If even after reading all this, you’re still not sure about what is the difference between an LLC and a corporation, here’s a quick summary.
Most people choose an LLC when they don’t offer shares for sale and aren’t looking for global investors. It’s also the winner for tax flexibility, since you can choose to be taxed as a pass-through entity or a C Corp.
The C Corp wins when you’re a growing, global company with an interest in issuing shares. If your dream is to launch an IPO and see your company’s name on the daily stock tickers, you’ll need to get started on that C Corp paperwork now.
There are always exceptions, however, and that’s where a professional may be handy in helping you decide. No matter which one you end up choosing, the formation doesn’t have to fall to you alone. Collective can help form your LLC or S Corp and provide guidance for when your business changes.