It sounds like you want an LLC. The main reason to choose a C Corp is to support equity investment.
With an LLC you literally own a percent of the company, rather than a number of shares (which equates to a percent). This can be bought or sold just like shares. However, you may choose to put restrictions on exactly what circumstances one of you can sell, and to whom, and with what provisions. Often, the other partner gets right-of-first-refusal to buy at the price that you were about to sell it at. This would be fine in your case, since your partner is your target.
LLCs can divest their profits to shareholders at the end of each fiscal year, at which point it is taxed as personal income. With a corporation, this would be considered a dividend. Dividends are "post-income" -- they are paid from profits, not revenue. This means that the money is taxed as corporate profit (15%) before it reaches you. Then you are taxed again as an individual.
Furthermore with a C Corp you pick up a bunch of reporting requirements. For starters, you need a Board of Directors, and you are required to have an Annual Meeting, the minutes of which must be filed with the government.
I'm not sure about financials. My understanding is that as a member of an LLC you are privy to all of that, but you can do a lot with the operating agreement to change defaults, so make sure you have your own counsel if your partner is the one drawing up the docs.