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I'm troubled by what the author says about filing in Delaware. The impression I got from reading around (particular in VC blogs) is that the Delaware C Corp is

I'm troubled by what the author says about filing in Delaware. The impression I got from reading around (particular in VC blogs) is that the Delaware C Corp is the preferred entity for investment. Just as importantly, it was suggested that if you file as something else, then becoming a Delaware C Corp can be expensive/complicated. What are the upsides/downsides to filing as a corporation in California then? Are there alternatives such that it's easy to become a Delaware C Corp if the founders so chose? What's wrong with being a California C Corp?

Daniel_Newby 17y ago
The key is to avoid making a screwed-up corporation with its records in disarray. In particular, keep a detailed ledger of of all shareholders and what they own (!) and write bylaws that provide for a merger/stock-swap/sell-out without needing the signature of every shareholder. IP assignments and records are also important. The nightmare scenario to avoid is a missing shareholder or inventor derailing the IPO/sell-out.