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The single hardest thing about starting a business is that you have to make extremely impactful decisions too early in the game- with too little information.
These are company-defining decisions in a time where your brain is probably focused on building, bootstrapping, or paying the bills, and not necessarily on paperwork- or a legal structure that might not make any difference.
The problem is, though, the legal structure you choose makes a HUGE difference in how your business might operate, how it might grow, how it might be sold, or even in how liable you or your investors are about the mistakes the company might make.
I searched for a simple, plain English video that let startup founders understand the type of structure they needed- and I couldn’t find any.
You can even find hundreds of contradicting opinions online.
So I gave our own legal team a call, and I spoke to legal firms inside and outside the US to understand how these different legal decisions might affect founders in the short and the long term.
So here’s what we’ll go through in this video:
The basics of legal entities.
Understanding which entity works for which kind of business.
The difference between stock and ownership.
Raising rounds of funding with an LLC vs. a C-Corp.
Taxes on each type of entity.
Common state and international exceptions.
Big disclaimer, this video will not touch on other types of entities because that’s not what the title says.
No really, because these are the two most common types of entities, and we don’t want to overcomplicate it.
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About Slidebean
Slidebean is a platform for founders to scale their startups. Our platform offers everything you need to build your startup, your pitch deck, set up your company, and start gaining traction.
Our team of experts can also help you write and design your pitch deck and build the financial model for your startup.
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