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I think they're saying they won't be raising, which means being a Delaware C corp is a liability rather than an asset.
by zrail 8y ago
I think they're saying they won't be raising, which means being a Delaware C corp is a liability rather than an asset.
- hugs 8y agoWhy is it a liability?
- iampims 8y agoC corps require more red-tape around day to day actions, and as a result are generally more expensive to operate.
- hugs 8y agoWhat red tape? If it's basic accounting issues, that's true of any business. If it's c-corp specific paperwork, that takes an hour of my time once a year to submit the annual report to Delaware.
- staticautomatic 8y agoThe regulatory stuff is just a pain in the ass compared to an LLC. It's mostly that simple.
- thomasmeeks 8y agoIn a nutshell, it is more complex & expensive to run a c-corp compared to, for example, a LLC. The way taxes are handled is a meaningful part of the issue.
- paulsutter 8y agoCan’t deduct the expenses personally in a C Corp, which is a giant personal hit (you can with an S corp or LLC)