US entity comparison
How the three most common structures differ.
| LLC | S-corporation | C-corporation | |
|---|---|---|---|
| Liability protection | Yes | Yes | Yes |
| Tax treatment | Pass-through by default; can elect S or C status | Pass-through, with no entity-level federal income tax | Taxed at the corporate level (21% federal rate); dividends are taxed again |
| Who can own it | Anyone, including non-US owners | US citizens and residents only, up to 100 shareholders | Anyone, any number of shareholders |
| Best for | Small businesses, consultants and foreign founders | Profitable owner-run companies with US-resident owners | Startups raising venture capital and companies planning to scale or sell |
Where to start reading
Our most useful guides for founders and owners.
Forming a US company
Begin with the non-resident LLC guide and the ITIN vs EIN vs SSN comparison.
Staying compliant
Read the Form 5472 guide, the FBAR guide and tax deadlines.
Running your books
See the monthly bookkeeping checklist and QuickBooks vs Xero.
Publication FAQs
How often do you publish?
We add guides as US rules change and as clients ask new questions.
Are guides tax advice?
They are general information. Contact us for advice on your own situation.
Keep reading
Related guides and services you may find useful.
Not sure which structure fits?
Book a free call and we will compare them for your situation.
Book a free consultationChat on WhatsApp