Big ideas, big market sizes, and big ambitions
Today, we reach the pinnacle of US incorporation: the C-corporation. C-corps are the most sophisticated of the three corporate structures. They are used by public companies and private companies that hope to grow massively with the help of experienced investors.
A C-corp separates the owners and operators of a business. Ownership is tracked by shares. You can be both an shareholder and an operator, but you have little flexibility in how you pay yourself and manage your taxes.
Most C-corporations are established in Delaware and apply for foreign corporation status in their main state of operation. Anyone from anywhere globally can establish a Delaware corporation. This used to be very expensive, but services like Stripe Atlas have set up turnkey incorporation packages at flat rates. However, you should plan for $10,000 annually in administrative, compliance, and legal costs.
You will have similar administrative requirements to an S-corp: articles of incorporation, bylaws, and a shareholder agreement, plus regular board meetings with recorded minutes and resolutions. However, you can have unlimited shareholders from anywhere and issue multiple classes of stock, like preferred and common or super voting shares.