Thursday, May 13, 2010

Do anyone know the steps to creating a subsidiary to a Parent Company?

The previous answer is correct, just set up a new corporation owned by the parent. But you might want to consider how that will influence your tax situation, check with your accountant.





Your state may also allow you to set up an alternate name, a trade name or a DBA that will allow you to do business using a name other then the parent company. However this can expose you to liability issues which a new corporation might be able to protect you from.





The bottom line is consider your decision carefully and talk to your accountant or lawyer so you have a good understanding of possible tax or liability exposure.Do anyone know the steps to creating a subsidiary to a Parent Company?
Just do it. It's not that hard.





Set up a separate corporation that is owned by the Parent company.





Good luck.

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