Tessa Bright

Tessa Bright

writer

Articles by Tessa Bright

EIN Letter From IRS: What It Is and How to Get a Copy

EIN Letter From IRS: What It Is and How to Get a Copy

The EIN letter from the IRS is the document that proves your Employer Identification Number was officially assigned. The original is the CP 575 confirmation notice, issued once when the EIN is granted and never reissued; if it is lost, the IRS provides a 147C verification letter instead, which carries the same legal weight. Banks, payment processors and marketplaces accept either document, and non-resident founders who applied by Form SS-4 usually receive the CP 575 by mail or fax rather than instantly online.

Minimum Capital Requirements to Form a Delaware Company

Minimum Capital Requirements to Form a Delaware Company

Delaware imposes no minimum capital requirement to form an LLC or corporation, so a company can legally be formed with $0 in contributed capital. Corporations allocate common stock and may set a par value, or issue no-par-value shares, while LLC members contribute capital that is recorded in the Operating Agreement. The real costs are state filing fees and the annual franchise tax, and deliberately undercapitalizing a company can create liability risk for its owners.

Why You Should Form an LLC: 7 Key Benefits Explained

Why You Should Form an LLC: 7 Key Benefits Explained

Founders form an LLC to separate personal assets from business debts, to be taxed once instead of twice, and to run a company without corporate formalities. There is no US residency requirement, so non-resident owners can hold one entirely from abroad. The structure is the wrong fit if you plan to raise venture capital or issue stock options, and the liability shield fails if you sign personal guarantees or mix personal and company money.