The C-corporation is the classic business entity. It has a much longer history than the LLC and its tax treatment is well-settled by the IRS. Unlike the LLC, however, the corporate formalities necessary to maintain personal limited liability are much more cumbersome. Bylaws must be adopted, annual meetings of shareholders and directors must be documented, and an accurate stock ledger must be kept. Regardless of these additional procedures, a corporation may be the better fit for your new business. If profits are to be reinvested, employees are to be provided a medical reimbursement plan, or the directors are eyeing the prospect of going public, than a C-corporation may be the better fit. When considering this structure it’s advisable to speak with your accountant to consider all the ramifications of operating as a C-corporation.