In this method has its advantages, is primarily in the possibility of maintaining the hard control over the founding organization established by the organization. Thus, in contrast to the reorganization procedure that denies the possibility of attracting additional investment, when establishing business entities parent company, while maintaining the necessary controls at the same time can replenish the capital of the subsidiary at the expense of other co-sponsors. The advantage of this method of creating business associations is also less labor-intensiveness of the process of structural change. The decision to establish a business entity, subject to the legal regime established for major transactions and related party transactions can be taken at the Board of Directors. The main advantage of this action – the termination of the old risks. As a result of the formation of the holding by the establishment of the parent company of subsidiaries, all civil law and tax liabilities remain with the parent company. In this case, if tax and other debts is likely treatment by the tax authorities or lenders foreclosure on the property parent company and, above all, for liquid shares (stakes) of subsidiaries.
Less – lack of succession, breaking the link between the old and the new company, as well as between parent and subsidiary, as obligations of the parent company through the establishment of 'daughter' does not become obligations of 'daughter'. In an environment where business volumes are small, there is no long-term contracts to competition or bidding, licenses and permits, major trust loans, this is more than good: short-term obligations can always carry, trade balances sell, renew current contracts. In other cases, it can paralyze business. In this case, part of the business, which is associated with the strategic commitment of, you need to rebuild the other way, which will include a portion of the former company or its assets and commitment to the new group.