You may have been advised to protect your assets in a holding company separately to your trading company. Alternatively, your business is growing in different sectors and you wish to protect those areas that are successful from those which may have an uncertain future, but of course will succeed. We can assist in setting up a structure that will protect your business going forward and anticipate the ebbs and flows of business.
Often we are asked “how can these big companies have huge losses in one area and profits in another?” it is more likely the case that they all operate under the same umbrella of companies using the same trademarks and other aspects of the business structures under licence from holding companies. The intellectual property such as trade-marks, and real property such as premises etc, are protected in a simple legal entity which does not trade and has no other function but to protect the property for use throughout many other limited companies.
Whilst above we provide a relatively simplistic explanation as to how this is possible, it is also a very complicated area of law, requiring tax planning, structure planning, written contracts and shareholders agreements. Specialist legal advice should be sought to ensure the structure does what you intend it to do.