If you want to do business in California (for example because that's were I live) and your business is incorporated in Delaware, you have to "register" the busi

If you want to do business in California (for example because that's were I live) and your business is incorporated in Delaware, you have to "register" the business in California and designate a "registered agent". Plus you have to file & pay taxes in California and then file taxes in Delaware. Any business incorporated outside California is called a Foreign Entity (not kidding). Here's a link for you http://www.sos.ca.gov/business/corp/corp_faq.htm#question8 http://www.sos.ca.gov/business/corp/corp_faq.htm#question8 I agree the whole "corporation friendly" stuff is BS. Don't know abut NYC, but you can form a business in CA just as easily. Go to a web page, press the buttons and a week later you get the legal looking documents. I did this to form an LLC. A final comment. After I had setup my LLC (to do consulting) and I proudly showed up at my accountant's office at year's end, he basically told me I was wasting my time and money. Until you get to $1M is revenue per year lawyers won't go after you (there's no money in it for them). His words, not mine.