax is $800.
https://whyy.org/articles/why-do-so-many-corporations-choose-to-incorporate-in-delaware/
There are two major reasons for Delaware’s dominance of the corporate incorporation business. One reason is the bi-partisan political consensus in Delaware to keep the Delaware corporation statute modern and up-to-date, and to rely on Delaware’s corporate law specialists for advice in how to do this.
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