Delaware vs Wyoming LLC: which is better for e-commerce and SaaS founders?

Last checked: October 2026 · 7 min read

For a bootstrapped founder living abroad, Wyoming usually wins on yearly cost and simplicity. Delaware earns its higher price mainly if you plan to raise venture capital — and then you will most likely want a Delaware C-Corp, not an LLC.

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Side by side

	Wyoming LLC	Delaware LLC
State formation fee	$100	$110
Yearly state cost	Annual report: $60 minimum (more only if you hold over ~$300k of assets in Wyoming)	Flat annual LLC tax due June 1; no annual report. Historically $300 — confirm the current amount with the state
Yearly deadline	First day of your formation anniversary month	June 1
State income tax	None	None on income earned outside Delaware
Privacy	Member names not required on public formation filing	Member names not required on public formation filing
Courts	Standard state courts	Court of Chancery — deep business case law, valued by investors
Best for	Bootstrapped e-commerce, agencies, freelancers, small SaaS	Companies planning to raise money (usually as a C-Corp)

Choose Wyoming if…

You are self-funded and want the lowest yearly cost.
You sell on Amazon, Shopify or as a service business and have no plans to sell equity.
You want one simple yearly report.

Choose Delaware if…

You expect to raise from US investors — and talk to a lawyer about a C-Corp instead of an LLC.
Your partners or investors specifically ask for Delaware.

Things that don't change between the two

Form 5472 is required every year for a foreign-owned single-member LLC in any state. See the checklist.
Banking eligibility depends on where you live, not which state you formed in.
"Doing business" elsewhere: if you later have a real presence (office, staff, warehouse) in another US state, you may need to register there as well.

Not legal or tax adviceGeneral information only, checked against official sources in October 2026. Rules and fees change. For your own situation, talk to a qualified US tax professional and a tax adviser in your home country.

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Sources

Wyoming Secretary of State — business fees (sos.wyo.gov)
Delaware Division of Corporations — LLC annual tax (corp.delaware.gov)