Online exclusive business with no physical address — Where should I incorporate?

You certainly have raised a number of good questions. Whenever a business is considering choosing an entity, a number of factors are considered. You have quite a bit of flexibility regarding your choice of state or country for establishing your entity. And, you may find that using a Limited Liability Company meets your needs better than establishing a corporation. Your final decision will be based on a number of factors that include (but are not limited to):

1) Your country of citizenship;
2) The other individuals involved in the venture;
3) The amount of money each individual has invested:
4) The amount and type of expertise or work that each individual will contribute:
5) Your financing needs - both short and long term; and,
6) Tax considerations.

Your best bet is to retain an attorney who has considerable expertise in business law, and who has extensive experience in entity selection and start-up issues.

Thank you for your kind response Ms. Shoffner.

I'd like to add additional information to my question:

1) Your country of citizenship: US
2) The other individuals involved in the venture: None
3) The amount of money each individual has invested: None
4) The amount and type of expertise or work that each individual will contribute: It is a one-person company.
5) Your financing needs - Short term: none, Long term: will need to raise capital to expand. I heard venture capitalists prefer corporations to LLCs.
6) Tax considerations. Hong Kong is a tax haven (no corporate tax on foreign income) but I am not comfortable with that since the website targets US audience and servers are in the US.