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Pros and cons of a corporate shareholding structure instead of holding individually.

Pros and cons of a corporate shareholding...

Is there an idiots guide to the advantages / disadvantages of Company B shares being in the name of Company A (as a corporate shareholder) over the more conventional basis where the 2 directors simply take equal shareholdings in the new company?

Company A is a profitable business but it is envisaged that although Company B may initially be loss-making for the first 12 months, it will subsequently become the more profitable activity, possibly by a significant margin.

This is a new area for me and I'd like to do some research before deciding if it's something I'm not able to advise on.


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