What do you call a company that own/run or invest in different companies?
helplesswonder asked:
Let’s say I started this company, whose main purpose is to invest and/or own other companies. For instance, BG enterprise is the company and let’s say it owns a “main-stream” blog, real estate company, and a flea market, what would BG enterprise be considered as? Could it be considered a venture capital firm, an investment firm, or what? Remember the main purpose of bg enterprise would be to own or invest in other companies..
The Reel Blog
Let’s say I started this company, whose main purpose is to invest and/or own other companies. For instance, BG enterprise is the company and let’s say it owns a “main-stream” blog, real estate company, and a flea market, what would BG enterprise be considered as? Could it be considered a venture capital firm, an investment firm, or what? Remember the main purpose of bg enterprise would be to own or invest in other companies..
The Reel Blog
Venture Capitalists if you just invest.
Holding Company if you own.
investment trust, unit trust, OEIC,ETF, incubator fund
It would be a Holdind or unit trust company.
Holding company
A great example of a company like this is Berkshire Hathaway; they either own or invest in a wide range of companies including Florsheims, Coca Cola, various Newspapers, GEICO, other insurance firms, etc… The main purpose of the company is to purchase (buy entire company) or invest (primarily by buying shares) in undervalued companies.
Berkshire Hathaway is usually described as a “Diversified Company” or ocassionally as a “Conglomerate”.