I notice that whenever this is a discussion about LLC, the supposely downside is always that the VC's prefer a C-Corp and therefore if one wishes to eventually

I notice that whenever this is a discussion about LLC, the supposely downside is always that the VC's prefer a C-Corp and therefore if one wishes to eventually take VC money, then one should be proactive and not form an LLC. That is simply not true and has not been my experience. It is true that the VC's prefer C-Corp but they never insist on investing in companies that are C-Corp. The best way is actually for the entrepreneurs to form an LLC to take advantage of the tax structure and flexibility, then when you are ready to take VC money, just let them form a C-Corp and acquire your LLC. It is not complicate and don't let any lawyers/accountants tell you otherwise.