GuideComparisonUpdated October 1, 2026
Wyoming vs Delaware LLC: a side-by-side comparison
This page puts the two states side by side under the same headings. You decide; LaunchUS prepares for the state you choose, the filing goes through the LaunchUS Registered Agent service and the state approves.
Sections on this page
Which state is best for an LLC if you live outside the US?
There is no single right state for everyone. Most founders abroad compare two: Wyoming offers a low yearly cost and a simple annual report; Delaware offers law that investors know and a flat yearly LLC tax. Founders who do not plan to raise investment often look at Wyoming; those who do often look at Delaware. You decide.
What about other states such as New Mexico, Florida or Texas?
Some founders also look at New Mexico (the New Mexico Secretary of State does not ask LLCs for an annual report) or at the state where they do business. A company that does business in another state as that state defines it (for example an office or staff there) registers there as a foreign LLC and pays that state’s fees. LaunchUS forms Wyoming and Delaware LLCs only, so this page compares those two.
The short answer, by criteria
- If you plan to raise money or issue equity: ask your investor and your lawyer which state they expect; Delaware comes up often in those circles.
- If the total state cost matters most: read the fee row below side by side; Wyoming’s published amounts are lower.
- Either way: the registered agent requirement, the EIN process and the five steps at LaunchUS are the same.
This list is a reading frame; the choice of state is yours.
If you are forming a company for card payments, a US company for Stripe explains who holds each step.
The short answer, by criteria
| Heading | Wyoming LLC | Delaware LLC |
|---|---|---|
| Common choice for | Single founders or small teams; freelancers, agency owners, e-commerce sellers; those who want simple annual obligations. | SaaS and technology ventures planning investor conversations or a multi-owner structure. |
| Formation fee | State fee shown separately, may change; you see the amount on the quote screen. | State fee shown separately, may change; you see the amount on the quote screen. |
| Annual obligation | Annual report and a license tax the state calculates. | Fixed annual franchise tax; the state publishes the amount. Under state rules no annual report is required for an LLC. |
| Public disclosure of member details | The formation document does not ask for member names; state rules may change. | The formation document does not ask for member names; state rules may change. |
| Registered agent requirement | Yes; Registered Agent service is included in the formation order. | Yes; registered agent service is included in the formation order. |
| Investor and legal perception | Seen as small-business and privacy oriented; less common in investor circles. | Known for its corporate law and the Court of Chancery; familiar to investors and legal advisers. |
| State income tax | Wyoming levies no state income tax; federal obligations remain. Consult your tax adviser about your situation. | For an LLC not operating in Delaware, state income tax depends on state rules; federal obligations remain. Consult your tax adviser about your situation. |
| Process at LaunchUS | The same five owner steps: you, LaunchUS, LaunchUS Registered Agent, state, IRS. | The same five owner steps; only the filing state and the name of the formation document differ. |
| Published state fees |
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The LaunchUS plans that come on top of these fees are on the LLC formation service page. From your assets you can estimate the annual state fee.
Which headings matter more to you? A four-question checklist
From your answers we show which table rows to read first and which guide to start with. The list runs on this page; your answers are not sent anywhere.
Answer a question and your reading order appears here.
This checklist runs on fixed rules and suggests a reading order. The choice of state is yours; take legal or tax questions to your adviser.
How to decide
Answer four questions for yourself; which one weighs most is up to you. We do not advise.
Investor plans: do you expect outside investment or a multi-owner structure in the coming years? Which state your counterparties find familiar may matter.
Annual obligation: would you rather budget a fixed annual tax, or an annual report plus a license tax the state calculates? The states publish the amounts.
Visibility in documents: how much does it matter that the formation document does not ask for member names? Neither state asks; rules may change.
Tax and accounting: federal obligations continue in both states; consult your tax adviser about your situation in your country of residence. We do not give tax advice.
What is the disadvantage of a Wyoming LLC?
Investors and some institutions know Delaware law better; if you plan to raise venture capital later, you may need to convert to a Delaware corporation. The annual report and license tax (minimum $60) are due every year, even with no income. If the company does business in another state, it registers there too.
What are the disadvantages of a Delaware LLC?
The flat yearly LLC tax ($400) is due every 1 June, even with no income, and is higher than the Wyoming minimum. On sample quotes the state formation fee is higher than Wyoming’s too. Delaware’s known strengths (settled case law, the Court of Chancery) matter most for companies that raise investment; for a single-owner LLC the difference is smaller.
Why are so many LLCs registered in Wyoming?
A low yearly cost (license tax minimum $60), no state income tax, online filing and no member names in the formation document are the main reasons many founders who live abroad and run online businesses choose Wyoming. That does not make Wyoming the right choice for everyone.
Sources
These institutions publish the current fees, timelines and rules:
- Wyoming Secretary of Statesos.wyo.gov
- Delaware Division of Corporationscorp.delaware.gov
- IRS (Internal Revenue Service)www.irs.gov
Comparison questions
Which state should I choose?
We do not decide for you. The table and the four questions above are a decision framework; you decide which one weighs most. LaunchUS prepares for the state you choose, the filing goes through the LaunchUS Registered Agent service and the state approves.
Can I change the state later?
Changing state is a separate procedure with its own rules in each state; we do not offer it at the moment. Use the table and the guides to decide up front; consult your own adviser on legal questions.
Is there a tax difference between the two states for someone living outside the US?
Wyoming levies no state income tax; in Delaware it depends on your activity and state rules. Federal obligations and your tax situation in your country of residence continue regardless of the state. We do not give tax advice; consult your tax adviser.
Is a registered agent required in both states?
Yes. Both states require a Registered Agent address in the state. The LaunchUS Registered Agent service provides it and is included in the formation order; the address is for official notices, not a bank or marketplace verification address.
Do fees and timelines differ between the states?
Yes. State fees and processing times differ by state; each state publishes and may change them. The quote shows the state fee apart from the LaunchUS service fee. Typical state approval from your payment is 1–9 business days in Wyoming and 3–19 business days in Delaware; these are estimates, not promised dates.
Does the EIN process depend on the state?
No. In both cases we obtain your EIN and the IRS issues the number. For a no-SSN application you sign Form SS-4 with a wet signature and scan it, and the LaunchUS Registered Agent team submits it to the IRS. Timing follows the IRS’s published processing times and may change.
Which state is cheaper?
The published amounts sit side by side in the fee row of the table; Wyoming’s formation fee and minimum annual fee are lower. The total depends on your assets and the plan you choose; the calculator on the pricing page shows your own figure.
Which state for Stripe?
You apply for the Stripe account and Stripe decides; the choice of state is a separate question. We collected the company details the application often asks for in the guide on a US company for Stripe.
Can I form an LLC in Wyoming or Delaware if I don’t live there?
Yes. Neither state requires LLC members to live in the state or in the US. The state only requires a registered agent with an address in the state; LaunchUS Registered Agent provides that address in both states.
Does a Wyoming or Delaware LLC also have to register in other states?
Only if the company does business in another state as that state defines it (for example an office or staff there). Then it registers there as a foreign LLC and pays that state’s fees. Each state sets its own definition of doing business; for your own case, ask a US adviser.
These answers are process transparency, not legal, financial or tax advice. Consult your own tax adviser about your obligations.
What we do not do
- We do not give legal, tax or accounting advice.
- We do not file with the state ourselves; the filing goes through the LaunchUS Registered Agent service, we prepare and track.
- We do not issue the EIN; the IRS issues the number, we prepare and track the application. Approval and timing are not guaranteed.
- We do not open bank, payment-provider or marketplace accounts, and we do not guarantee their approval.
- State/government fees are not included in our service fee; they are shown separately and may change.
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