Re:What better to incorporate a Deleware C-Corp. Clerky or S...
by brudgers on Thursday August 05, 2021 @02:49PM
(#28077885)
Delaware C-corps are not do it yourself. Use your lawyer and your accountant. If you don't have a lawyer and an accountant, then there is a significant probability that a Delaware C-corp is not the right move right now.
In a lot of places, you can make a throw-away LLC with two sheets of paper and less than fifty bucks. Delaware C-corps are not that way.
In the earlier days of HN, "Ask HN: I have an expensive legal issue with my Delaware C-corp" questions were rather common. The lessons were often price of a new BMW expensive just for letting one sit with no activity.
The main reason to form a Delaware C-corp is to take outside investment that requires it. This is typical of Silicon Valley venture capital and much much less typical of any other form of investment and of most investors just about everyplace else.
Or to put it anther way, a Delaware C-corp exists to manage capital. If there isn't enough capital to justify a lawyer and accountant, then there is an impedance mismatch. Good luck.
In a lot of places, you can make a throw-away LLC with two sheets of paper and less than fifty bucks. Delaware C-corps are not that way.
In the earlier days of HN, "Ask HN: I have an expensive legal issue with my Delaware C-corp" questions were rather common. The lessons were often price of a new BMW expensive just for letting one sit with no activity.
The main reason to form a Delaware C-corp is to take outside investment that requires it. This is typical of Silicon Valley venture capital and much much less typical of any other form of investment and of most investors just about everyplace else.
Or to put it anther way, a Delaware C-corp exists to manage capital. If there isn't enough capital to justify a lawyer and accountant, then there is an impedance mismatch. Good luck.