A ready-made company or a shelf company is a legal entity that has been registered as per the local laws but has yet to commence any business activities.
Investors who buy a shelf company in the Isle of Man benefit from a speedier incorporation process and an important advantage is that they can begin the business activities in less time than they would in case of a newly incorporated company.
The benefits of buying an Isle of Man shelf company
The main benefits of buying a shelf company in the Isle of Man are listed below:
- duly incorporated: The company has been incorporated as per the Island of Man requirements but has not entered into any commercial activities, thus it has been `left on the shelf.
- no bad credit: a shelf company is an incorporated legal entity with no assets and liability and with no bad credit history.
- time-saving: buying a shelf company saves the time needed to incorporate and can offer an even higher degree of anonymity.
- credible: the fact that the company has an older incorporation date can prove to be advantageous for certain business partnerships as it can offer credibility; moreover, an aged company can have better chances of obtaining bank loans and credits, compared to a start-up or newly incorporated company.
Offshore companies for sale in the Isle of Man
The purchase of a used or aged company should not be a procedure performed without a proper company due diligence. This is recommended to all investors in order to avoid unnecessary risks.
The Isle of Man corporate regime is a particular one because of the fact that there are two separate company law regimes: the 1931 Act which is based on a more traditional company law regime and the 2006 Act, based on the models already existing in other offshore jurisdictions, that follows the international business company regime. Regardless of the type of corporate law, investors in the Isle of Man can choose between several forms of companies:
- the company limited by shares;
- the company limited by guarantee;
- the company limited by shares and guarantee;
- unlimited companies;
It is important to note that the incorporation of 2006 Act companies is subject to certain requirements: this is accomplished by a licensed Isle of Man registered agent. There are different requirements, according to the regime after which the company is incorporated. For example, the 2006 Act company is required o have a licensed registered agent while the 1931 Act companies must have a company secretary. These details, along with others concerning the constitutive documents of the companies, are relevant when buying a ready-made company.
The offshore shelf company package
offered by our Isle of Man company registration agents
includes a registered company that has its Certificate of Incorporation, Memorandum, and Articles of Association. Most of the pre-formed companies provided by our team of agents are business entities that follow the 2006 mode. This means that the business structure has one director and one shareholder. An additional service can be requested by those investors who need registered agent services. For many of these ready-made companies, a minimum number of additional steps will be needed for the transfer of ownership once investors decide to acquire an already existing one.
The Isle of Man is a location that offers a number of advantages, including but not limited to a good business climate, complete with top credit rankings, as well as a zero-percent corporate income tax rate for most of the business activities in which businesses typically engage on the Isle. The location is also an important advantage: investors have access to an offshore company regime (because of the zero tax) very close to major EU countries. for customs, excise and VAT purposes, the Isle of Man is considered part of the EU but it is not considered part of the Union for all other taxes. Being able to minimize the overall corporate taxation is an important reason why investors choose to base their company here. Buying a ready-made or shelf company is the quickest process through which investors can get started here.
Investors who are interested in offshore company formation in the Isle of Man
can contact us
for detailed information about company registration, bank account requirements and the advantages of running an international business from this location.