Incorporation in Delaware, as in most states, has several components that affect the cost, so the total cost can vary widely.
- Registered agent fee: A Delaware corporation must have a registered agent within the State of Delaware. You can think of them as a bridge of connection between an LLC and the state government. Commercial registered agents range in cost from below $100 to several hundred dollars per year.
- State filing fee to file the certificate of incorporation/formation with the Delaware Division of Corporation. Filing fee is $89 for a one-page certificate of incorporation, plus $9 for each additional page (typically 2 pages). So, $98 filing fee.
- Sometimes Delaware is slow to process filings, so paying an extra $50 for 24-hour service may be worth it.
- If you plan to register the Delaware company in another state or open a bank account, you may need to order a certified copy ($50) or certificate of good standing ($50).
- Annual LLC tax: a flat annual tax of $300.
So, it can cost about $300 - $400 to do it yourself + annual fee and I think some formation service providers charge $500 - $1000 for a Delaware LLC registration.
An experienced provider who works with startups can do all of this for you, and believe me, that's way more cost-effective than trying to hack it, getting it wrong, and having to pay tons of money to fix it. Your budget for incorporation should run between $1000 and $2500, depending on whether your company will have only one shareholder or multiple cofounders. If you can't afford that kind of money -- meaning if you can't afford to do it right -- you probably aren't ready yet.
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