Selecting the jurisdictional venue for your limited liability company’s formation can seem obvious, but for companies transacting business affairs in more than one state, it is beneficial to analyze each state for the best legal, economic and business climate.

Many think that forming a company in Delaware or Nevada is the best choice because so many interstate companies are based there. But a small business and a large, publicly traded company do not have the same concerns or circumstances.

It may be advantageous for a company doing business in many jurisdictions to incorporate with the state providing the most favorable business environment, but for a company operating in only one jurisdiction, it is almost always best to organize the company in the “home state”.