## Company Types

Stripe Atlas offers the flexibility to incorporate your business as either a Delaware C corporation (C corp) or a Delaware Limited Liability Company (LLC). Additionally, you can establish a subsidiary, which is also a C corp. The choice between these entity types depends on your specific business needs and future goals.

### C Corporation

A C corporation is a common choice for startups, particularly those planning to seek institutional investment. Key characteristics include:

*   **Ownership:** Facilitates the granting of equity to employees, advisors, and investors.
*   **Capital:** Preferred by institutional investors who may not be able to invest in LLCs.
*   **Tax Treatment:** Generally allows for the utilization of early startup losses to offset future taxes, subject to certain limitations.

If your company will be a subsidiary of an existing corporation, you will need to issue shares to your parent company post-incorporation. Stripe Atlas provides a standard template for this, which can be customized with legal counsel.

### Limited Liability Company (LLC)

An LLC offers a different structure that may be suitable for certain businesses.

### Tax Implications of Year-End Incorporation

Consider the tax implications if you plan to incorporate near the end of a calendar year.

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**Note:** Stripe Atlas does not provide tax or legal advice. It is recommended to consult with tax and legal professionals for guidance on your specific obligations.