Delaware's Brand

Issue 6.04

January 24, 2020

This Week in Dover

The big news this week for State Chamber members was Governor Carney and House Majority Leader Longhurst announcing a $50 million investment in water infrastructure projects in Delaware. From storm water, waste water, drinking water and flood abatement, these issues will see over $100 million in funding, once matching funds are added. The State Chamber has pushed for a Water Infrastructure bill like this for a number of years. Read more

Join us on Feb. 6 for a special Chamber Leadership Breakfast with John Riley

7:30 am - 9:00 am

University & Whist Club, 805 N. Broom St., Wilmington

John Riley is author of the recently released book, Delaware Eyewitness, Behind the Scenes in the First State . Part memoir and part Delaware contemporary history, Riley features a behind the scenes look at more than six decades of the people, places and events, in and around the First State.

THE DELAWARE BRAND

An Introduction

The dominance of Delaware in entity formations, especially corporations, is well known. But why is this the case, what goes into making – and keeping – the “Delaware Brand?” Delaware is a small state, we have less than one million people and are the second smallest geographically, yet we are the home of more than 60% of the Fortune 500. We are the clear jurisdiction of choice for the formation of corporations as well as alternative entities (such as partnerships and limited liability companies) which combined in total to more than 1.3 million as of 2018. How did we get here? How do we stay here? Read more

Delaware notched a new state record in 2018, when more than 216,000 new business entities were formed under the First State’s corporate and alternative entities laws. The 2018 figure handily beats the previous record of 198,000 entities in 2017. At last count, 67.2% of all Fortune 500® companies were incorporated in Delaware, and in 2018, 82% of all initial public offerings involved companies that were formed in Delaware. Those are impressive statistics, and reveal a few important things... Read more

THE RESULTS ARE IN!

In last week's Weekly Report, we asked you what policy issue is most important to your business:

#1 WORKFORCE DEVELOPMENT AND TALENT

#2 COST OF HEALTH INSURANCE / HEALTH CARE

Why Delaware's citizens should care about Delaware's corporate brand

Here are some numbers every Delaware citizen should care about:

Of the approximately $4.3 billion in budgeted expenditures for the State in fiscal year 2019, revenues from corporation franchise taxes and other entity formation taxes and fees accounted for about $1.2 billion, or about 28%.
Together with funds from abandoned property (a large portion of which depends on incorporation in Delaware) and personal income taxes from the lawyers, legal staff, and other service providers whose jobs depend on Delaware business formation, that 28% figure swells to well over 40%.

In other words, every citizen of our State depends on the health of the brand that attracts the formation of businesses under the laws of our State. Read more

Reflecting upon Dr. King

As we reflect upon Dr. King, his life and messages, we look back at the progress we have made and the challenges that are ahead. Today, many State Chamber members are working steadfastly on being more inclusive because with greater inclusion comes diversity, stronger organizations and thoughtful decisions. For our part, we have a growing list of diverse member suppliers that can be found on our website . We hope you give these businesses your consideration. Read more