Many Indian founders get confused: Should I form an LLC or a C-Corp in the U.S.?
Here’s the difference 👇
✨ LLC (Limited Liability Company)
- Flexible structure → good for freelancers, agencies, eCommerce, SaaS.
- Pass-through taxation → profits are taxed only once (at the owner’s level).
- Easy to manage → less paperwork, fewer compliance rules.
- Best for solo founders & small teams.
✨ C-Corp (Corporation)
- Preferred by investors → VCs and Angel Investors usually demand a C-Corp.
- Double taxation → company pays tax on profits + shareholders pay tax on dividends.
- More rules, more filings, but better for large teams.
- Best for startups planning to raise millions in funding.
💡 Simple rule: If you’re bootstrapping, go LLC. If you’re chasing investors, go C-Corp.
Question for the community:👉 If you launch a U.S. business tomorrow, would you go lean with an LLC or aim big with a C-Corp?