Absolutely. A Wyoming Statutory Trust is specifically designed to own other business entities, and it is a common practice to have a Wyoming Trust own a Wyoming LLC.
This is often referred to as a “Holding Company Structure,” where the Trust acts as the parent entity (the owner) and the LLC acts as the operational entity (the asset holder).
Why Layer a Trust Over an LLC?
While a Wyoming LLC is strong on its own, placing it under a Wyoming Statutory Trust adds a “secondary shield” that provides several key advantages:
1. Double-Layer Asset Protection
- The LLC Layer: Protects the Trust from liabilities arising inside the business (e.g., a slip-and-fall on a property owned by the LLC).
- The Trust Layer: Protects the LLC interests from liabilities outside the business (e.g., if a trustee or beneficiary is personally sued, the creditor cannot easily seize the LLC membership interest).
2. Anonymous Ownership
Wyoming is famous for privacy. When an LLC is owned by a Statutory Trust:
- The LLC’s “Member” listed in private records is the Trust.
- Because Wyoming does not require trusts to be registered with the Secretary of State, the actual individuals behind the Trust remain entirely invisible to public records.
3. Simplified Succession
If an individual owns an LLC and passes away, the LLC may have to go through probate. If the Statutory Trust owns the LLC, the business continues to operate without interruption. The Trust instrument simply dictates who the new beneficiaries or trustees are, bypassing the court system entirely.
How the Structure Looks
| Level | Entity | Role |
|---|---|---|
| Top Level | Gonen Statutory Trust | The Owner. Holds the membership certificates of the LLC. |
| Bottom Level | Gonen Capital LLC | The Operator. Holds title to real estate, bank accounts, or equipment. |
The “Holding Company” Flow
- Formation: You form the Wyoming Statutory Trust first.
- LLC Setup: You form the Wyoming LLC and list the “Gonen Statutory Trust” as the Sole Member in the Operating Agreement.
- Management: You (or a designated manager) can still manage the day-to-day operations of the LLC, while the Trust maintains the “Ultimate Beneficial Ownership.”
Strategic Note
This is exactly how Financial Center Wyoming™ would likely be structured: The trademark and high-level assets are held by the Trust, while specific high-risk projects (like those in Gonen Capital Corp) are held in separate LLCs owned by that Trust. This “silos” the risk so a problem in one project cannot sink the entire Trust.
Would you like me to draft a sample “Resolution” showing how a Trust authorizes the opening of a subsidiary LLC?