| Shelf corporations are companies that have been | | | | existing aged corporation, you simply have to go |
| formed by the incorporator with the sole intent of | | | | through the transferal process which is usually much |
| reselling it to another company or individual. The lives | | | | more simple than the formation process. |
| of these corporations can go back several years or | | | | Another reason to purchase an aged corporation is to |
| several decades. These companies can be | | | | gain access to various business opportunities that are |
| purchased by interested parties and are in high | | | | only available to older companies. Many times, this is |
| demand for various reasons. | | | | specific to a particular corporation. For example, you |
| Respectability and legitimacy is an important | | | | may find an aged corporation with a securities |
| component of any company's image. With a vintage | | | | license. Or you may be interested in doing business |
| shelf corporation, a degree of respectability can be | | | | with a government that requires a business be a |
| purchased. By purchasing a company that is aged, | | | | certain number of years old to bid on contracts. |
| you establish a documented track record of existence | | | | Either way, an aged corporation is a good choice. |
| overnight. Some companies purchase older shelf | | | | Finally, aged corporations are important because they |
| corporations in order to claim they've been doing | | | | open doors to various financing opportunities that might |
| business longer than they actually have. You've | | | | not be available to a startup. As stated earlier, by |
| probably seen this in various marketing where a | | | | purchasing an aged corporation, you inherit it's track |
| company claims to have been "in business since...". | | | | record. Assuming the company is a true shelf |
| Well, many of those companies have not been doing | | | | corporation and hasn't been used, you will have an |
| business that long. By purchasing an aged | | | | advantage at gaining access to corporate credit and |
| corporation, they inherit that company's track record. | | | | investment capital compared to a typical startup |
| There are many other advantages to purchasing a | | | | company. |
| shelf corporation compared to simply forming one on | | | | Purchasing an aged corporation is advantageous to |
| your own. Perhaps the most common reason is to | | | | simply forming a startup company. There are |
| simply save time. If you're running a busy business, | | | | common pitfalls that must be avoided, but the reward |
| you might not want to invest the time and resources | | | | of having an aged company is often worth the |
| into forming a startup corporation. By purchasing an | | | | research, time, and costs involved. |