Corporations and LLCs do share many similarities, however, there are important differences. Some of the most important advantages and disadvantages of an LLC compared to S-corporations and C-corporations follow:
 
Corporations LLCs
Advantages
Profits not subject to Social Security/Medicare Taxes Fewer corporate formalities
Stock holders not liable for corporate debts Personal liability protection
Few taxes on fringe benefits Do not have to hold regular meetings
S Corp avoids double taxation Place membership interests in living trust
  No ownership restrictions
  Use cash method of accounting
  Ability to deduct operating losses
  Tax flexibility – can be treated as “pass through”
Disadvantages
Must hold regular meetings of their boards of directors and shareholders along with keeping written minutes of each of the meetings Profits subject to Social Security/Medicare taxes
S Corp cannot have more than 100 stockholders Salaries/profits subject to unemployment taxes
S Corp must have only one class of stock Fringe benefits treated as taxable income
Accrual method of accounting  
C Corp gets double taxation  
Shares of Stock cannot be held by another corporation or non US citizen.