Spent way too long on this. I run a small handmade goods shop (just me, maybe 2 seasonal helpers eventually). Delaware made zero sense after I added up the franchise tax and registered agent. Wyoming looked cheap but I realized I don't need privacy as much as I thought. Ended up filing back home in Ohio. ~$99 and done in a week. I kept reading that 'investors want Delaware' but I'm not raising money. Anyone else go through this and choose the boring in-state option?
LLC Formation
I compared Wyoming, Delaware and my home state before filing
Ohio is fine. The whole 'everyone must be Delaware' thing is mostly for funded startups. For a one person craft shop you're paying for a service you won't use.
Wyoming is calling my name just because I Like the idea of nobody knowing my business. But $60/yr registered agent adds up over 10 yrs. You made a good call.
In-state all the way. You're going to have to register as a foreign entity in Ohio anyway if you're operating there, so Delaware or Wyoming just means double paperwork + fees. Nobody mentions that part.
wait did you not consider a DBA instead? if it's just you and you're not worried about liability from inventory... unless you're selling candles and someone burns a house down lol
DBA doesn't shield personal assets. For handmade goods a single lawsuit could be ugly. LLC is worth it.
sp0rk — yeah the liability part is the whole reason. I sell some lotion/balm stuff too so I'm not rolling those dice. DBA is just a name filing, doesn't protect me.
I went Wyoming cuz it was cheap and I was told it was the 'smart' move. Now I'm paying a registered agent every year and my accountant sighs when I send her the paperwork. Not the end of the world but in hindsight I probably should have just filed local.
yeah the yearly registered agent thing is the dealbreaker for me. feels like paying rent on a PO box you never visit.
One more thing op — Ohio annual report is cheap and quick. Some states have franchise taxes that make you regrEt everything in March. Boring local filing wins again.