Should You Consider Having a Holding Company For Your Business?

Posted by SUISSE BANK on November 28th, 2020

A holding company is one that purchases and owns equity interests in other companies. The latter is then called a subsidiary of the holding company. Typically, the holding company does not engage in producing goods or offering services itself or participate in daily business operations. Rather, it often holds assets of the subsidiary company in lieu of business ownership and control. Many businesses that are planning to diversify or growing at a fast pace often consider having a holding company because it helps streamline operations and mitigate their risks. The purpose of a holding company is to own shares of multiple companies and form a corporate group to channelize tax consolidation advantages and several other benefits. Having a trusted holding company such as SUISSE HOLDING can help grow your business and minimise your risks to some extent that come with diversification and growth.