Bringing multiple companies under single C corp

[ledman]

I want to bring multiple companies under a single Corporation. The Corporation will handle each individual company’s payroll. We are hoping this merger will benefit each company; particularly in the tax area. The corporation will lease each company’s equipment and buildings. We can also get a break on purchasing employee medical insurance.
Is this a smart move?
Would any particular business formation be more advantageous?
Next step will be actually going to a lawyer and accountant...

Any suggestions would be appreciated.

 

[davew128]

Hire a corporate attorney and a corporate tax accountant yesterday not as the next step. This is NOT a do-it-yourself thing.

 

[LdiJ]

Hire a corporate attorney and a corporate tax accountant yesterday not as the next step. This is NOT a do-it-yourself thing.

I agree wholeheartedly. You should also discuss the pros and cons of both an S corp and a C corp.

 

[tranquility]

I'm getting tingly just thinking about the billing for a consolidated return.

 

[ledman]

I was hoping that I might find a little more insight! For example, hey there is this great book on...I have a client that has done just that and failed miserably, not advised...yes, this would work, make sure to ask about A, B and C. Anything!
I am trying to educate myself a bit, before spending hours sitting down with people.

 

[LdiJ]

I was hoping that I might find a little more insight! For example, hey there is this great book on...I have a client that has done just that and failed miserably, not advised...yes, this would work, make sure to ask about A, B and C. Anything!
I am trying to educate myself a bit, before spending hours sitting down with people.

The problem is that no one can really advise you unless they know fairly deep details of the individual companies and their financial status/shareholders/types of business/management styles etc. etc. etc.

It would be trying to give advice in a vaccumn and none of us are willing to do that.

However, one bit of advice that I will give you is watch out for personalities and management style. If those don't mesh well, you will have problems.