Should I form an LLC or S - Corp?

I'm beginning a startup company that builds communities and web applications. It'll be more akin to 37 signals because it will house a series of projects. So far its only me as a shareholder but I want to keep investments in mind and future partners. No IPO's just angel investments when needed.

So with that in mind, what do you guys reccomend?

Take a site called Mycorporation.com for a comparison

You may even want to incorporate in a state like Deleware and save yourself a bunch of $$ in the initial set-up. If you are short on cash...every penny counts.

I would start out as an LLC and if you see profit rapidly increasing...move to a "S" Corp. From my understanding, an LLC is taxed similar to that of a Sole Prop., so you are not getting the best tax advantages as you would as a S or C corp.

Best wishes.

LLC - best choice for a new company.

Tags

　　Business financing 　　Business Invest 　　Business Debt 　　Bond Investment 　　Angel Funds 　　Alternative Investment

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