Every state and locality has different regulations for corporations and LLCs. You'll definitely need to contact someone in your locality for that information.

As far as selling, you'll need to look at your situation both ways. If you sell to a large company, you can typically expect one big payout with nothing long-term. If you go on your own, you have the advantage of long-term income and profits--with the added incentive of a "sellout" on the back end at some point down the road.

Play both sides--and you'll be in a better position to determine what will work best for you.

All the best.
Brad Sugars