The default structure for venture-backed US startups. Issues common and preferred stock, qualifies for QSBS, and is the entity every US VC and accelerator expects.
Not legal, tax, or accounting advice
This page is for orientation only. Choosing a corporate structure has tax, legal, and banking consequences specific to your situation. Consult a licensed attorney and tax adviser in both your country of residence and the proposed jurisdiction before incorporating.
$800
$1,200
3 days
21%
A Delaware C-Corporation (C-Corp) is the standard legal entity for US startups that plan to raise venture capital. Of the Fortune 500, 68% are incorporated in Delaware; nearly all Y Combinator companies and US-VC-funded startups choose this structure. The C-Corp issues stock (common to founders, preferred to investors), supports stock options for employees, and qualifies founders for the Qualified Small Business Stock (QSBS / IRC §1202) exclusion — up to $10M in capital gains can be excluded from federal tax if held 5+ years. The trade-off vs. an LLC: double taxation (corporation pays 21% federal corporate tax, then shareholders pay tax on dividends), more administrative overhead, and mandatory annual franchise tax. For a single-owner business not raising VC, a Wyoming LLC is usually a better fit.
Government fee
$109
Registered agent (yr 1)
$50
Legal (optional)
$500–$5,000
All-in setup (low / typical)
$200 / $800
Annual maintenance (low / typical)
$450 / $1,200
Corporate tax rate
21%
VAT / GST
—
Withholding on dividends (non-treaty)
30%
Public beneficial ownership registry
Confidential
Federal corporate tax is a flat 21% (post-TCJA). Delaware does not levy state corporate income tax on Delaware-incorporated companies that do business outside the state, but every state where the C-Corp has nexus (employees, office, sales) charges its own corporate tax — California 8.84%, New York 7.25%, etc.
Banking difficulty
●●○○○ Easy
Stripe / payment processors
Stripe supported
Mercury, Brex, Ramp, and Chase open business accounts for Delaware C-Corps within days. Non-resident founders need an EIN (4–8 weeks via paper Form SS-4 if no SSN) before opening accounts. Mercury and Brex onboard non-resident founders without requiring US visit.
Stripe Atlas incorporates Delaware C-Corps for $500 and includes EIN, bank account, and tax pre-filing. Direct Stripe activation typically same-day post-EIN.
Stripe Atlas handles the filing, registered agent, EIN/tax ID, and bank account setup as a single bundle. infoz earns a referral fee if you incorporate through this link; we still recommend cross-checking pricing against the official United States — Delaware registry yourself.
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