Ask HN: Business bank account for a Delaware Corp

https://news.ycombinator.com/item?id=2438625
by jhubert • 15 years ago
4 5 15 years ago

I can't be the first person who has had to deal with this. :)

My business partner and I have a Delaware registered corporation. It is an internet based business that provides tools for fundraising. We are making money, and it's currently sitting in a Paypal account. We need to setup a bank account to get it out and to get a merchant account. Where and how do we do it?

a) I am in California. I can register as a foreign entity in California and pay the $800 / year filing fee + any business income taxes and then go through HSBC (which seems to have really good virtual banking rates.) California, however, doesn't seem that friendly to corporations and since I have no use for actually doing business in California, this seems like a high price to pay on a margin business.

b) My business partner lives in NYC. We could register there as a foreign entity and pay the $125 / year filing fee + applicable foreign entity fees and annual taxes. Then go through HSBC as well. This seems at least a little more reasonable.

c) ? I don't know. What are the other options? What have other people done? Anyone know of banks in Delaware that would deal with us?

Also, if we are registered as a foreign entity in California and we make money online, can California tax that income even if it's from all over the world?

This seems like such a simple thing, but it's very clearly not. I would love any input or advice the HN community has to offer.

Thanks so much, Jeremy

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