💼LLCs Now a Must for Software Launches, Not an Afterthought
LLCs are no longer optional for launching software
TL;DR
LLCs are now a critical step in launching software, taking up to a week to set up due to legal and financial requirements. This impacts the timeline for launching software, but provides legal protection and financial separation.
LLCs are no longer an afterthought but a real blocker in many cases, taking up to a week to set up after the build phase. This impacts the timeline for launching software, but provides legal protection and financial separation. It takes approximately 4 hours to build a small piece of software, followed by a week-long wait to launch it due to the need to set up an EIN and legal documents to accept payments and separate finances. The IRS offers instant EINs for most people, and Europe has exciting developments in LLC creation, such as EU-INC. An LLC helps separate personal and work finances, allows for the acceptance of payments, and provides legal liability shielding.
Key Points
LLCs take up to a week to set up after the build phase, impacting launch timelines.
It takes approximately 4 hours to build a small piece of software, followed by a week-long wait.
The IRS offers instant EINs for most people, streamlining the process.
EU-INC is a system for creating LLCs in Europe, offering exciting developments.
LLCs cost around $500 per year, plus additional fees in California.
Why It Matters
If you're launching software, the LLC setup process now takes up to a week, impacting your launch timeline. This is crucial for legal protection and financial separation, especially for Stripe Atlas users building out LLCs alongside C-corps. The cost of an LLC is around $500 per year, plus additional fees in California.
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