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 allow an investor to incorporate a foreign company’s history in it after the purchase.
Our Austrian company formation agents can assist foreign investors who want to purchase shelf companies in this country.
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.
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 with the Austrian Trade Register. These companies also have dormant accounts. However, once purchased, the shelf company must be registered for VAT.
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.
Please feel free to contact us whether you want to buy a shelf company or to open a new company in Austria.