If you`re already running a business but want to expand with a new service, a new product line, or enter a completely different industry, you`ve come to the right place. We help you understand not only what you can do, but also how you can best achieve your goals if you run multiple businesses. I want to start an online real estate brokerage business. I am not a licensed broker and intend to hire a licensed broker as only licensed brokers can obtain a real estate agent license from the state. However, anyone who wants to be a partner or officer in brokerage must also be a licensed broker. Is it possible that I could switch from an LLC with two companies, one would be real estate brokerage with the contract broker and a technology company under which I would be the agent? Or do I have two LLCs, one broker and the other tech company, both under a DBA? Or is there another way to do it? Your advice is greatly appreciated! Thank you! Thank you Matt! I think it ultimately makes more sense to have two separate LLCs. It also seems to be the least complicated. I live in Oregon, my partner is in Colorado. I would do a lot of the work, including finances. My partner works more on the marketing side. But also helps with the products. Hello, thank you very much for your time.
My husband founded an LLC with a partner. The partner started running another business within the company. The profits all go to our partner. We didn`t know the second store until we found out that the checks went through the accounts. What can I do to compensate for the losses I have suffered as a result of his mismanagement of our funds? Can he do it legally? I hope I started this quite clearly. Thank you for any suggestions you can give us. The owner of the corporation continues to receive the tax benefits of the LLC (from both companies because they file a tax return under the main LLC) and the benefits of liability protection. I have an LLC that is active, but I am no longer doing business – I am starting a new business and would like to know if I should just start dba under current LLC due to inactivity or form a brand new LLC and make the current LLC inactive and no longer be a corporation? Can you please give me your opinion? The answer is yes – it is possible and allowed to operate multiple companies under a single LLC. Many entrepreneurs who choose to do so use a so-called «fictitious name declaration» or «DBA» (also known as «Doing Business As») to run an additional business under a different name. Can you have a beauty salon and a small shop together under one roof but different areas of the building? or what is needed? Okay, thank you, but you can also have an LLC that runs both a cleaning business and a small store.
But it would be in another part of the beauty salon building? Hi Devin, in a situation like this, I think it`s more important to consider exposure to responsibility. Given that both companies have potential for liability, I think most would prefer to operate each under their own LLC to keep operations isolated. That said, a problem in your lawn care business wouldn`t affect your real estate assets (and vice versa). The amount of taxes paid is the same in 1 LLC or 2 LLC. I hope this helps. The least complicated approach is to use the single LLC structure with database administrators. Accounting under this model is simplified because all DBAs fall under the LLC and you report the income according to the same Schedule C. A DBA allows you to operate multiple businesses under a name other than your own name (in the case of a sole proprietorship) or the registered name of your business. Hi Chrisalyn, yes, there is no limit to the number of business activities an LLC can engage in. If you prefer, you can keep everything under one LLC (as opposed to two LLCs). While operating multiple LLCs has many similarities to the holding approach, the two options differ significantly in one area: tax consequences. If multiple LLCs are organized under a single holding company, it may be possible to file a single consolidated tax return.
Serial LLCs file under the parent LLC at the federal level, thus avoiding each LLC having to file separately. While this can be considered a benefit, each state that allows a serial LLC may have different tax filing rules at the state level, and some require each LLC in the series to be filed separately, resulting in a lot of extra work. Hello. I have an LLC and I offer various services that could be operated under the LLC. There is a different website for each service. For example, there is the coaching page, the advice page and other departments that will be added. Each individual website contains the name of the main company and indicates that it is a subsidiary of the main company. Do I have to make a separate LLC or DBA for this or will I agree to leave things as they are? To make a little more sense, let`s say that the main company is The ABC Group and the websites for the various services offered are ABC Consulting, ABC Distribution and ABC Solutions.
Each website states that we are a subsidiary of the ABC Group. Is it okay to leave things as they are and not worry about creating separate database administrators or LLCs, or would you recommend that I do? Business customers often ask if they can structure multiple companies under a single LLC. In principle, yes. Hi Heather, no, it would be a multi-member LLC. However, it seems that it is more important to both work with the same brand name. What you can do is form your own LLC and both LLCs register the same DBA name. For example, you own Heather Studios LLC and your friend owns Sally Studios LLC. Heather Studios LLC and Sally Studios LLC both record a DBA called Raleigh Yoga Studios. This way, both LLCs can do business under the same name.
For example, if a lawsuit is filed against one of the companies, the assets of the others could be at stake. The result is that you expose yourself to a higher risk of liability. In other words, if one of the parties (companies) within the LLC were to be held liable, the same would apply to the entire LLC. As the old saying goes, «Don`t put all your eggs in one basket.» Thank you very much. How would you choose your NAICS code? Second, since I am a 100% disabled veterinarian, I would have to own 51% of the business in the state of TX, to use the «veteran-owned business, a woman-owned business», I would have to create my own LLC, since my name is not on the company at all, only my husbands as sole proprietor LLC? MATT – Thank you for all the invaluable information you and your team have put in place for small businesses and LLCs. It really helps to clarify a lot of questions. My brother owns two properties in the Pittsburgh area and one in Fort Lauderdale. He and I want to put the properties in a shopping cart and start an import business (Amazon) and be able to deduct the expenses/costs of using the properties for inventory etc.
Is this a viable idea? If so, where can I get more information on how to do it? Thank you and I hope you and your team have a great 2019. Hi Matt! You`re welcome. So you have two LLCs (one for maker/custom work and one for households), but you want them to «work» through the existing website (I guess the website is owned by Maker/Custom Work LLC). If so, it can be done, but it would not be both «operational». And you want to make a deal. This means that «Fire LLC» may pay a service fee to «Maker LLC» to sell its product on Maker LLC`s website. So these are not two companies working under the same umbrella («shield» for the others), but two separate LLCs that work independently and have a contractual agreement so that Maker LLC can sell Fire LLC`s fireplaces on its website. You could also have the site jointly owned by 2 LLC. I`m not sure we`re able to think about and unpack all the pros and cons of different ways of doing it, but hopefully it will help a bit. Thank you for your invaluable help. I want to pass it on to you because I want to make sure the thing is set up correctly (I live in Florida).
Example. Robbie Enterprises, LLC One of my companies is to help small businesses set up business loans and secure business financing (example. Robbie Business Credit & Financing), and the other one I`d like to start later is for RE Investment Properties (example. Robbie Investment Properties).