Answer :
Investors will not want Project Repat to be an S Corporation due to its large number of shareholders.
An S corporation refers to a form of corporation that meets the requirements of the Internal Revenue Code. An S Corporation is typically associated with businesses that are large.
Even though double taxation can be avoided, investors would not want Project Repat to be an S Corporation because the maximum amount of stockholders will be one hundred.
Also, the fact that there could be up to one hundred stockholders will result in challenges in decision-making.
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