Difference Between Subsidiary & Holding Company

The relationship between a holding company and its subsidiary company is analogous to that of a parent and child. In this article, we will discuss Difference Between Subsidiary & Holding Company, and more related subtopics.

A subsidiary is owned or controlled by a parent corporation, which may or may not be a holding company.

A holding company, on the other hand, is a parent corporation that owns or controls other businesses. An owned subsidiary is one in which the parent company owns the entire company.

If the parent company does not have a controlling interest, defined as less than 51 percent voting interest, the subsidiary is known as an affiliate or associate company.

Holding companies, sometimes known as umbrella corporations, bring together a number of different subsidiaries. It may own a number of assets, including stocks and real estate development, in addition to corporations.

Visit our website for more information: https://ondemandint.com/blog/what-is-a-subsidiary-company/