Can I incorporate in Delaware and operate in California?
Ava Robinson
Published Feb 27, 2026
A Delaware corporation doing business in California is both legal and commonplace. Founders may decide to do this for many reasons, even if their principal place of business will be California. If you’re planning on incorporating in Delaware but are located in California, you’ll be required to have a Registered Agent.
Can a Delaware LLC own property in California?
Yes, you can buy real estate with a Delaware LLC. There is no requirement to establish a California LLC, though you will be required to register your Delaware LLC with the State of California as a “foreign corporation” (foreign meaning any entity organized outside the state).
How do I register a foreign entity in California?
You can register a foreign (out-of-state) corporation in California by filing a Statement and Designation by Foreign Corporation (Form S&DC-S/N), along with a Certificate of Good Standing, to the Secretary of State’s office. There is a $100 filing fee.
What is a Delaware corporation doing business in California?
This can be initiated with a Statement and Designation by Foreign Corporation. There are two sections in the California Corporations Code worth highlighting. They are sections 191, 15901.02 (a) and 17001 (ap).
Is the Delaware corporation subject to franchise taxes?
The Delaware corporation will be subject to the franchise taxes in Delaware and California after filing the Statement.
What makes Delaware a good place to incorporate?
More than one million business entities take advantage of Delaware’s complete package of incorporation services, including modern and flexible corporate laws, our highly-respected Judiciary and legal community, a business-friendly government, and the customer-service-oriented staff of the Division of Corporations.
Why do you need to reincorporate in Delaware?
A corporation may wish to reincorporate in Delaware for a number of business reasons that address the needs of a growing national or international business. The purpose of the corporation’s reincorporation will in many ways drive the process of reincorporation. What is the problem you need to address?
