The industry standard for US based startups is the Delaware C-Corp.
Tools that make this easy: **[Stripe Atlas](https://stripe.com/atlas)**, **[Firstbase](https://www.firstbase.io/)**, **[Slash](https://www.slash.com/)**, or **[Clerky](https://www.clerky.com/)**.
These tools handle paperwork, tax IDs, and compliance, with step-by-step instructions throughout. ![[Screenshot 2025-08-19 at 20.06.03.png]]
For ease of use and potential scalability as you grow, I recommend **[Stripe Atlas](https://stripe.com/atlas).** If you want something fast and light to get started right away, **[Clerky](https://www.clerky.com/)** is a good option.
If you want to stay lean, an ***LLC*** is a solid option. If you don’t need to raise money or are already profitable, doing so can help avoid double taxation. A 1-person AI-native company could certainly start as an S-Corp/LLC and later [convert to a C-Corp to realize the 10x basis](https://www.cooleygo.com/maximizing-qsbs-for-entrepreneurs/) for the maximum QSBS exclusion up to $750 million.
### Legal Templates
To start, you’ll want:
- [A Founder’s Accord](https://www.mcoblaw.com/founder-accord) — this outlines roles, responsibilities, and equity splits among founding partners.
- [IP Assignment Agreements](https://www.legalzoom.com/templates/t/intellectual-property-assignment-agreement) — this ensures all work done is owned by the company and not individuals.
- **Among Others** — these two incorporation toolkits from [Orrick](https://www.orrick.com/en/tech-studio/forms/Incorporation-Toolkit) and [Cooley](https://www.cooleygo.com/documents/incorporation-package-delaware/) are great starting points. I’d run through every one of these with your co-founders and consult an attorney service like **[ZenBusiness](https://www.zenbusiness.com/)** to review everything you’ve completed.
![[Screenshot 2025-08-19 at 20.07.21.png]]
Otherwise, you can find reliable and reputable templates from [Y-Combinator](https://www.ycombinator.com/documents) or a service like [LegalZoom](https://www.legalzoom.com/), and get started. These won’t be tailored to your specific needs, but if you need a simple, enforceable contract, that’s the cheapest option. It’s essential to get these in place before starting in earnest, but don’t over-lawyer at this stage. Move fast and stay agile.
### Compliance
- **EIN** — An Employer Identification Number from the IRS. This is required for taxes and banking. You can get an [EIN free](https://www.irs.gov/businesses/small-businesses-self-employed/get-an-employer-identification-number) from the IRS in just a few minutes. Stripe Atlas and Clerky both include this as an optional service.
- **Delaware Franchise Tax —** This is a requirement from the State of Delaware. Corporations are required to prepare and file an Annual Franchise Tax Report and pay the Franchise Tax by March 1 of each year. If you register as an LP, LLC, or General Partnership, you do not need to file a report, but you do need to pay the annual tax.
- **Registered Agent —** Required for incorporating in Delaware and Nevada. Atlas, Clerky, and Firstbase all include this as part of their subscription package. LegalZoom also offers this service.
**Tip:** While lawyering up at this stage may seem like an uphill climb and unnecessary expense, it’s wise to run any document templates by a lawyer before you sign off. Investing a few thousand dollars in document review at this stage can save you 10 times the cost when and if you need to convert your incorporation structure down the road.