Two-Tier Service at Business Registries: The Case Against Expedite Fees

I recently read that the Office of the Registrar of Companies in Ghana has introduced a “Prestige” or “Deluxe” Service, a 48-hour company registration offering available for a premium fee. This practice, while on the decline, is not uncommon. Across many U.S. states, business registries have long allowed expedited processing, for a price.

📌 For example:

• Delaware Division of Corporations offers 1-hour, 2-hour, same-day, and 24-hour services, with fees ranging from $100 to $1,000 in addition to standard filing fees.

• California Secretary of State provides 24-hour expedite services for most corporate documents at an extra cost.

• New York Department of State offers 24-hour, same-day, and 2-hour options, priced accordingly.

• These fees are explicitly authorized in the states’ legislative frameworks or official fee schedules.

Proponents of these “priority services” typically argue they:

• Help manage workflow pressures by spreading demand.

• Generate additional revenue for underfunded public registries.

• Meet business expectations in fast-moving commercial environments.

• Offer optional flexibility — standard service remains available for all.

However, there’s a darker side.

⚠️ What’s the real cost of priority or expedited service fees?

• Equity and fairness: They create a two-speed system, faster service for those who can afford it, delays for those who can’t.

• Systemic pressure: Rather than relieving workload, priority services often redirect resources, worsening service for standard applications. In many instances this adds complexity to the workload issues and creates two paths instead of one.

• Corruption risk: When speed can be bought, public servants may be incentivized (implicitly or explicitly) to let standard service levels deteriorate.

• Public trust erosion: Business registries are meant to serve all, not just the well-resourced. Two-tier models may undermine confidence in impartial governance.

When premium processing becomes a revenue stream, there's a perverse incentive to let baseline service decline. If the “normal” queue becomes increasingly slow or inefficient, more users will feel compelled to pay for speed. Over time, this can:

• Institutionalize inequality in public service delivery.

• Shift focus away from system-wide improvement.

• Erode accountability and integrity among public officials.

• Foster a culture where “slow unless you pay” becomes the norm.

This isn’t just a theoretical risk; it’s been observed in various public systems globally. Once revenue becomes linked to delay, delay becomes profitable.

Best practice is for an electronic register that provides timely, consistent service to all.

The Ghana Registrar’s own justification for the deluxe service, citing pressure on their digital platform, highlights the problem. Instead of addressing the underlying technology and resourcing issues, the new fee simply puts a price on what should be normal service.

📎 Read more about the Ghana example here: Ghana Business News – Prestige Registration

Do you work with or depend on a business registry? What’s your view on expedited services and premium processing fees? Thoughts?