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Ready-Made Company

Writer's picture: Roger PayRoger Pay

Updated: Jan 21


Ready-Made Company | Bestar
Ready-Made Company | Bestar


Ready-Made Companies in Asia


Ready-made companies, also known as shelf companies, are pre-registered companies that are available for immediate purchase. They offer a faster alternative to traditional company incorporation as they already have a legal and operational structure in place.


Here's a breakdown of ready-made companies in Singapore, Hong Kong, and Malaysia:


Singapore


  • Availability: Readily available for purchase.

  • Benefits: Faster market entry, established corporate history, potential for easier access to financing.

  • Considerations: Thorough due diligence is essential to ensure the company's history is clean and free of any liabilities.

  • Where to find: Reputable company incorporation services in Singapore.


Hong Kong


  • Availability: Available for purchase.

  • Benefits: Similar to Singapore, offers faster market entry and an established corporate structure. Hong Kong's favorable tax environment can also be an advantage.

  • Considerations: Due diligence is crucial to avoid any potential risks associated with the company's past.

  • Where to find: Reputable company incorporation services in Hong Kong.


Malaysia


  • Availability: Available for purchase.

  • Benefits: Can streamline the company setup process, especially for businesses looking to quickly establish a presence in Malaysia.

  • Considerations: Ensure compliance with Malaysian regulations and conduct thorough due diligence.

  • Where to find: Reputable company incorporation services in Malaysia.


Key Considerations When Buying a Ready-Made Company:


  • Age and History: A company with a longer history might be more appealing to banks and investors. However, thorough due diligence is crucial to ensure the company's history is clean.

  • Share Capital: Ensure the share capital of the ready-made company aligns with your business needs.

  • Company Name: If the existing company name doesn't suit your business, you may need to change it, which can involve additional costs and procedures.

  • Compliance: Ensure the ready-made company is in full compliance with all relevant regulations in the respective jurisdiction.

  • Due Diligence: Conduct thorough due diligence to investigate the company's history, financial records, and any potential liabilities.


Here's more information on ready-made companies in Singapore, Hong Kong, and Malaysia:


Advantages of Using a Ready-Made Company:


  • Speed: The most significant advantage. You can acquire a company and start operating immediately, saving you valuable time compared to the traditional incorporation process.

  • Established Track Record: In some cases, an older company might have a more established track record, which can enhance credibility with clients, suppliers, and investors.

  • Potential for Easier Financing: Some lenders may view an established company more favorably for loan applications.


Disadvantages of Using a Ready-Made Company:


  • Due Diligence: Thorough due diligence is crucial. You need to investigate the company's history, financial records, and any potential liabilities. This can be time-consuming and may require professional assistance.

  • Potential for Unknown Issues: Even with due diligence, there's always a slight risk of uncovering unforeseen issues or liabilities associated with the company's past.

  • Cost: While the initial setup costs might be lower, there could be additional costs associated with changing the company name, updating records, and addressing any past issues.


Key Steps in Buying a Ready-Made Company:


  1. Find a Reputable Provider: Choose a reputable company incorporation service with experience in handling ready-made companies.

  2. Conduct Thorough Due Diligence: Investigate the company's history, financial records, and any potential liabilities.

  3. Review and Negotiate the Purchase Agreement: Carefully review the terms and conditions of the purchase agreement and negotiate any necessary changes.

  4. Complete the Transfer of Ownership: Follow the legal procedures to transfer ownership of the company to your name or your designated entity.

  5. Update Company Information: Update the company's registered address, directors, shareholders, and other relevant information with the relevant authorities.

  6. Open a Corporate Bank Account: Open a corporate bank account in the name of the acquired company.


Important Considerations:


  • Regulations: Familiarize yourself with the specific regulations and requirements for ready-made companies in each jurisdiction (Singapore, Hong Kong, Malaysia).

  • Tax Implications: Understand the tax implications of acquiring a ready-made company and ensure compliance with all tax obligations.


How Bestar can Help 


Bestar plays a crucial role in helping with ready-made companies in Singapore, Hong Kong, and Malaysia. Here's how:


1. Due Diligence:


  • Thorough Investigation: Bestar conducts in-depth research into the company's history, financial records, and any potential liabilities. This minimizes the risk of inheriting unforeseen problems.

  • Compliance Checks: We ensure the company is in full compliance with all relevant regulations and legal requirements in the respective jurisdiction.


2. Legal and Regulatory Guidance:


  • Ownership Transfer: We guide you through the legal process of transferring ownership of the company, ensuring all necessary documents are correctly filed and that the transfer complies with legal requirements.

  • Regulatory Compliance: We advise on any necessary changes to comply with current regulations, such as updating company information, appointing directors, and fulfilling any outstanding obligations.


3. Financial and Tax Advice:


  • Financial Review: We analyze the company's financial records to assess its current financial health and identify any potential risks or opportunities.

  • Tax Implications: We advise on the tax implications of acquiring a ready-made company and help you develop strategies to minimize tax liabilities.


4. Post-Acquisition Support:


  • Ongoing Compliance: We provide ongoing support to ensure the company remains in compliance with all relevant laws and regulations.

  • Business Planning: We can assist with developing a business plan for the acquired company, considering its history and potential.


Key Benefits of Bestar's Assistance for Ready-Made Companies:


  • Reduced Risk: Minimize the risk of inheriting liabilities or facing legal issues.

  • Streamlined Process: Simplify the acquisition process and ensure a smooth transition of ownership.

  • Expert Guidance: Benefit from the expertise of Bestar who understands the complexities of ready-made companies.

  • Peace of Mind: Gain confidence knowing that the acquisition process is being handled by Bestar.






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