Shaz is asked a lot about holding companies and in this episode explains how a property entrepreneur who is involved in multiple projects can benefit from having a holding company
With this structure, it’s possible to move money without paying tax and lowers risk as different projects in different companies means any challenges only impact one company
He also explains how joint venture partners and shares can be effectively utilised across different companies within a holding company structure
KEY TAKEAWAYS
As an individual you can be paying 40% to HMRC with a limited company it can be 19%
If you take the money out personally to transfer it you will have to pay tax on it
With inter-company loans it can become complicated
A holding company can be an uncomplicated solution
All the shares are owned 100% by the shareholder
There is no tax paid when money is moved from the holding company
Dividends can be paid up and down with a holding company
Risk is lowered because you can have different projects in different companies
It gives the ability to have different joint venture partners
You can have alphabet shares with shareholders having different dividends, values and voting rights
BEST MOMENTS
‘It makes it efficient to move money from one company to another’
‘It means the risk can be limited to one company and not affect other projects’
VALUABLE RESOURCES
shaz@aaa-accountants.co.uk
ABOUT THE HOST
Shaz Nawaz is a serial entrepreneur; he owns five thriving businesses in diverse sectors.
Shaz is committed to helping business owners build successful businesses. Having conducted over 3,000 business growth consultation he has helped his clients generate millions in additional profits. His purpose is to inspire business owners to build businesses that are hugely profitable and sustainable.
He is a huge advocate of having multiple streams of income. He has written a number of business books and regularly contributes articles to mainstream media outlets.
You can find Shaz on:
Facebook
YouTube.
