Division (business)

A division of a business, sometimes called a business sector or business unit (segment), is one of the parts into which a business, organization or company is divided.[1] The divisions are distinct parts of that business. If these divisions are all part of the same company, then that company is legally responsible for all of the obligations and debts of the divisions.[2]

In the banking industry, an example would be OneWest Bank and its relationship with CIT Bank. CIT Bank is the retail banking segment of financial services company CIT Group. OneWest Bank, although a separate legal entity, is classified as being a division of CIT Bank.[3] OneWest continues to use its own logo and has a branch of retail banks in Southern California, but for the purposes of running its business and reporting financial results, CIT Group consolidates all OneWest Bank activity into CIT Bank.[4] In addition to its OneWest Bank division, CIT Bank includes an online bank.

See alsoEdit

ReferencesEdit

  1. ^ Longman Business English Dictionary
  2. ^ "Differences Between Wholly Owned Subsidiaries & Divisions". SmallBusiness.Chron. Retrieved 17 March 2019.
  3. ^ "About US". OneWest Bank. Retrieved 17 March 2019.
  4. ^ "CIT Group 2018 10-K". Securities and Exchange Commission. Retrieved 17 March 2019.