My business partner and I incorporated, specifically with an LLC. There was never a question about that. On the other hand, we weren't exactly a startup and we

My business partner and I incorporated, specifically with an LLC. There was never a question about that. On the other hand, we weren't exactly a startup and we were diving into making some money. Our plan had always been from the beginning to spin off other ideas, and incorporate those as the time was right. When putting together the articles of organization and the operating agreement, I remember a big emotional wall. It wasn't just the fees. It was as if, by signing my name and registering the paperwork, I would come out as a different person. We got registered with the IRS, the state (all three agencies), and the city. Looking back, it seems trivially easy. However, if you are not operating and taking in customers, it is a lot of overhead in terms of ongoing paperwork. We're currently working on a (real) startup idea right now, but we don't have plans on spinning it off into its own entity until we at least get a prototype or some revenue going. In working with my biz partner, I have noticed something similar to the dynamic with my girlfriend. All the issues that crop up early in any relationship -- whether professional or romantic -- always repeats itself down the road. It is possible, though exceedingly difficult, to change that dynamic. They usually involve at least one person in the dynamic to become at aware of an uncomfortable truth about himself. Your misgivings about your co-founder (and friend) may point to that. It can end up as a source of a disaster, and left unexamined, you end up with a totally different set of people repeating the same dynamic. It can also be a source of strength; likely, what you find annoying (the hesitation?) may very well also be what's needed to succeed. One last note, according to "The Google Story", the Google founders didn't incorporate until their first angel wrote them a check made out to "Google, Inc." At that point, to cash the check, they had to incorporate. And so ...