Foreign investors who want to enter the Austrian market can do so by registering a new company or by buying a ready-made company, also known as a shelf company. The ready-made company is registered and kept “on a shelf” until it is sold. Another characteristic of the Austrian shelf company is that it can be kept until it ages, and thus allowing an investor to incorporate a foreign company’s history into it after the purchase. Our Austrian company formation agents can assist foreign investors who want to purchase shelf companies in this country.
Quick Facts | |
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Legal entities available for shelf company | – private limited liability company, – joint stock corporation |
Time required for purchasing the company | A few days |
Types of features it includes (corporate bank account, VAT number, etc) | – trading name, – legal address, – company director, – Articles of Association, – bank account number, – tax number |
The advantages of a shelf company | – easy to purchase, – reduced bureaucracy, – multiple uses, – access to bank loans |
Appointing new directors | Yes |
Capital increase allowed | Yes |
Certificate of no commercial activities | No |
Modify the objects of activity | Yes |
Participants in the purchase procedure | Buyer or representative and seller |
The cost of buying a shelf company | It depends on the age and legal structure of the company. |
The most common types of ready-made companies that can be bought in Austria are the limited liability company and the public company, usually known as stock corporation. Buying an Austrian shelf company means buying its shares, a process which is completed by drafting a sale-purchase agreement which is signed before a public notary. Once the company is bought and the share transfer has been made, the new owner can bring several changes to the company, among which the name, the company address and directors are the most usual.
Foreign investors buying shelf companies prefer this type of company because they reduce the time spent with the company formation process in Austria.
Shelf companies in Austria can be purchased by individuals, entrepreneurs, or other businesses looking to expand their operations or establish a presence in Austria without going through the complex process of incorporating a new company. However, please note that in Austria it is required for a company to have a local director who either holds Austrian citizenship or possesses a valid work permit for Austria.
Additionally, potential buyers should ensure they understand the legal and financial implications of purchasing a shelf company, including any liabilities or obligations that may come with it.
Individuals or entities interested in purchasing a shelf company in Austria can consult our specialists in company formation in Austria for more details.
All Austrian shelf companies have been registered with the Commercial Register, so they will have the Memorandum and Articles of Association drafted. After buying the shelf company, the new owner must amend these documents. Considering these companies also have directors, their replacement must be reported to the Austrian Trade Register. These companies also have dormant accounts. However, once purchased, the shelf company must be registered for VAT.
When purchasing a shelf company in Austria, several preliminary actions should be taken for a successful transaction. Here are some key steps recommended by our specialists in company registration in Austria:
Our specialists ensure that the purchase is conducted according to legal requirements and will help you address any potential legal risks. We can also help you open a company in Austria following the regular incorporation process.
After selecting a suitable shelf company and conducting due diligence, the following steps must be followed to finalize the purchase:
The new owners of the Austrian shelf company may wish to make changes to the new company such as:
If you wish to start a business in Austria, shelf companies can be an interesting and efficient option. Our team offers support in buying a shelf company in Austria.
The main reason to purchase a ready-made company in Austria is the time spent on the registration of a new company. Secondly, one can buy a shelf company in any Austrian city they want. The third important reason to buy a ready-made company is that one will be allowed to apply for loans, if necessary. From a business point of view, creating relations with new partners and clients can be easier through an Austrian shelf company.
Regarding the subject of shelf companies in Austria, here are some statistics about the business environment in the country. These statistics are from the year 2022 and refer to the number of companies, specifically the prevalence of SMEs and the e-commerce market, which are an important part of Austria’s economy:
Please feel free to contact us whether you want to buy a shelf company or to open a company in Austria.