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Fictitious Names

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Nick Brash

Guest
What is the name of your state? VA

I am starting a Corporation that will offer construction management services as well as very technical inpections of tall and/or old buildings. Since these two service are so different I plan to have a parent company that will provide the CM services with a fictitiously named entity that will provide the inspections totally owned by the same officers and employees as the main corporation. But, I have found that I have to register each fictitious name as well as the base corporation with both state and federal agencies seperately. It's important to have different names because each will offer distinctly different services. Will I have to file seperate tax returns for the main corporation as well as the one fictitious name that will be doing these technical inspections and evaluations?

Now the basis for all this is I plan to start the technical inspections while still employed with another firm with their blessing. When things take off in about a year, I can then afford to get the CM services going with the addition of another partner. We plan to perfrom the inspections as well then and we will be on our own and we'd like the inspection portion to seem like a division of the main corporation.

So far, the name of the main corporation is general in nature and the inspection portion has a specific name important to the specialization. I don't relish having to treat both the main corporation and the fictitiously named entity as seperate companies. I'm guessing the simple thing to do is to find a new name for the main corporation and perform both the inspections and CM under that name. I guesss my question is: Is operating a division of a corporation under a fictitious name a pain or should we just stick with one name and forget the whole thing? Will we have to have different insurance policies, workman's comp, etc.?
 


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loku

Guest
I HAVE FOUND THAT I HAVE TO REGISTER EACH FICTITIOUS NAME AS WELL AS THE BASE CORPORATION WITH BOTH STATE AND FEDERAL AGENCIES SEPERATELY. IT'S IMPORTANT TO HAVE DIFFERENT NAMES BECAUSE EACH WILL OFFER DISTINCTLY DIFFERENT SERVICES. WILL I HAVE TO FILE SEPERATE TAX RETURNS FOR THE MAIN CORPORATION AS WELL AS THE ONE FICTITIOUS NAME THAT WILL BE DOING THESE TECHNICAL INSPECTIONS AND EVALUATIONS?

If you simply keep the one corporation and operate separate divisions under different names, then you will only have to file one tax return for the entity. The state and federal governments will treat this as simply a single corporation. There is no legal significance to the fictitious names other than having to file the fictitious name forms.


IS OPERATING A DIVISION OF A CORPORATION UNDER A FICTITIOUS NAME A PAIN OR SHOULD WE JUST STICK WITH ONE NAME AND FORGET THE WHOLE THING? WILL WE HAVE TO HAVE DIFFERENT INSURANCE POLICIES, WORKMAN'S COMP, ETC.?

There is no particular problem with operating divisions under separate names. You should be able to get insurance, etc. the same as if it were under one name.
 

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