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  1. #1
    Join Date
    Mar 2009

    Default How to Set Up a Holding and Operating Company for Multiple eCommerce Businesses

    My question involves business law in the state of: Idaho

    Right now I operate multiple eCommerce websites under one S-Corp. My thought is to separate each of those websites into their own S-Corp or LLC under one Holding Company. My problem is I would use the same shipping warehouse to store inventory and ship out orders for all my websites. One thought is that I have the holding company own all the inventory and essentially the websites only own the brand/domain and are paid a commission on sales, however I didn't know if this approach would protect the holding company from any liability from customers where it would own the inventory. What would be better? The Holding company owns inventory and pays commissions to website operating companies, or the website operating companies own the inventory and pay the holding company or a separate warehousing/fulfillment fee? I want to take the easiest approach. Would you form the holding company as an LLC or S-Corp?

  2. #2
    Join Date
    Mar 2013

    Default Re: Holding and Operating Company Setup for Multiple Ecommerce Businesses

    Same thing I told you on the other site.

    If it ain't broke, don't fix it.

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