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Thread: Umbrella Company Setup?

  1. #1

    Lightbulb Umbrella Company Setup?

    I am starting a software company and we will make a variety of things such as Mobile Applications as well as some other types of software such as a forum platform. Since out range of services will range a bit, I was thinking of an Umbrella corporation type setup. Basically the individual parts of the company (mobile development, forum software, etc) be their own LLC. Would there be benefits to doing this, or would just sticking together be better?

  2. #2
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    The benefit is that it provides a way to sever liability between different entities, so that a liability issue with one product type would not require you to lose control over the other products. Provided you do everything right that will keep the court from claiming that the LLCs are a sham.

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