Holding Company in Canada: Is It Worth Setting One Up?
A holding company (HoldCo) in Canada is an ordinary corporation used mainly to own shares in another company or to hold investments, rather than to run a business day to day. It can be worthwhile once your operating company (OpCo) produces after-tax cash you will not need personally for several years, but it adds cost […]
How to Invest Inside Your Holding Company
You have cash built up inside your holding company, and you’re ready to invest it and make that money work for you, but where do you start? In this blog, we’ll share the best ways to invest inside your holding company and what to invest in. Let’s start with the basics—what a holding company is […]
The Difference Between an Operating Company, Holding Company, and Family Trust
An operating company runs your active business, a holding company is a separate corporation used mainly to own shares or assets, and a family trust is a legal relationship where trustees hold property for beneficiaries. Most business owners start with just an operating company and add the others only when a specific goal, like investing […]
Should You Own Rental Property in Your Holding Company?
Owning real estate is on the mind of many business owners. A question that comes up often is: should I own my rental property inside my holding company instead of personally? The answer depends mainly on tax, and on your goals. Here is one important thing to understand first: rental income earned inside a holding […]