Court of Chancery jurisdiction. VC-preferred structure. When Delaware makes sense over Wyoming for anonymous LLC formation.
By Shafwan Ahmed, Operations & Fulfillment Lead, Anonymousllc.co
The short answer: A Delaware anonymous LLC costs $407 all-in for year one - a $297 service fee plus the $110 state filing fee - and $300 a year after that in franchise tax, due June 1. The Delaware Certificate of Formation does not name members or managers, so ownership stays off the public record. Its distinguishing feature is the Court of Chancery, a business court with no juries and specialist judges, which is why venture-backed startups default to Delaware.
Delaware is the preferred jurisdiction for venture-capital-backed startups because of the Court of Chancery - specialized business law judges, no juries, predictable case outcomes. Over 60% of Fortune 500 companies are incorporated in Delaware.
The Court of Chancery is Delaware's specialized business law court. Judges with deep business law expertise hear cases without juries. This makes disputes more predictable and faster to resolve, which is why VC-backed companies and their attorneys prefer Delaware.
Delaware is right for VC-track startups and companies that need Court of Chancery jurisdiction. For non-VC private holding or operating LLCs, Wyoming offers similar privacy at lower annual cost ($60/year vs $300/year). Both provide anonymous LLC formation.
$407 all-in for year one: a $297 service fee plus the $110 state filing fee. That covers the filing, registered agent for year one, the operating agreement, the EIN, and 4-5 US bank applications. From year two the recurring cost is the $300 franchise tax due June 1, plus registered agent renewal.
Yes, on the public record. The Delaware Certificate of Formation requires only the registered agent name and address, not the members or managers, so a state search does not reveal ownership. Delaware requires an operating agreement under 6 Del. C. 18-101(7), but that document is private and never filed with the state.
Choose Delaware if you are raising venture capital or need Court of Chancery jurisdiction - it is the structure US investors expect. Choose Wyoming for a private holding or operating company: the privacy is equivalent, the charging-order protection is stronger, and the annual cost is $60 rather than $300.
A flat $300 per year, due June 1, regardless of income or activity. It is a tax on the existence of the entity, not on profit, so a Delaware LLC that earned nothing still owes it. Missing the deadline adds a $200 penalty plus interest.
$297 + state fee. Chancery Court jurisdiction.
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