When a foreign entrepreneur decides to invest in Ireland, he or she can either start a new business or buy a shelf company. A shelf company, also known as a ready-made company, is a legal entity that has been previously formed and is available for immediate purchase.

There are basically two types of shelf companies. They may have different names, but the basic idea is that the first type of shelf company is clean, meaning that no transaction has ever taken place in this business. The other types of shelf companies tend to be older and have long operating histories. While the investor needs to be cautious before acquiring an aging shelf company and do their due diligence to avoid buying a company with debt or other liabilities, there are various advantages and reasons why investors choose a shelf company might decide who is actively operating some time ago.

One of the main reasons investors may prefer acquiring a shelf company to forming a new legal entity is the time difference between the two processes. When starting a new business, an entrepreneur has to go through complex and time-consuming procedures, while a shelf company has already been formed and the company can start operations almost immediately. Generally new shareholders in Ireland can obtain a company number in as little as 24 hours or even on the same day. Another important advantage is the additional credibility with suppliers and customers if a company has been founded for some time and not just recently. Even if you operate as a sole proprietorship or in a partnership with a legal entity formed in the past, there is an opportunity to receive tax planning benefits.

Procedure for acquiring a shelf company in Ireland
If you are buying shares in a shelf company in Ireland you must notify the Companies Register. While the process of transferring shares is similar to starting a new business, it requires significantly less time and documentation, and the business can be used immediately. The new shareholders of the company must submit the consent to the purchase of shares, and if the buyer is a legal entity, an extract from the commercial register is also required. The share purchase agreement must be notarized and the articles of association must reflect any material changes, such as B. the new company name, a different item or activity, a registered address and information about the new shareholders.

In general, buying a shelf company, especially if you are a foreign entrepreneur, is easiest through companies that provide such services. These companies acquire dormant businesses and hold them until someone is ready to buy them. They also start new companies for the same reason, but the main difference is that these shelf companies have never been operational. The process is relatively simple and, if in doubt, professionals are at your side and in a few simple steps you can acquire a ready-made company:

Find a company that offers shelf company takeover services. Conduct due diligence on this company as you must trust them with their research and their ability to provide high quality shelf companies with no liabilities.
Place an order and provide all the information required for the process. An official document must be signed authorizing acting on behalf of the new shareholders. In general, the service fee and shelf company price must be paid prior to processing the documentation.
Your service provider transfers the shares to the new shareholders, changes the directors, secretary and registered address of the company and can also change the company name if necessary.
Some service providers also offer their premises for the registered company address.
Typically, prices vary depending on the service provider and the quality and age of the shelf company.