Top 5 Reasons To Have A Holding Company: Holding Companies Explained.

[@sandhugo]

Very well explained . No beating around the bushes . Straight to point . Thank you

[@RobTetrault]

Glad you enjoyed the video! Thanks for the comment!

[@oricargo]

Nicely explained!

[@1lllllllll1]

I’m so confused. If the operating co pays the holdco a dividend, doesn’t the holdco account for it as income, and pay taxes on it?

[@HopeProphecy]

How would I pay myself in a structure with a single-member holding LLC (S-Corp) that owns my operating LLC, of which I’m the only owner and employee? How can this be done without piercing the corporate veil and losing asset protection, while still seeing the tax benefits of an S-Corp? Which LLC would handle payroll and how would dividends be distributed? Thanks!

[@RobTetrault]

Interesting question and thanks for watching! These are great conversations that we work with our clients and their tax professionals to develop the best strategy for their situation. It also depends which tax jurisdiction applies to your unique circumstances. I suggest starting with your accountant and/or lawyer as your question may be multi-layered for tax purposes and liability.

[@davidlam3763]

How would you find and determine/confirm the best or type of tax accountant for best results with critical thinking skills and least likely to make mistakes, corporate/business accountant?😍

[@markwright1114]

So if you already have an LLC with property in it, can you start a new holding company at and move the existing LLC into the holding company? Would that be the beneficial?

[@RobTetrault]

Thanks for the question and based on the reference to an LLC, you may be referencing corporations outside Canada. We would recommend checking with your tax and legal professional about what is best for your particular circumstances.

[@chrismanahan4411]

And a Holco haven’t passed a condo with a mortgage in it

[@isaiahj3968]

Is it possible for a holding company to own two entities to avoid conflict of interest between them? For example, a licensed adjuster cannot serve as both the adjuster and roofing contractor on the same project and vice versa. Is it possible to avoid this conflict if the owner of a roofing company set up a holding company that owned both the roofing company and the adjusting firm while still keeping the operations of both entities completely separate?

[@RobTetrault]

Thanks for watching and certainly an interesting question. Based on the complexity, we would encourage you to consult with your legal professional to ensure the ownership structure can accomplish your goals.

[@Colektibols]

hello there and more power to your Channel, My question is. do i just i just create a "holding company separate from my Operating company? and whenever operating company makes money (net) i can just send Cheque send to my Holding company?

[@RobTetrault]

Hello and thank you! Creating a holding company separate from your operating company is a common strategy for various reasons, including liability protection, tax planning, and facilitating investment. When your operating company generates profits, you can indeed transfer those funds to your holding company through methods such as dividends or intercompany loans. However, it's important to consult with legal and financial professionals to ensure compliance with regulations and to optimize your structure for your specific situation and goals. They can provide guidance tailored to your circumstances and jurisdiction to help you make informed decisions.

[@Colektibols]

@@RobTetrault thank you for the quick Reply. when u said transfer Dividends , it mean the holding company will be share holder of my operating company ? Also if there already 3 shareholder in the family operating the business we add the Holding company for total of 4 share Holders? than you so much in advance 🙏🙏🙏

[@lamonteasterjr]

But what if the holding co is a single-member LLC? Doesn’t that mean that you pay tax on profits (on your personal schedule C) regardless where you put it?

[@RobTetrault]

Thanks for watching and it sounds like this relates to tax-filing requirements in the USA. We would recommend checking with a US based tax professional on this.

[@TheRealBlackula]

Yes! UNLESS! Your member is a 501C3 NON-PROFIT! Then there's NO TAX! You're welcome! 🙏

[@chrismanahan4411]

I. Canada