LLCs may have corporate investors and S-Corps cannot. My first startup was an LL... | Hacker News

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Flemlord on June 6, 2009 | parent | context | favorite | on: S-Corp’s vs. LLC’s

LLCs may have corporate investors and S-Corps cannot. My first startup was an LLC with a Fortune-500 investor. I don't recall the LLC being a big issue with them.

mattrepl on June 6, 2009 [–]

I don't know anything about corporate investors, but the frequently cited problem with LLCs is their ad-hoc structure. For example, there is no requirement to have shares, but such a construct can be defined in the operating agreement and would be needed to have investors.

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