using a corp. as a parent company - issues?

eight32eight32 Posts: 4subscriber
edited January 2008 in Business Planning
Hi, this is actually my first post, and I`m excited to jump in here and hopefully be a lot more involved. We are still working out a lot of details, but my husband and I have a number of different business ventures in the works and what we want to do is have one corporation name as the parent company of these other ventures which will each be DBAs out of the corporation with their own names. Does that make sense? Can we have one main business bank account that way? Does anyone have experience with this kind of thing? any advice/knowledge/thoughts you can throw our way would be GREAT!
thanks =)

Comments

  • robertjrobertj Tampa Bay, FloridaPosts: 0subscriber Member
    It is possible to set up a corporation as a parent or holding company.
     
    If these different business ventures are diverse, you may cause some market confusion by trying to funnel all the funds into one bank account.
     
    Also, consider that if all the businesses are operating as dba`s - the corporation will be liable for everything and all of its assets will be subject to that liability.
     
     
  • NuevolutionNuevolution Posts: 30subscriber Bronze Level Member
    eight32,
    Yes it can be done.
    Here is what you need to do. You open your LLC or Corporation and then once you are ready to file for the DBA`s just do so.
    You Can have them set up like this: My XYZ LLC
    1. MY_DBA 1
    2.MY DBA 2
    3. MY DBA 3
    The good thing about getting all the company`s under the Corporation is that "You can open a bank account for each of your DBA (the best way to do it) and then have a General Bank Account for the Corporation.
  • eight32eight32 Posts: 4subscriber
    thank you one and all for your helpful responses! I hate the tax and legalities parts of this... it just doesn`t seem like it should be so complicated, you know =) anyway, we currently have an s-corp and were hoping to simply put a number of DBAs under it... it`s currently just my husband and I, and we wouldn`t plan to have many employees in the future, we just wanted a decent way to keep track of everything without making a bunch of different corporations. well, when I say "a bunch" I really only mean three for now - a graphic design business, a t-shirt company, and an inspirational art company. So they are not completely random, they`re kind of related. does that sound better than originally?
  • infiniqueinfinique Posts: 0subscriber
    It's great to incorporate a holding company for tax issues when you have more than 3 business entities. You'll be amazed how you could maximize your taxation cuts.
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