Company types

Form a C corporation or an LLC using Stripe Atlas.

With Stripe Atlas, you can incorporate a Delaware C corporation (C corp), a Delaware Limited Liability Company (LLC), or a subsidiary (also a C corp). Each entity type is suited to different business needs. This guide outlines what you need to know about each entity.

With Stripe Atlas, you can incorporate a Delaware LLC that is owned by a single founder or a group of founders. Here are a few characteristics that are common to LLCs:

Ownership: Often used by self-funded or small businesses that don’t plan to give equity to employees.
Capital: Common for founders who don’t plan to raise venture capital.
Tax treatment: Profits and losses are passed through to founders by default. This simplifies taxes for LLCs with a single founder in the US. However, if you have multiple founders or a non-US founder, tax filings can become complex.

Tax implications of incorporating near the end of a calendar year

If you plan to incorporate near the end of the calendar year, consider the tax implications. C corps and LLCs operating in Delaware before December 31 are subject to annual tax for that year. Annual tax isn’t prorated. Waiting until January 1 to incorporate could save you a full year of Delaware annual tax.

Your company might also owe federal corporate income tax or taxes in other states and countries. Consult with a tax professional to understand the tax implications of incorporating near the end of a calendar year.

Company types

Form a C corporation or an LLC using Stripe Atlas.

Tax implications of incorporating near the end of a calendar year

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