Where does an online business operate and where should it be registered?

Discussion in 'Growing and Managing a Business' started by Zunique1, Jan 7, 2012.

  1. Zunique1

    uix_expand uix_collapse
    New Member

    Jan 7, 2012
    Likes Received:
    I am a partner in an online business and reside in the US. My other partner resides in Europe.

    We are a media company and therefore have no physical products.

    My home state has pretty high fees for establishing an LLC. We can't form an S corp due to my partner's non-resident alien status.

    I was looking at incorporating (C Corp) in Nevada (not my home state but I do make business related trips there as does my partner). There is no state corporate tax there and I would have my home state S Corp (that I already own) own my shares in the NV C corp hence realizing the flow-through of an LLC in my home state.

    Am I making this too complicated? Am I acting within the law? What constitutes "operating a business" as opposed to having an independent contractor (myself) in another state or my partner (in another country)? Does it matter where the servers are located?

    Any answers or advice is appreciated.
    #1 Zunique1, Jan 7, 2012
    Last edited: Jan 7, 2012

Share This Page