What is a shelf company?

A shelf company is a company that is already registered but has never conducted business or traded. Shelf companies are established and ready to be purchased for you to start business immediately; this includes transferring the company’s shares to a nominated purchaser, changing the registered address, changing the current directors and if desired changing the company name. There could be many reasons why you may purchase a shelf company rather than incorporating a new company. These could include:

• 100% Compliant - Shelf companies are registered by our in house legal team. They are stored “on a shelf” to be purchased by a client requiring an aged entity. Abbots provides shelf companies that have no assets or liabilities and have a 100% clean credit history. All shelf companies have ACN certificates, never traded and are ready for you to apply for an ABN/TFN if required.
• Legitimacy – Companies are governed by the Corporations Act, which means they are accountable to ASIC which gives investors, suppliers and customers a sense of confidence. Purchasing an aged shelf company and running your business through it may increase the credibility of your business, and your reputation.
• Enter into Contracts – Depending on your circumstances and jurisdiction, some contracts require that a company be in business for a certain amount of time. A shelf company provides the corporate history that is often viewed to be more attractive to banks, customers, business partners and most important potential clients.

Other questions in Company Registration