So I've started a digital e-commerce company with a Canadian citizen. I’m currently in the U.S. We are trying to figure out if an LLC or a C/S Corp would be best, in which state, and if doing this in Canada or US is best.
Currently, I’ve read that starting an LLC up in Texas is easiest and does not require a business license. But I’ve also heard Delaware is great for when you’re looking to seek future investors.
Basically, I’m looking at a path to maybe starting the company in Texas as an LLC, then transitioning into an S/C corp and rotating to Delaware. My questions as we are currently 2 partners with just contractors we work with:
Is the idea of setting up shop in Texas and rotating to Delaware a good idea? Is that possible? Would we need to live in Delaware to set up our company there? With my partner being a Canadian citizen, how would he be taxed in either situation? How can he avoid double taxation with Canada & the US? Are there any other questions I should be asking myself?
Some direction would be greatly appreciated. We do intend to speak with a consultant to help but we would like to make sure we know some things before going into this.
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