If I have 2 businesses under the same name, can I form an umbrella LLC for both?
Question Details: I operate an entertainment company through the name Bare Pines, which is currently registered under my dad's name as a DBA. I have an independent contracted distributing opportunity that I'd like to take advantage of under the name Bare Pines. Can my dad and I form Bare Pines LLC to cover both Bare Pines Entertainment and Bare Pines Distributing, so that we can operate both?
Yes, an LLC can have multiple businesses operating under it. You can:
1) have a parent LLC which then owns two (or more) different LLCs (e.g. "Bare Pines, LLC" owns "Bare Pines Entertainment, LLC" and "Bare Pines Distributing, LLC"); or
2) Have a single LLC which operates under two or more different names ("Bare Pines, LLC" which is "d/b/a Bare Pines Entertainment" and also "d/b/a Bare Pines Distributing").
Either is perfectly legal, and there are pros and cons to either set up:
a) Parent plus subsidiary LLCs: you can protect each business from any debts, obligations, or lawsuits against the other; may also be easier to keep the accounting 100% separate and distinct, to make tracking profit, losses, etc. easier.
b) One LLC d/b/a different names: you can more easily shift money and assets from one operation to another.