I founded my software startup earlier this year as an LLC, not knowing that Delaware C Corp is the preferred structure for startups. I am now looking into having one of my parents create it and sign everything through Stripe Atlas, but it seems the most complicated part will be how to relate myself to the company and give myself shares without making the ownership structure too complex and scare off VCs. If anyone has experience with a situation like this, or knows someone that could provide some guidance, it would be much appreciated.
Comments
codingdave•3mo ago
Ask an attorney. IANAL, but based on my knowledge, VCs won't sign contracts with minors. So if your entire goal is about how VCs will see you, you are putting your cart way before the horse.
verdverm•3mo ago
You likely mean a Delaware S Corp. C corps come with a lot of extra overhead, S Corp is taxed like an LLC, has a few of the C benefits, and easily converts if you get funding.
Talk to a lawyer and an accountant, platforms like Atlas are not a substitute for due diligence
theandrewbailey•3mo ago
How much research have you done on Delaware incorporation? Many companies have been moving out of Delaware, and is no longer the business utopia that it once was.
codingdave•3mo ago