Should Your Startup Be an LLC or Corporation?

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Search Google for the best legal entity for your new startup, and you will get different opinions. Startup advisors and CPAs will probably recommend a limited liability company (LLC). That’s because an LLC isn’t subject to double taxation and is easier to set up.

On the other hand, many startup lawyers will recommend the C-Corporation structure (typically a Delaware C-Corp) because corporate law is typically more “stable,” equity (stock) ownership is passive, and the entity is more structured.

How you choose to incorporate your startup business will have massive implications down the road. This blog explores the basic advantages and disadvantages of each option.

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How do I start a business?

Most entrepreneurs and creators get their start by asking a straightforward question, “how do I start a business?” Starting a business requires careful planning, risk tolerance, dedication, and vision. Working with the right business lawyers can make it easier. Once you have determined an initial idea for your business, it is essential to thoroughly evaluate the market in which you will be operating (if there is one), and discover how you can best contribute to, or disrupt it with, your business idea.

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