Laurel, MD asked in Business Law and Mergers & Acquisitions for District of Columbia

Q: Should we merge our companies or just change the name?

We have two different companies that basically do the same business. 1 partner is the sole owner of Company A and a 30% owner in company B. He wants to merge Company A into B and do business under Company B. The reason is because Company B is a construction company and we want to use the financials from the past company to prove we have the capacity to preform work. The goal is for Company B to look like a 5 year old company instead of the new 2 months.

thank you very much, if you can answer and help us out we would like to do futher business.

should we merge the companies or simply change company As name.

1 Lawyer Answer
Pawnee A. Davis
Pawnee A. Davis pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
  • Bethesda , MD
  • Licensed in District of Columbia

A: Changing the name would have no effect. So, I would advise you make the businesses one business. You have not said what type of business Company A is. But should they have the same or similar purposes it should be fine. However, I do urge you to consult with an attorney so that he or she can get more details to be certain they are advising you correctly.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.