Wyoming ($60/year) or Delaware ($300/year)? Compare privacy, costs, and investor appeal for your non-resident LLC. Expert guidance for international entrepreneurs.
Choosing between Wyoming and Delaware for your LLC formation is one of the most important decisions you'll make as a non-US resident entrepreneur. Both states offer unique advantages, but the right choice depends on your business goals, budget, and growth plans.
Wyoming offers superior privacy and lower costs ($60/year), making it ideal for small businesses and digital nomads. Delaware provides a sophisticated legal system and investor appeal ($300/year), perfect for startups seeking venture capital. We'll help you understand the key differences to make the right choice.
Feature | Wyoming LLC | Delaware LLC |
---|---|---|
Annual Fee | $60 minimum | $300 flat fee |
Formation Fee | $110 | $120 |
Privacy Protection | Excellent (no public disclosure) | Good (moderate disclosure) |
State Income Tax | None | None (for out-of-state income) |
Investor Appeal | Moderate | Very High (60%+ of Fortune 500) |
Legal System | Standard courts | Court of Chancery (specialized) |
Formation Time | 3-5 business days | 5-7 business days |
Best For | Privacy, low costs | VC funding, legal predictability |
Wyoming has earned its reputation as the top choice for international entrepreneurs and non-resident business owners who prioritize privacy and want to minimize ongoing costs. Wyoming LLC formation offers unmatched benefits for digital businesses.
💼 Pro Tip: Wyoming is ideal if you're running an online business, seeking maximum privacy, or want to minimize annual fees. It's the go-to choice for 95% of our international clients.
Wyoming's annual reporting fee is calculated as $0.0002 per dollar of assets located in Wyoming, with a $60 minimum. For most online businesses with no physical assets in Wyoming, you'll pay just $60/year.
No physical US presence needed, work from anywhere
Amazon, Shopify, online stores
Keep ownership information confidential
Delaware's reputation as America's corporate capital isn't accidental - it offers a sophisticated legal framework that investors and venture capitalists trust. Delaware LLC and C-Corp formation remains the gold standard for startups seeking institutional funding.
⚠️ Important: Delaware's $300 annual franchise tax is due by June 1st each year. Late payment incurs a $200 penalty plus 1.5% monthly interest.
While Delaware's $300 annual franchise tax is 5x higher than Wyoming, this cost is often justified for businesses seeking significant investment. Many venture capital firms and institutional investors specifically require Delaware entities.
Raising $500K+ in venture capital
Planning acquisition or IPO
Complex ownership structures
Privacy protection varies significantly between Wyoming vs Delaware LLC structures, which matters if you want to keep your ownership confidential. Privacy is a key deciding factor for many international entrepreneurs choosing where to form their US LLC.
Wyoming offers superior privacy protection with no public disclosure requirements. Delaware provides moderate privacy but may require additional legal structuring to achieve the same anonymity level.
Both Wyoming and Delaware offer favorable tax treatment for non-resident LLC owners, but with important differences in annual fees and state tax obligations. Understanding these cost differences is crucial when comparing Wyoming vs Delaware LLC options.
The legal environment is where Delaware truly differentiates itself, offering specialized courts that handle business disputes with expertise.
Delaware's Court of Chancery is a specialized business court that hears corporate disputes without juries. This results in:
Wyoming uses standard state courts for business disputes, which means:
⚖️ Legal System Winner: Delaware - If you anticipate complex legal disputes or want maximum investor confidence, Delaware's Court of Chancery provides unmatched expertise and predictability.
For 95% of international entrepreneurs and non-resident business owners, Wyoming is the better starting choice. Here's why:
Consider Delaware if you:
Many successful companies start in Wyoming and later move to Delaware when:
We handle reincorporation for clients who outgrow Wyoming, making the transition seamless.
At NonResident Tax, we handle the complete formation process for non-US residents in both Wyoming and Delaware.
We help you decide based on your goals
Complete formation in 3-7 business days
EIN, operating agreement, and all legal docs
Both Wyoming and Delaware offer excellent environments for non-resident LLC formation, but they serve different business needs. Wyoming excels at privacy and cost-efficiency, making it ideal for most international entrepreneurs starting their US business journey. Delaware provides sophisticated legal infrastructure and investor appeal, perfect for high-growth startups seeking institutional funding.
The good news? You can start with Wyoming today and easily transition to Delaware later if your business needs change. This approach lets you save money in the early stages while keeping your options open for future growth.
Ready to form your LLC? Our team handles the complete formation process in both Wyoming and Delaware, with specialized support for non-US residents. We also provide ongoing accounting services to keep your business compliant. Start your US business formation today.
Yes, absolutely. Many successful companies start in Wyoming for cost savings and later reincorporate in Delaware when raising venture capital. We handle this transition for clients, ensuring all legal requirements are met smoothly.
No. We provide a virtual address with suite number as part of our formation service. This gives you a legitimate US business address without requiring physical presence.
Wyoming is typically better for e-commerce sellers. The lower annual costs ($60 vs $300) and superior privacy protection make it ideal for Amazon, Shopify, and online store owners who don't plan to raise institutional investment.
Most angel investors and early-stage funding sources accept Wyoming LLCs. However, institutional venture capital firms (Series A and beyond) typically prefer Delaware entities. You can always reincorporate in Delaware when needed.
Wyoming LLCs typically complete in 3-5 business days. Delaware LLCs take 5-7 business days. Both timelines include EIN acquisition and document preparation. We can expedite if you need faster processing.
Yes, but Delaware is the industry standard for C-Corporations. If you plan to form a C-Corp for venture capital funding, we strongly recommend Delaware due to investor familiarity and legal precedents.
Wyoming requires a simple annual report and $60 fee. Delaware requires a $300 franchise tax payment by June 1st annually. We provide compliance reminders and can handle these filings for you through our ongoing support services.
Yes, both Wyoming and Delaware require a registered agent with a physical address in the state. We provide registered agent service for both states, ensuring you never miss important legal documents.
Need help choosing between Wyoming and Delaware? Our team specializes in non-resident company formation and can recommend the best state for your specific situation. Schedule a free consultation to discuss your business goals.
Join 2,500+ international entrepreneurs who trust us for US company formation and compliance.