12 ms·
Seems like big no-no. >The big reason why C corps are preferable is because S corporation shareholders can only be people -- not other businesses, like VC firm
by cloudflare728 10mo ago
Seems like big no-no.
>The big reason why C corps are preferable is because S corporation shareholders can only be people -- not other businesses, like VC firms. (S corps also can't issue preferred stock.) An S corporation can't take venture capital without first reverting back to C corp status. But an S corporation can save a lot of money on taxes
https://news.ycombinator.com/item?id=13784 https://news.ycombinator.com/item?id=13784