Ready made company: What are the benefits of buying a shelf company?

Feb 24

As an alternative to company incorporation, you can also purchase a shelf company or, in other word, a ready-made company. F Trust carries out the required due diligence so as to be certain of past transactions, no liabilities and in good standing order. F Trust can handle the transaction and register any changes of name, purpose or directors on your behalf.

What would be the benefits of purchasing a shelf company?

Time saving – For example when you need a company to close an urgent deal, purchasing a shelf company might be a good solution as the process can be as fast as a day, as opposed to 10 days or more that it can take to incorporate a new one.
Credibility – for example if you have been operating as a sole trader or out of another entity, and now decided to incorporate a company, but you do not want to appear as a newly incorporated company, purchasing a shelf company that has been around for a while may be an advantage.
Longevity - In certain business activities, such as some contract biddings, a company might be required to operate for a certain period of time in order to participate.
Can be cost saving – when setting up a new company, the minimum share capital must be paid in (see Main Steps to Setup a Company in Switzerland) prior to the incorporation. This is usually not the case for ready-made companies as the share capital should be partially or fully paid in since the incorporation. Depending on the purchase price and your business plan, buying a ready-made company can be cost, or at least cash flow-beneficial.

If you are looking for a shelf company, AG or GmbH, feel free to contact us by email mail@ftrust.ch or call us on + 41 44 266 10 60 to book an appointment. F Trust is specialist in company incorporation and administration. We offer a completely free consultation to discuss your needs and find the best solution suited for your future business setup.