Stripe Atlas
This is cool, but they should not offer a C corp as the default choice. An LLC should be the default for the <i>vast</i> majority of entrepreneurs. The only reason VC-funded companies are C corps is becaused VC LPs don&#x27;t want to be hit with taxable income (which would flow through the VC to them). An LLC is much better for a variety of reasons:<p>- Flow through taxation = you only get taxed once. With a C corp you pay corporate income tax and then you get taxed on any distribution<p>- If you sell the business, you better hope you have enough leverage to get a stock sale and not an asset sale, because in an asset sale, you&#x27;re again getting majorly double taxed. The vast majority of exits are asset sales though because they shield the purchaser from unknown liabilities<p>- From an LLC, you can easily become a C corp. From a C corp, it&#x27;s majorly difficult (practically infeasible) to become an LLC; you retain optionality in one case but not the other