The shelf company is always sitting on a shelf waiting for someone to purchase it. You can see it in the name itself. Shelf companies are eagerly waiting for the buyer to come and purchase them. There are a variety of options available today such as buying a shelf corporation with a bank account in Canada. Buying an old shelf company for sale is the best way of acquisition. It’s the best because you don’t have to waste your time by going through the time consumption of sales and purchases. Most people want the process to be quick. It’s the best for them. Thus, solicitors, specialist organization formation services and accountants kept a stock of companies who waited for the ‘shelf’ that was ready for the purchase.
Incorporating a New Company
In the present era, it’s quicker and simpler to incorporate a new organization. It’s also much more efficient and less burdensome to set up an organization with specific features rather than rapidly changing characteristics. For instance, if you set up a new organization, you can select -
- Company name
- Shareholders
- Registered office
- Principal place of business address details
- Number and type of shares issued to each shareholder
- Corporate secretary and director of the company
Purchasing a Shelf Company
Whenever a client purchases a shelf organization, providers of the shelf company might need to make changes in the organization that includes -
- Transferring the shares to the nominal purchaser
- Changing the current directors to new ones that are appointed by the purchaser
- Changing the registered address of the organization as a new address according to the purchaser
- Changing the name of the company as per the purchaser
Shelf companies are registered under the standard constitution. After their purchase, the purchaser needs to make the required changes to the constitution. For many, a major advantage of acquiring a shelf organization is saving time. Purchasing a shelf organization allowed many to
- Acquire business immediately
- Gain quick access to third party equity and corporate debt financing
- Be readily available to enter or bid into contracts quickly
There are a lot of shelf companies for sale in Canada.
New organizations have set up a standard constitution now. It’s difficult to eliminate the tailored constitution as of now. Plus, there are extra dollars charged if you wish to change the setup standards and constitution. Now, it’s less expensive to pay the setup costs as well. Purchasing a shelf company will help you with the finances. The shelf company, as well as the main company, will transfer the costs to you. Isn’t it amazing? That’s also the major reason why the shelf company business is slowing down.
However, it’s always possible to acquire shelf organizations from the shelf company providers that already exist in the market. In many cases, businesses still go for the shelf company providers even when they don’t sell shelf companies.
