NASE Blogs

One Business Or Two?

Dec 04, 2009
Q: I’m a sole individual running a home inspection service and will be getting my license to do appraisals as well. Should I start a new business for the appraisals or operate the two businesses under one name?

A: Since both businesses are related to real estate, and you have an established business, you would not likely benefit from operating under two business identities.

If one of the businesses grows more than the other or if one entity hires employees, you will want to revisit the issue of separating the businesses because of liability. It would also be a good idea to immediately set up the businesses under either a limited liability company or a corporation.