You can run multiple businesses under one LLC. Register DBAs (”doing business as”) for each business. DBAs allow operating under different names without changing the LLC’s legal name.
If you already have an LLC, DBAs let you expand offerings. LLCs have registration and renewal fees. DBAs just file once.
Liability and Asset Protection
LLCs protect personal assets. If one LLC fails, assets in other LLCs are protected. However, with one LLC, if part fails, the whole LLC takes the hit.
Paperwork and Complications with Multiple LLCs
Multiple LLCs mean more legal and tax paperwork. The more LLCs, the more complex the structure.
Assessing pros and cons of one LLC vs multiple LLCs is wise. Speaking to an attorney about your situation’s details is advisable.
For full liability protection, most advisors recommend separate LLCs for unrelated businesses. However, you can start multiple businesses under one LLC to test ideas before forming multiple entities.
A holding company structure works if trying to spin off the original business. Real estate developers often use this model, with separate LLCs for each property under one holding company.
In conclusion, operating multiple businesses under one LLC offers entrepreneurial versatility. Various approaches suit different needs and goals. Seeking professional tax and legal guidance is key to navigate complexities successfully.
FAQs
Can an LLC have two business names?
Yes, an LLC can have multiple business names registered as DBAs.