In California, corporations and limited liability companies (LLCs) are the most prevalent business forms. Investors must consider each type of business form carefully because one business form may be an advantage to certain investors but not to others.Due to the location advantage, California is one of the most popular options for both domestic and foreign investors. Investors can choose to establish a corporation or an LLC subsidiary in California.

After successfully registered in California, the Corporation or LLC are required to operate in compliance with the General Corporation Law/Limited Liability Company Act of the State of California. All Corporation and LLCs must have and maintain a Registered Agent, which has a physical street address in California;