How to Start a Business in Delaware

How to register a business in Delaware and everything else it takes to open legally, in order — sole proprietor vs. LLC, the state filing, your EIN, tax registration, and licenses, with the official Delaware links for each step. Most people finish the core setup in one to three weeks.

LLC filing fee
~$110
Processing
1–3 weeks (expedite options)
Ongoing report
annual · ~$400
State sales tax
no
State income tax
yes
  1. How to register a business in Delaware

    Sole proprietors under their own name file nothing with Delaware to exist — a DBA if you use a trade name, plus local licenses. To register an LLC or corporation you file formation paperwork with the Delaware business filing office (about $110, 1–3 weeks (expedite options)), then get a free EIN and register for state taxes.

    Delaware business registration ↗

  2. Pick a structure (sole proprietor or LLC)

    Most Delaware owners start as a sole proprietor (free, no filing) or form an LLC for liability protection. The LLC filing fee is about $110, and formation typically takes about 1–3 weeks (expedite options). Confirm the current fee on the state site before you pay.

    Delaware business filing office ↗

  3. Name a registered agent

    If you form an LLC or corporation, Delaware needs a registered agent with a physical in-state address. You can be your own agent if you're available during business hours, or hire a service for about $100–$150/year.

  4. Get your EIN from the IRS

    An Employer Identification Number is free from the IRS and takes a few minutes online. You need it to open a business bank account and to hire.

    IRS — Apply for an EIN ↗

  5. Register for Delaware taxes

    Delaware has no state sales tax and has a state income tax. Delaware charges a flat $400 annual LLC tax (as of Aug 2026). It's popular for out-of-state owners but adds a registered-agent cost.

    Delaware tax registration ↗

  6. Confirm local licenses and permits

    Delaware rarely issues a single statewide "business license" — most licensing is by city or county, plus profession-specific licenses. Check your city and your trade.

    Delaware professional licensing ↗

  7. Open a business bank account and get insurance

    Keep business and personal money separate from day one. General liability insurance is the baseline; some contracts also require a bond.

  8. Put the ongoing report on your calendar

    Delaware requires an annual report (about $400). flat annual LLC tax (raised from $300 to $400 on Aug 1, 2026), no report content, due June 1

    Delaware reports ↗

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Frequently asked

How do I register a business in Delaware?

Sole proprietors under their own name file nothing with Delaware to exist — a DBA if you use a trade name, plus local licenses. To register an LLC or corporation you file formation paperwork with the Delaware business filing office (about $110, 1–3 weeks (expedite options)), then get a free EIN and register for state taxes.

How much does it cost to register a business in Delaware?

Registering as a sole proprietor is free (a DBA filing, if you use a trade name, is usually $10–$50 at the county or state). Registering an LLC costs about $110 in Delaware, plus an annual report (~$400). An EIN from the IRS is free.

How much does it cost to start an LLC in Delaware?

The state filing fee is about $110. Beyond that, budget for a registered agent if you hire one (~$100–$150/year), the annual report (~$400), and any local license fees. An EIN is free.

Do I need an LLC to start a business in Delaware?

No. You can operate as a sole proprietor in Delaware with no state filing. An LLC adds a layer of personal liability protection and can make you look more established to customers and lenders — it's a judgment call based on your risk and goals, not a legal requirement.

How long does it take to form an LLC in Delaware?

Standard processing is about 1–3 weeks (expedite options). Many states offer paid expedited options.

Does Delaware have a sales tax?

Delaware has no state sales tax. Some localities may still levy their own — confirm locally.

What ongoing filings does a Delaware LLC have?

Delaware requires an annual report (about $400). flat annual LLC tax (raised from $300 to $400 on Aug 1, 2026), no report content, due June 1

Official sources

Fees and timelines are commonly-cited figures last reviewed September 2026 and can change — always confirm on the official site. This is educational information, not legal or tax advice.

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AI-generated guidance is for educational purposes only and is not legal, tax, or investment advice. Disclosures · Trust center