[codegeek]

"Does it make sense to incorporate up front? "

If you will be taking money from anyone up front, then incorporate up front. If you start as a free service in beta etc, may be you don't need to incorporate right away. But the moment money is involved, things get different. You want to protect yourself personally from liabilities etc.

Personally in my opinion, I would advise doing a corporation and not LLC. One reason is that it is much easier to convert b/w S-Corp to C-Corp if you ever get in the big leagues. The question would then be which one for now ?

I would say call up at least 2-3 lawyers or CPAs and talk to them. There are no one size fits all kind of answer here and even the lawyers/CPAs will give you different answers based on what they think.

My 2 cents and IANAL.