You are right and it&#x27;s also much cheaper to form and maintain an LLC. I think that forming an LLC in Colorado is the cheapest option ~ $250 total costs. That is great if you&#x27;re just bootstraping and don&#x27;t know if the business is going to be successful. BTW, if you&#x27;re not a US citizen + the business is providing services + you&#x27;re the only owner (single member LLC), then there are NO TAX-paying requirements.<p>Also, the business might not succeed, so why waste all that time+money on creating a C Corp, which is even more expensive to dissolve? C Corps also have many more expensive legal requirements.
If the business is successful and you plan on getting VC money, convert it later to a C Corp.