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Nonprofits must record with the IRS to get tax exemption, a different process from registering along with their state. S corps could be a good choice for a new businesses that would likely otherwise be some sort of C corp, although meet the criteria in order to file as a good S corp. Corporations have an advantage when it will come to raising capital because they could raise funds via the sale associated with stock, which may also be some sort of benefit in getting employees.

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