Having your own business can reap a lot of benefits. In fact, few entrepreneurs started up a business from the scratch in order to call as their own. Whilst, other budding entrepreneurs opt for the easiest venture to make. And that is through buying a shelf company.
Shelf companies, otherwise known as shelf corporations or Aged Corporations, are companies that had no recent activities. These companies are created by an incorporator for entrepreneurs looking to buy an established company. These are buyers who do not want to go through the difficult process of making a company. Instead of creating a business from scratch, they opt to just buy an established company.
Buying a shelf company is easy. But, this also depends in the country interest. There are corporate service providers can look up a list of available shelf companies. With the help of these providers, you will have a connection to the incorporator and fill up the necessary forms.
What are the uses of a shelf company? Will it cost less than starting a new one? Let this blog guide you.
Why Opt For Shelf Companies From Corporate Service Agencies
Are you looking for a shelf company? Or should you buy a shelf company? A shelf company is a company that was pre-registered. It has no assets or liabilities and has never conducted business. Thus, it is registered with the sole purpose of being sold.
The main reason why buying a shelf company is ideal is that it can save you time. Hence, you can start your trading even if you are not the director. So, do you consider shelf company as your startup venture? Get to know its numerous advantages.
Advantages of Using A Preformed Company For Your Business
Saving time and money are primary goals of a company. With that in mind, a shelf company is a great option for business owners looking to expand. Here are some of the advantages of acquiring shelf companies.
Lesser wait time
There are many documents that you have to comply before a company can be registered. The only difference is that starting up a business for shelf companies have already filled out the necessary requirements needed to begin. Therefore, as an entrepreneur, you no longer need to start from scratch. That way, entrepreneurs do not have to wait long to get approved by the government.
Availability in Other Countries
Other countries have different tax systems that may save money for your newly acquired business. So, if you want to expand to a country quickly, purchasing an offshore shelf corporation in a good choice.
The documents needed by the local government are already provided. Interested entrepreneurs can market their product almost immediately. This will give an edge over competitors looking to venture in the same business.
Protection for the Corporation and Reduced Renewal Fees
Limited Liability Companies, or LLC, is a shelf company that acts as protection from entities who want to sue. As a result, only the shelf corporation will be targeted. This is in case a group or an individual decides to prosecute a company for whatever reason. Thus, the investor’s assets are protected.
Additionally, the fees needed to renew and maintain shelf companies are lower than corporations. Business owners can save up for more ambitious projects.
Good Credit Score
New companies do not have good credit history. This makes it difficult for it to get loans from the bank. But, by simply buying shelf companies, established for years, your business can get loans easily. Financial institutions such as banks may have the confidence in offering a loan. But, this chosen shelf company should have no record of debt and has been around for some time.
Expand Your Options and Get a Shelf Company Today
The potential advantages shelf companies offer may boost your business. Find an onshore or offshore aged corporation to fit the needs of the enterprise. Look for a reputable corporate service provider and buy a shelf company today.
What is a Shelf Company?, Tax and Business Advantages with a Shelf Company by Legal Shelf Company