“Off the shelf companies,” are companies which have already been pre-incorporated and legally registered in Ireland. These companies are much faster to establish compared to incorporating a new one. Usually, such entities would have never traded before, therefore they would be free of liabilities. The upside to Shelf companies is that you are buying a ready-made company, more like picking a product in a supermarket. They serve great convenience for foreign entrepreneurs who want to quickly set up a business in Ireland.
An Irish shelf company should include the following:
- Registered office
- Statutes/ Articles of association
- Incorporation certificate
It’s true that shelf companies have a lot of advantages, however, they also have their own share of disadvantages. We’ll start with the advantages.
Advantages of Shelf Companies
- Shelf companies are very convenient for foreigners who might not want to go through the rigorous and time-consuming company registration process. Since the company is already registered in Ireland, they will only have to draft a new Memorandum and Articles of Association and make with the needed changes.
- A shelf company is a better choice if you intend to apply for financing from an Irish bank.
- It takes a minimum of 10 days to incorporate a new company in Ireland. However, a shelf company is already registered and the process of changing ownership will only take 1-2 days.
- An already established company might present more trust and credibility with suppliers, investors or customers.
- If you are trading as a Partnership or sole trader with an already established company, you are more likely to get tax planning benefits.
- Bidding on certain contracts requires age and if you get a shelf company with the right age you will be able to bid on certain contracts faster.
Disadvantages of shelf companies
- Some shelf companies would require a lot of modifications. If you are incorporating a new company you would set it up exactly as you want it to be.
- A shelf company is more expensive than incorporating a new one.
SIGTAX no longer sell Shelf companies in Ireland due to Anti money laundering legislation, however we could have a new company fully set up within 5 working days.For more details and questions regarding shelf companies, reach out to our specialists. We are ready to answer all your questions and assist in any possible way.
For more details and questions regarding shelf companies, reach out to our specialists. We are ready to answer all your questions and assist in any possible way.