When it comes down to Shelf Corporations and what they are beneficial for; you will hit several perks along the way. In the financial world, shelf corporations make it easier to obtain credit & loans. Aged Shelf corporations allow you to engage into business, credit, and real estate agreements as an established business without having to go through the long waiting timeframe of establishing a brand new corporation.
Most creditors and business resources are less likely to extend their credit and lend to new or up-start Company. By approaching them as an established corporation or company that’s been in business for some time; that’s the more likely your business will have the chances of more access to major credit lines, banking relationships, corporate leases, and much more.
It’s not a big deal if your existing corporation is less than 6 years old because you will still be able to obtain business corporate credit, but the number of banks that you can apply at will be most likely be limited. If you're thinking about starting a shelf corporation then this may be an option to pay attention to.
Shelf corporations will also offer a large increase in borrowing power as well as enhanced credibility for your company when talking to customers and lenders.
Always remember; the age of the owners does not necessarily have to correspond with the age of the company.
When the works famous H.J. Heinz Company advertises that it was originally established in 1869, it doesn't mean that all of the shareholders are over the age 100 years old lol. It simply means that the business was filed in that year. You can take advantage of similar credibility benefits when advertising to customers with your Shelf Corp.
The age of your shelf corp will always give greater credibility to customers & lenders than a brand new business that was recently established. So, purchasing shelf corps with established credit & existing credit lines wi give the business a big financial boost.
Here are the Top 5 Advantages of a Shelf Corporation
1. Saving time and expense of forming a brand new corporation
2. Instant access to contract and government contract bidding. Most states require that your company be in business for a specified minimum length of time.
3. Instant credibility and an appearance of corporate history.
4. More attractive to potential investors and investment capital.
5. Faster and easier access to banking relationships and lines of credit.
If you currently have a shelf corporation then you can use it to obtain credit card funding. As far as purchasing a shelf corporation, given the current credit crunch, banks want to see more than even being a 6 year old corporation. contact us today to get started at 1-800-998-3452 to find out more information about the shelf corporations that we offer.