Hiding one’s address is nice so one can avoid listing one’s address in the public record. And the services used to conceal one’s address are largely the same services that hide one’s name.
Also, Delaware corporations are very popular for many legitimate reasons even for businesses with no personnel in Delaware. But you still need an agent for service of process in Delaware.
I wish the states would allow designating the Secretary of State as the agent for service of process and paying a nominal fee for them to forward documents electronically. This would keep relevant information available to law enforcement and the courts, but it would avoid the need for paying mildly sketchy registered agents for their mildly sketchy services.
It’s not clear to me that there’s any sort of bright line between shell companies and any other sort of corporation, anyway.
A registered agent is, among other things, a services mailbox. And a “shell” company, whatever that is, isn’t necessarily offshore.
Many US companies, even very ordinary ones, incorporate in Delaware for various, mostly good, reasons. IIRC even YC strongly recommends this. Unless the company actually has an office in Delaware, it will use the services of a registered agent in Delaware to satisfy the requirements of Delaware. Then the company will register to do business in whatever state it’s in. Or it could break the law and not register.
The only funny business here is that, at least traditionally, there is no requirement to inform Delaware of the beneficial ownership structure of the company. This seems to be changing — the US is pushing back against companies with anonymous ownership.
The big question, to me at least, is why anyone expects bad actors to fill out fancy new forms correctly.
Also, Delaware corporations are very popular for many legitimate reasons even for businesses with no personnel in Delaware. But you still need an agent for service of process in Delaware.
I wish the states would allow designating the Secretary of State as the agent for service of process and paying a nominal fee for them to forward documents electronically. This would keep relevant information available to law enforcement and the courts, but it would avoid the need for paying mildly sketchy registered agents for their mildly sketchy services.
It’s not clear to me that there’s any sort of bright line between shell companies and any other sort of corporation, anyway.