To the person with multiple inventions

[Spikeroo]

Hello! currently in the process of mass producing my 1st invention after about a dozen sales. I wanted to ask, since I will be working on my second invention after this, how do you organize your inventions under your name? Do you create a single business for each invention? Or 1 business for all? For example I have 1 invention in the Golf niche, lets call it Golf Pro. My second invention is for the Auto Industry, lets call it Auto Pro.

Do you create a single business and put them both underneath? Like Spikeroo Innovations LLC and sell them both under that business, or Auto Pro LLC and Golf Pro LLC and keep them separate?

Thanks!

 

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[BrianLateStart]

I don't have multiple inventions, but I set my business up like I will. I created a generic business like LateStart LLC and then made a DBA for Invention1. Invention1 is owned by LateStart LLC. Amazon shows my legal business as LateStart LLC and my brand as Invention1. I'll create additional DBAs if needed.

I have no idea if this is the proper way. I hope someone will correct me if this was a bad idea. I'm sure there's tax reasons or selling the business in the future where setting up the invention as a DBA might not be the best option. I can probably restructure later if needed.

 

[MJ DeMarco]

@Rearden

 

[OverByte]

FWIW I have an e-commerce business and a software business. My accountant told me that if I plan on selling them at some point separately (and not as a package), it's better (tax wise) to split them early and avoid trying to do it right before a sale (if they were both under some umbrella company). I'm in Canada. I would suggest asking an accountant as soon as you start to get some sales/traction from both products.

 

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[Rearden]

I have multiple inventions on the market and I use a single LLC. But it's situational. SO you need to look at a couple of things like, what's the liability of a single product or the probability of infringement. If those things are high then you want an individual business entity for each product. I have a single entity because I have licensed the IP to different companies in different industries. There was a low probability of infringement and liability with the products.

You dont need different entities but it can help in some situations.

Are you licensing or venturing?

 

[Spikeroo]

I have multiple inventions on the market and I use a single LLC. But it's situational. SO you need to look at a couple of things like, what's the liability of a single product or the probability of infringement. If those things are high then you want an individual business entity for each product. I have a single entity because I have licensed the IP to different companies in different industries. There was a low probability of infringement and liability with the products.

You dont need different entities but it can help in some situations.

Are you licensing or venturing?

Can I message you?

 

[Rearden]

Can I message you?

Of course!

 

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