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Holding Company

By IncNow | Published October 19, 2013

An asset-holding company with a virtual office in the State of Delaware with the intent to create enough contacts to a geographic location to give the state jurisdiction over the assets in Delaware to avoid taxes in other locations where a company is doing business.
2. Sometimes a holding company is merely a reference to a company that holds passive assets, without conducting other business activities. For example this is used often to separate active businesses from passive activities. For example a restaurant that uses a holding company to own the building and a corporation to conduct its going concern activity. This can provide tax and asset protection benefits, to bifurcate ownership in this way.

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When deciding where to form your company, consider that Delaware has advantages over your home state that may benefit you. Go