It’s official! iDentical, Inc. is now incorporated as a C Corporation in the state of Delaware. Why Delaware? Well, for starters, any seasoned folks we speak with in the startup world recommend this, and, after doing some research, I learned exactly why:
Delaware’s laws are generally favorable to businesses, and, unlike other states, it has a separate Court of Chancery that hears cases involving corporate law. Chancery judges have a background in corporate law, and can decide cases relatively quickly, without the need for a jury.
Delaware has also been called a tax haven. It does not collect corporate taxes from Delaware corporations that do not do business in the state. It also does not tax royalty payments or other “intangible assets.” These tax policies lead to substantial savings for some corporations.
You can form a corporation more quickly in Delaware than in just about any other state.
Venture capitalists and other outside investors often prefer to invest in a Delaware corporation.
Fun Fact: Nearly half of the nation’s publicly traded companies, including giants like Apple, Coca-Cola, Google and Wal-Mart, are incorporated in Delaware. We’re excited to join the club!