We are putting together the operating agreement for our company, and one of the questions in the worksheet we are going off of is:
Will some Members be holding their interests in holding companies?
I am not sure that I understand the significance of this. Is there any reason why a company would specifically not want to allow this? Are there any implications for the company or the other members if one or more members does hold their interests in holding companies?
In short, why would this question be important to discuss when drafting an operating agreement?