LLC by resident alien: Can't run company, who should be running it?

[awannabe]

I am working on H1-B for a US employer, am a Canadian citizen.
That makes me a Resident (not permanent) Alien.
So I can form an LLC or an S-Corp, but I cannot be 'actively' managing it.
I want to start a business that

First: sets up an Internet site to receive orders within US and ship
goods to India from India.
Later: Import goods from India to Virginia for the local US market

I DO intend to continue working for my current H1-B sponsor until at least
my Green Card comes through.
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My questions are related to the above situation:

1. If I cannot be involved in anyway in running the business and given that
the business won't be profitable for 1-2 years, am I required to have a
manager/CEO who is a permanent resident or Citizen to run the company?
And what should the pay for this person be?? Noting that the business won't
be earning anything.
2. Finally, since the LLC needs at least 2 members to receive the same
tax benefits accorded to a corporation, can my spouse (H4-B) be that other
partner? In general in this situation, is an LLC better than the S-Corp?

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[great guru]

z

Originally Posted by awannabe

I am working on H1-B for a US employer, am a Canadian citizen.
That makes me a Resident (not permanent) Alien.
So I can form an LLC or an S-Corp, but I cannot be 'actively' managing it.
I want to start a business that

First: sets up an Internet site to receive orders within US and ship
goods to India from India.
Later: Import goods from India to Virginia for the local US market

I DO intend to continue working for my current H1-B sponsor until at least
my Green Card comes through.
------------

My questions are related to the above situation:

1. If I cannot be involved in anyway in running the business and given that
the business won't be profitable for 1-2 years, am I required to have a
manager/CEO who is a permanent resident or Citizen to run the company?
And what should the pay for this person be?? Noting that the business won't
be earning anything. Do you thing some body will work for you free.?
2. Finally, since the LLC needs at least 2 members to receive the same
tax benefits accorded to a corporation, can my spouse (H4-B) be that other
partner? YES In general in this situation, is an LLC better than the S-Corp? LLC
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