A shelf company is a pre-registered company not conducting any business activity. Commonly, it is referred to as an old or dormant firm. Entrepreneurs and investors frequently employ these businesses for a variety of goals. We’ll look at a few advantages of buying a shelf company in Thailand in this article.
Instant accessibility is one of the main benefits of buying a shelf firm. You can acquire a shelf company in Thailand within a couple of days. Whereas, to start a new business the procedure can take several weeks. This is because, in the case of a shelf company, all necessary documentation all already done with. Moreover, the company is already registered. Entrepreneurs planning to be fast to pursue a business opportunity will find this speed and ease to be especially helpful.
However, for your plan to start a new company from scratch, we can help you with Company Registration in Thailand. Additionally, you may also seek our assistance to acquire a shelf company in Thailand.
A shelf company can provide a fledgling company’s legitimacy a boost right away. Compared to a new firm, one that is existing for some time is seen to be more reliable and established. This will help in dealing with potential customers, investors, and lenders. Nonetheless, due to the good history and reputation of the shelf company, they will have trust in the company.
From a shelf company, the owner can explore opportunities that would otherwise not be available to a new business. For instance, contracts and tenders demand that companies have a specific number of years in business or a specific turnover. An existing shelf company holds these experiences, which can also give access to fresh business prospects.
The Board of Investment (BOI) of Thailand provides a great deal of investment opportunities to foreign investors. Additionally, you may also get tax holidays for a minimum of up to 7 years.
If you are planning to get BOI Promotion for your business in Thailand, Contact Us! If you have acquired a shelf company in Thailand, we can judge its eligibility to get the BOI Promotion.
A shelf business can facilitate the opening of a bank account. Banking institutions frequently demand that businesses operate for a specific amount of time before obtaining a business account. With its long history, a shelf company breaks this barrier and speeds up the process of opening a bank account.
However, if you still face issues in opening a corporate bank account in Thailand, Contact Us! We will address your requirements even if you have a shelf company in Thailand.
A new company is more susceptible to legal issues than one that has been in operation for some time. The legal and regulatory business norms in Thailand are very stringent. For instance, a newly established business can encounter legal issues relating to its name, brand, or intellectual property. A business owner can lower these legal risks by buying a shelf company in Thailand. It is because it has already cleared these obstacles and is open for business.
It can be expensive to register a new company in Thailand. But if you buy a shelf company, you will not have to repeat the procedure of founding a new company. Therefore, this will turn out to be an economical process. Registration fees, attorney fees, and other related costs can mount up rapidly. A business owner might save time and money by purchasing a shelf company.
More operational flexibility may be possible with a shelf company. It might be simpler to begin trading right away if the company already has established contacts with suppliers and consumers. Without going through the complete company creation process, the business owner can also change the organization’s name and structure.
A shelf company may make it easier for a business to obtain loans. Financial institutions frequently evaluate a company’s creditworthiness by looking at its history and age. A business owner will readily get credit facilities by buying a shelf company in Thailand. It is because the existing company already has a track record and established credit history.
According to Thai regulations, a company must operate for at least three months before hiring a foreign employee. But, by operating by using an existing company, you can break off this challenge. This is one of the reasons why many foreigners invest in Thai shelf companies. Moreover, foreigners cannot create a Thai Limited Company by themselves. Therefore, some shelf firms may additionally incorporate a nominee shareholder as part of it for a modest cost.
Furthermore, if you need any support to get a Work Permit in Thailand for your company, Contact Us!
The Bottomline
In conclusion, buying a shelf firm can offer several advantages to business owners and entrepreneurs. The benefits of employing a shelf company include instant availability, higher credibility, improved business opportunities, quicker access to bank accounts, fewer legal risks, cost savings, increased flexibility, and easier access to loans. Yet it’s important to keep in mind that buying a company off the shelf won’t take the place of thorough research. Before making any business decisions, it is essential to carry out extensive study and get expert counsel.
Do consult us by emailing us at [email protected], if you are interested in buying a shelf business. For more on the variety of services, we provide to foreigners who want to live and work in Thailand, visit www.konradlegal.com.
