Legality of owning 2 companies

[kcolt22]

I am in the process of setting up a new business. A question has come up as to whether I should start 2 instead of one. Company One would collect certain goods (electronics) and then sell them to Company 2. The revenue generated by the sale would be donated to charities (by Company 1). Company 2 would then resell the purchased goods at a higher price. Basically, I don't want the "resale" aspect of the business to be reflected on Company 1. Under one business, I would donate a percentage of the profits and take the rest of the profit for the company.

So, is my idea legal or is there a way to make it legal? Maybe there is an entirely different avenue I can research.

I would appreciate any help that can be provide. Thanks

Kris

 

[HomeGuru]

I am in the process of setting up a new business. A question has come up as to whether I should start 2 instead of one. Company One would collect certain goods (electronics) and then sell them to Company 2. The revenue generated by the sale would be donated to charities (by Company 1). Company 2 would then resell the purchased goods at a higher price. Basically, I don't want the "resale" aspect of the business to be reflected on Company 1. Under one business, I would donate a percentage of the profits and take the rest of the profit for the company.

So, is my idea legal or is there a way to make it legal? Maybe there is an entirely different avenue I can research.

I would appreciate any help that can be provide. Thanks

Kris

**A: post on the Tax Law forum.