For families with diverse real estate properties and businesses in Ibiza, concentrating ownership under a Holding company structure can be the most efficient long-term strategy.
Tax advantages (Consolidation regime)
A parent company can offset the profits of some subsidiaries with the losses of others. In addition, dividends distributed from subsidiaries to the parent company may be exempt from taxation (double taxation exemption).
Asset protection
Separating properties (in a holding company) from the risk of operating activity (commercial company) is a basic rule of asset protection. Thus, in the face of a commercial setback, family wealth is safeguarded.