Owning Multiple Small Businesses

Its a question many small business owners who own multiple businesses are asking these days as the various businesses they own or invest in have suffered financially.

Owning multiple small businesses. The companies which are owned by larger companies also have their own legal trading names. A Temptation to Owning and Managing Multiple Businesses. Small business owners should choose one of the following approaches to structuring multiple businesses.

In part one of this series we discussed the various options to incorporate multiple businesses while keeping each business as a separate entity. Another way companies can run multiple businesses at once is if theyre holding companies. A holding company however merely owns stock in the other businesses.

Running all the business activities under one LLC name or registering DBAs doing business as also known as Fictitious Names. Create a Separate Corporation or LLC for Each Venture. Many entrepreneurs own multiple businesses.

Perhaps this principle business does consulting for example. Here in the United States for example Berkshire Hathaway is a famous holding company which wholly owns both Geico the insurance company and Dairy Queen the ice cream and fast food chain along with a number of other companies. A holding company may also be called a parent company or an umbrella company.

If youre a business owner starting a second venture youll need to decide on the best way to legally structure your businesses. While running multiple businesses is not for everyone it can be done. But establishing a holding company might also be the right move for someone who owns several small businesses here in Florida for reasons that you are about to learn.

As a small business owner you may assume the IRS has bigger fish to fry than your small business operations. According to CrunchBase the average successful US. Its not uncommon for entrepreneurs to own multiple businesses throughout their life.