Nevada Corporation and Shelf Corporation – What’s the difference?
September 22, 2009 
2 Comments
I have been thinking of forming a corporation with my current company, and have been doing some research. I was thinking about forming a corporation in Nevada, because of the benefits behind it. But, now i found a company that does "shelf corporations" or "aged shelf corporations" and I was wondering if their is a major difference, and if it is worth the extra money, and also if anyone else has had experience forming a "Nevada corporation"
About a year ago I was in the same situation and did not know where to go from there. I then found a company called Corporate Capital Formation Inc. They were extremely knowledgeable and had this to say on their website. What’s a shelf aged corporation? Wikipedia describes it as- A shelf corporation, also called an aged corporation, is a corporation that has had no activity. It was created and put on the "shelf" to age. This corporation is then later usually sold to someone who would prefer to have an aged corporation rather than a new one. A business entity that is created through a process other than incorporation. They also list some great reasons to incorporate in Nevada.
There are other good reasons to incorporate now, including ease of raising capital, the ability to attract and retain the best employees, using your stock instead of cash to make acquisitions, using corporate and personal income tax rules to your advantage, and allowing the business to continue despite the death or divorce of an owner.
I would highly recommend going with a Nevada corporation and if you have the extra money you really should go with a shelf corporation because of the added benefits.
A Nevada corporation is a corporation formed and registered in the State of Nevada.
A shelf corporation is a corporation that is already formed,, all the paper work and filing is done,, it’s just sitting there on the shelf so to speak,, doing nothing,, making no money,, doing no business,, but still an active corporation as far as the Secretary of State is concerned.
Buying a shelf corp is fast way to get into one,, but not better than doing one yourself.
You can contact the Nevada Secretary of State on the internet and the web site will have all the forms you need,, you can fill them out,, send along with filing fees,, and in no time you will have a Nevada corp. If you don’t live in Nevada you will have to have a resident agent ,, but you can get a list from SOS web site or search online,,
References :
About a year ago I was in the same situation and did not know where to go from there. I then found a company called Corporate Capital Formation Inc. They were extremely knowledgeable and had this to say on their website. What’s a shelf aged corporation? Wikipedia describes it as- A shelf corporation, also called an aged corporation, is a corporation that has had no activity. It was created and put on the "shelf" to age. This corporation is then later usually sold to someone who would prefer to have an aged corporation rather than a new one. A business entity that is created through a process other than incorporation. They also list some great reasons to incorporate in Nevada.
There are other good reasons to incorporate now, including ease of raising capital, the ability to attract and retain the best employees, using your stock instead of cash to make acquisitions, using corporate and personal income tax rules to your advantage, and allowing the business to continue despite the death or divorce of an owner.
I would highly recommend going with a Nevada corporation and if you have the extra money you really should go with a shelf corporation because of the added benefits.
References :
http://nevada-business-corporation.com/why-incorporate-in-nevada.html