The Startup Clock Starts When You Incorporate

The official start date for your startup is the date you incorporate the business. This is obviously important for tax purposes, but may also dramatically influence how potential investors, customers, and competitors look at you.

My rule of thumb expectation is that it should take two months to set up the legal entity, six months to finalize the business plan, and by the end of the first year have a prototype product ready for customers. At this point every potential investor will listen. Timelines which vary dramatically from these will be questioned, and need to have good explanations.

By Martin Zwilling

Full Story: http://gust.com/angel-investing/startup-blogs/2012/01/09/the-startup-clock-starts-when-you-incorporate/