Hi, this may be a slightly odd question but a fellow accountant friend asked me this a couple of days ago and I can't seem to find a conclusive answer.
Company A owns 100% of the share capital in Company B.
Company B has a turnover of £250k and releases all of it's profits to Company A as dividends, there are no management charges or any other transactions between the two companies.
Does Company A have to be a director in Company B for Company A to be classes as a holding company? If it does have to be a director does it have to be the sole director?
At present the directors/shareholders of Company A are also the directors of Company B.
Hope that is not too confusing, thank you for any help you can give.