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According to that article it seems specifically related to corporations (C or S), but the parent comment advocated for LLCs.
by jzig 8y ago
According to that article it seems specifically related to corporations (C or S), but the parent comment advocated for LLCs.
- vonmoltke 8y agoWhat's the advantage of Delaware if you want to do an LLC?
- edoceo 8y agoDelaware is regarded as business friendly, investors like it (more so than eg:North Dakota). Investors means C-Corp.
- Redoubts 8y agoYou get to pay Delaware tax as well as registered foreign agent fees in your home state.
- vonmoltke 8y agoYou also get to pay your home state tax.
- Digory 8y agoIt’s investor friendly, if you have investors.
- vonmoltke 8y agoIf you are going the LLC route you are basically eschewing investors. Thus, this isn't an advantage.
- Digory 8y agoYes and no. LLCs can carry investors, and Delaware is an advantage to some. LLCs can be publicly traded. The typical LLC has few or no investors (that are not managers or members), and it’s unusual for Delaware LLC law to provide much advantage over any other state in that case. YMMV.
- dragonwriter 8y ago> The typical LLC has few or no investors (that are not managers or members) Members are the LLC analog of stockholders in a corporation; if there were equity investors (passive or not) in an LLC then they would, by definition, be members.
- Digory 8y agoYes, I structured that ambiguously. “...no investors that are not ... members” is true. “Few...investors that are not ... members” is impossible, as you note.