Holding Company
A parent company that owns shares in one or more operating subsidiaries rather than trading itself.
A holding (or “topco”) company sits above operating entities, useful for grouping multiple businesses, ring-fencing risk, or structuring international operations and exits. Group structures can also be tax-efficient but add admin and complexity that early startups rarely need.
Examples
A founder creates a holding company to own two product subsidiaries. — A group restructures under a topco before an exit.
How it relates to The Startup Foundry
Most pre-seed startups need a simple single Ltd. The Foundry helps you keep structure clean and investable rather than over-engineered.