The requirements for a registered agent in Delaware might seem simple on the surface, but in reality this role has some nuance involved. Rather than spending hours researching the rules and regulations yourself, we’ve created a guide to help you access this information easily.
Knowing exactly what is required from a registered agent is essential to your business remaining in compliance with your state’s laws. Whether you take on this role yourself or outsource it to another person or business entity, the Delaware registered agent must keep on top of things in order for your company to stay compliant.
Below is a complete picture of the 4 best Delaware registered agent services and what they offer. We will outline each option and make independent recommendations based on what you are looking for.
Before we get started with the review, here is a deal many of our readers have taken advantage of:
Get a Free Delaware Registered Agent
Delaware Registered Agent Services & Description
A registered agent service is a company that specializes in being a registered agent for a wide variety of businesses across the country, bringing tons of expertise and a healthy dose of reliability to the role.
What’s great is that the personal addresses of home-based entrepreneurs remain private when you hire a professional registered agent service. There are quite a few of these companies out there, and most of them make it quite easy to enlist their services.
Registered agent services usually include some additional features, which vary depending on which company you choose. In general though, you’ll often see these services offer a compliance calendar to help you track your important filing deadlines, and you’ll always receive access to their helpful customer support teams.
Here are the 4 best registered agent services in Delaware:
1. Northwest Registered Agent
Northwest Registered Agent: Northwest charges $125 per year, and they’re the only major national registered agent service that locally scans every document they receive as your agent. They also have personalized customer support that assigns a dedicated account representative to each client.
If you also need to form your business, Northwest offers a $79 formation package that includes a year of registered agent at no extra charge.
2. Zen Business
Zen Business: Zen Business has a lower $99 rate that Northwest offers, with an extra focus on making the process less stressful and an easier to use website. You’ll receive their outstanding customer support, as well as access to helpful software that allows you to track and file your company’s annual reports.
3. Incfile
Incfile: They are one of the most well known LLC and registered agent services available, with rates that start at just $119 per year. Plus they offer an awesome free LLC formation service if you haven’t created a business yet and would like a free registered agent service in the process.
4. LegalZoom
LegalZoom: This is another very popular option that more-or-less does the same thing as the other services, but charges $299 per year. In our opinion, the affordable registered agent services above are far better deals and more than half the cost.
What Is a Delaware Registered Agent?
Every business entity in the state of Delaware is required to have a registered agent. In fact, you will not be allowed to finish the formation process for your company until you designate your registered agent.
The most important aspect of this role is receiving document deliveries from the state government, then alerting your business of the delivery, before forwarding the documents to you. The role of the registered agent is so important because it establishes a point of contact for your business with the state, so that they have a reliable place to get in touch with an official representative of your company at any time.
The Delaware Secretary of State website provides a comprehensive list of registered agent services. They note that they do not endorse these registered agents, but that they provide the list as a response to frequent requests for this information.
Who Can Be a Delaware Registered Agent?
A Delaware registered agent is a person or business entity that has a physical address in the state. You or one of your co-owners can serve as your own registered agent, you can designate a friend or family member for this role, you can hire a lawyer or accountant as your agent, or you can hire an online business services company to provide registered agent service.
No matter who you choose to be your registered agent, they need to be physically present at the address provided to the state during all standard business hours. This person or entity does not need to have any prior experience being a registered agent, but it’s wise to choose a registered agent who is familiar with the serious responsibilities that come with this role.
Title 8, Chapter 1, Subchapter 3 of the Delaware Code lists the following rules for registered agent eligibility in Delaware:
- “If an entity, maintain a business office in this State which is generally open, or if an individual, be generally present at a designated location in this State, at sufficiently frequent times to accept service of process and otherwise perform the functions of a registered agent;
- If a foreign entity, be authorized to transact business in this State;
- Accept service of process and other communications directed to the corporations for which it serves as registered agent and forward same to the corporation to which the service or communication is directed;
- Forward to the corporations for which it serves as registered agent the annual report required by § 502 of this title or an electronic notification of same in a form satisfactory to the Secretary of State (“Secretary”); and
- Satisfy and adhere to regulations established by the Secretary regarding the verification of both the identity of the entity’s contacts and individuals for which the registered agent maintains a record for the reduction of risk of unlawful business purposes.”
What Does a Registered Agent Do?
A registered agent performs several modest tasks that accumulate into a larger role of significant importance. They are essentially the liaison between your business and the state you are conducting business in.
Legal Matters
First and foremost, a registered agent must act as the designated recipient of any tax or legal documents sent by the state of Delaware. In the case of legal matters, the registered agent must be physically present to receive hand-delivered service of process (SOP) paperwork regarding legal action being taken against your company. After the handoff, the registered agent then needs to effectively report this delivery to your business, and forward the documents to you.
The registered agent and the business they represent should have a previously agreed-upon order of operations for the intake and delivery of these documents. For example, they should determine whether the documents will be delivered from the registered agent to the business via fax, mail, or email.
Ongoing Delaware Business Compliance
The registered agent also typically helps ensure that your business remains current and compliant on all state-required ongoing maintenance filings. Each state has its own set of laws regarding which maintenance filings are required, which usually refers to annual reports and/or franchise tax payments. These rules are subject to change at any time, so the registered agent must stay up to date in order to ensure your business remains in good standing with the state, and avoids fines or a business dissolution.
In Delaware, the rules and regulations vary depending on what type of business you operate. Corporations need to file an annual report, which has a filing fee of $50 (or $25 for exempt corporations, which usually refers to nonprofits). In addition, corporations are subject to Delaware’s franchise tax, which has a $175 minimum fee.
For limited liability companies, limited partnerships, and general partnerships, there is no annual report requirement. However, these business entities are required to pay the annual LLC/Partnership Tax, which is a $300 fee.
Your registered agent should be aware of these schedules and help you with your ongoing maintenance requirements in order to stay in good standing with the state.
What If I Want to Change My Delaware Registered Agent?
While the role of the registered agent is vitally important for any American business entity, this role can always be changed, and there are different rules for how to change your agent depending on which state your business operates in.
In Delaware, any business entity wishing to change its registered agent should file a Change of Agent form with the Secretary of State for a fee of $50. (Specifically, here is the form for corporations and the form for LLCs).
For step-by-step instructions to change a registered agent in Delaware, please check out our guide.
Choosing the Best Registered Agent in Delaware
Get a Free Delaware Registered Agent
The role of a Delaware registered agent is critical to your company’s compliance and legal standing. This position requires dealing with seemingly simple tasks, yet if they’re handled incorrectly, they could cost you a considerable amount of money in fines, and could even potentially see the state dissolve your business.
While you can always change your registered agent down the line, we think it’s essential to pick the right registered agent for your business starting at the formation phase. You should also keep an eye on your compliance standing to ensure nothing goes awry along the way.