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Most startups incorporate as a C-Corp, the same structure used by Apple, Google and pretty much every large company in the United States. A C-Corp is a fully separate legal entity, responsible for paying corporate taxes and issuing annual reports. It must also appoint a board of directors.
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Oct 16, 2023 · A corporation is its own legal entity. You are not responsible for paying personal income taxes on the profits that the corporation makes.
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Incorporation turns a business from a concept to a thing; that thing can be owned, bought, sold, borrowed against, destroyed, etc., like any other property.
When starting your business, it's worth taking the time to think through which legal structure will be best for you and your business.