The answer is yes–it is possible and permissible to operate multiple businesses under one LLC. Many entrepreneurs who opt to do this use what is called a “Fictitious Name Statement” or a “DBA” (also known as a “Doing Business As”) to operate an additional business under a different name.
How do I add another business to my LLC?
You can run two or more businesses under one LLC by either:
- running all the business activities under one LLC name, or.
- registering DBAs (“doing business as”), also known as Fictitious Names.
How can I run two businesses under one company?
Three ways to legally structure multiple businesses:
- Single business entity with multiple DBAs. …
- Form separate LLCs or corporations for each business unit. …
- Create a holding company with separate LLCs or corporations beneath it. …
- Each to their own — the importance of considering each client’s unique situation.
Is it better to have multiple businesses under one LLC?
The advantage of an LLC is the limited liability it affords its owners. When you run two separate businesses under two separate LLCs, the assets and income of each individual company is also protected from any liability risk which might affect the other company.
Can you add a business partner to an LLC?
When you want to add a partner to your limited liability company (LLC), you must follow the process outlined by your LLC’s operating agreement or state law. … Current LLC members must then vote on the amendment for it to pass—and most states, as well as many LLC operating agreements, require unanimous approval.
Is an S corp better than an LLC?
If there will be multiple people involved in running the company, an S corp would be better than an LLC since there would be oversight via the board of directors. Also, members can be employees, and an S corp allows the members to receive cash dividends from company profits, which can be a great employee perk.
How many LLC can one person have?
Making multiple LLCs, in fact, is perfectly legal; there is no limit to the number of LLCs one person can register. On the other hand, it’s more paperwork than you might otherwise need to do. Taxes become individual taxes for each LLC, rather than one larger aggregate whole.
Can I be self employed with 2 businesses?
Yes, A Sole Trader Can Have Two Businesses
In fact, it is pretty common for sole traders and the self-employed to have one or more business interests. … But there are tax , national insurance and VAT implications you should be aware of if plan to have two businesses.
Can you have multiple businesses under one ein?
It is not possible to use the same EIN for different Entity types or for businesses that are not related. … With one EIN, if any of the businesses under that number is sued, the assets of all of the businesses are at risk. If you have multiple businesses that are taxed differently, such as a corporation and an LLC.
Can One LLC own another?
As for the legality of ownership, an LLC is allowed to be an owner of another LLC. … LLC members can therefore be individuals or business entities such as corporations or other LLCs. It is also possible to form a single-member LLC whose only owner is another LLC.
Does a DBA need a separate bank account?
You do not need to have separate bank accounts unless you also have separate DBAs. Many banks do not even charge you to have separate bank accounts and doing so can make the accounting and tax process much easier.
Is a dba protected under an LLC?
Once you have formed an LLC, the LLC name is the official, legal name of your business—just as the name on your birth certificate is your official, legal name. … A DBA does not give you any additional liability protection, nor does give you name protection.