Do an S Corp. If you take investment money or get acquired, you can easily convert to C Corp. C corp is required when you receive investments, among other things. LLC will be much more difficult to convert to C Corp.
Incorporate in Deleware (that is standard practice for tech startups btw).
We went with an S-corp and I recommend that as well. We had an attorney work with us. While it was expensive, in the end it was worth it. Good contracts do nothing but protect you and make sure you have an investable company. I think it is worth the expense.
do u mind sharing the name of the attorney - thanks
thanks a lot ... one more thing to know do i really require an attorney for this? or is there any resource where i can do it by myself and save some bucks.
There are websites that will do it. My state even has a website where you can register with a credit card in about 5 minutes. Doing that first step by yourself is fine. I had my lawyer do it and I found out that all they do is have a paralegal go to the website. However if you have more than one founder you'll want to go to an attorney and work up some sort of agreement among the founders. Right of first refusal to sell their share, what happens to a founder's shares if he prematurely meets his demise, what happens to a founder's shares if he gets divorced, etc. There are a whole bunch of these situations to consider and you need to get the answers in an agreement up front.