Companies are affiliated when one company is a minority shareholder of another. Two companies may also be affiliated if affiliated canada are controlled by a separate, third party.
In the business world, affiliated companies are often simply called affiliates. The term is sometimes used to refer to companies that are related to each other in some way. For example, Bank of America has many different affiliated companies including Banc of America, US Trust, Landsafe, Balboa, and Merrill Lynch. Companies may be affiliated with one another to get into a new market, to maintain separate brand identities, to raise capital without affecting the parent or other companies, and to save on taxes. In most cases, affiliates are associates or associated companies, which describes an organization whose parent has a minority stake in it. There are several ways companies can become affiliated.