Corporate Compliance

What is corporate compliance?
Corporate compliance means the steps a corporation takes to make sure its corporate veil cannot be pierced. To obtain limited liability protection of your personal assets, incorporating is the first and most important step. But to maintain this protection, you must operate your business separate from yourself and keep your corporation in compliance with all annual maintenance requirements. Annual maintenance requirements include conducting meetings, keeping meeting minutes, drafting resolutions to authorize corporate actions, maintaining a registered agent, and paying your franchise taxes. For more information on keeping your corporation compliant, please, read an article about it on The HBS Blog.

What are the statutory requirements for annual maintenance?
The State of Delaware imposes only two annual maintenance requirements for companies that form here: (1) pay your franchise taxes; and (2) maintain a registered agent. If a company fails to do either, the State will void that company, charge penalties, and possibly administratively dissolve that company.

How do I pay my franchise taxes and registered agent fees?
Our service allows you to Quick Pay your franchise taxes and registered agent fees. Also, for a small fee we can file your franchise tax report with the State of Delaware prior to the deadline to make sure your company does not go void or has to pay late penalties.

When do I pay franchise taxes and registered agent fees?
For corporations, franchise taxes are due to the State of Delaware by March 1 of each year. For LLCs, they are due by June 1 of each year. At HBS, your registered agent fees are due by your anniversary date. Don't worry - we will provide you with plenty of notice before the actual deadlines.

Why does my franchise tax report get mailed to my registered agent and not to me?
Receiving and forwarding franchise tax reports in a timely fashion is probably the key function of a Delaware registered agent. Since the State of Delaware does not require companies who incorporate here to furnish information about their owners' addresses or principal places of business, the only way the Secretary of State can get important documents like franchise tax reports to these companies is through their registered agents. At HARVARD, since our systems are linked with the State, we have the capability to print copies of your official franchise tax report right here in our office. This helps in the event you misplace the original one we send to you from the State. Plus, we can always order reprints of the original if you need those.

Focus on your business, and we'll do the rest!