LLC vs C-Corp: Which Structure is Right for Your Business?
Choosing between an LLC and a C-Corporation depends on your goals, tax strategy, and growth plans. Here’s how they compare.
Get Started NowKey Differences: LLC vs C-Corp
1. Taxation
LLC: Pass-through taxation (profits taxed once at the member level).
C-Corp: Double taxation (corporate and shareholder levels).
2. Ownership
LLC: Owned by members, flexible structure.
C-Corp: Owned by shareholders, ideal for raising capital.
3. Formalities
LLC: Fewer reporting requirements and formalities.
C-Corp: Requires bylaws, board meetings, and minutes.
4. Profit Distribution
LLC: Flexible profit-sharing among members.
C-Corp: Dividends based on share ownership.
5. Ideal For
LLC: Small businesses, solopreneurs, consultants.
C-Corp: Startups seeking outside investment or IPO.
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