---
title: Holding Companies & Subsidiaries
description: Holding Companies & Subsidiaries
---

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1. [Register a Company](https://help.rapidformations.co.uk/register-a-company?hsLang=en-gb)
2. [Company Types & Structures](https://help.rapidformations.co.uk/register-a-company/company-types-structures?hsLang=en-gb)
3. [Specialist & Strategic Structures](https://help.rapidformations.co.uk/register-a-company/company-types-structures?hsLang=en-gb#specialist-strategic-structures)

# Holding Companies & Subsidiaries

## Holding companies own and control one or more subsidiary companies, which operate as separate legal entities while remaining part of the same corporate group

### Holding company

A business structure used to own and control one or more other companies, known as subsidiaries. Instead of carrying out day-to-day trading itself, the holding company typically exists to manage ownership, assets, and overall group structure.

### Subsidiary company

Operates as a separate legal entity but is owned or controlled by the holding company, allowing each business to trade independently while remaining part of the same group.

### How are they formed?

- A holding company is simply a standard company, usually owned by an individual or group of people.
- When forming a subsidiary, the holding company is set up as the shareholder, typically owning more than 50% (often 100%) of the shares.

**💡Best suited for:** Business owners managing multiple companies or assets who want to centralise ownership while keeping legal risk and trading activities separate.

💡**Holding Company Formation:** To incorporate a holding company, simply select any of our [company formation packages](https://www.rapidformations.co.uk/compare-packages/).

**⚠️Subsidiary Company Formation:** Due to compliance complexities, 1st Formations does not assist with the formation of subsidiary companies.

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- [Our Formation Process](https://help.rapidformations.co.uk/register-a-company/our-formation-process?hsLang=en-gb)
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- [Company Types & Structures](https://help.rapidformations.co.uk/register-a-company/company-types-structures?hsLang=en-gb#main-content)

    - [Getting Started](https://help.rapidformations.co.uk/register-a-company/company-types-structures?hsLang=en-gb#getting-started)
    - [Common Business Structures](https://help.rapidformations.co.uk/register-a-company/company-types-structures?hsLang=en-gb#common-business-structures)
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