Today, I’m sharing a fun little insight with you. I’m a visual kinda guy and thought this might help you see things through my eyes! Trust me, I know that can be scary! But you’ll like this one! I’ll be explaining the question: “what is a shell corporation?”
If you’ve ever heard that term shell corporation or wondered what it is, here is what I tell my clients:
See the box. See the tree. See that the tree is in the box? We’re actually helping one of our clients through this exact situation. He bought a business and the business has a name and we’re going to call it the “Box Business”. However, the business he bought is the tree. So the public sees the tree, but he sees the box. So basically the box, or the new business, he bought is a shell for what the public sees.
Some people call it “doing business as” or DBA. If you’ve ever heard “doing business as” or a shell corporation, then that is where an individual has a company which owns another company. The public sees the owned company. See that crazy tree back there. The public sees the tree. They don’t see the box, which is what I work with and what my clients work with is the box. That’s where all the taxes combine to play and I thought that was kind of a cool insight for you. Just a quick impromptu video for you, where you saw some of the team! Make it a great day!