
Inc vs. LLC? - markweeks
What are the advantages &#x2F; disadvantages to a C Corp vs a Limited Liability Company?
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jqpabc123
The mere fact that you have to ask this question suggests that an LLC is
probably what you should be looking at.

A C Corp is a fully standalone legal entity, seperate in every way from it's
ownership. An LLC is a seperate entity primarily with regard to legal
liability. Income for example, is still typically taxed as personal income of
the owners.

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brudgers
All "inc's" are not C-corps. Many are S-corps because historically, LLC's were
not an option. Both S-corps and LLC's are pass through entities.

Both corporations and LLC's are fictitious persons. For practical purposes,
contemporary LP's are also fictitious persons because the the general partner
is usually an LLC.

The primary difference with a C-corp is the owners are not taxed on the
increases to the value of their equity until the equity is sold. With S-corp's
and LLC's increases to the value of the business are considered income and are
taxed at the time they occur.

The big difference between an LLC and an S-corp is that an LLC offers much
more flexibility to operate for the benefit of the owners. There are not the
same formal fiduciary obligations binding company officers to act for the
benefit of the fictitious person versus actual persons owning the company.

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jqpabc123
_All "inc's" are not C-corps._

I never said otherwise.

I only addressed C corps because the question posed specifically asked about C
corps --- not S corps.

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kjksf
[https://www.legalzoom.com/articles/difference-between-llc-
an...](https://www.legalzoom.com/articles/difference-between-llc-and-inc)

