A shelf company is a company which has already been set up and registered, however it has never actually done any business. These ‘ready-made’ companies are often kept ‘on the shelf’ to age months or even years. This age comes into play as a major benefit when doing business. Our team of specialists in company formation in Albania can help investors purchase a shelf company. For individuals looking for doing business in the country as soon as possible, this would be the quicker alternative to setting up a business yourself.
This article contains all the important aspects someone should know before buying a shelf company in Albania. People typically opt for shelf companies to gain credibility, skip the lengthy registration process and qualify for contracts or financing that require a longer operational history.
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How to Buy a ready-made company in Albania – Quick guide
A specialized company formation agent will present the ‘portfolio’ containing all shelf companies available. Once a company is selected, the provider will assure the buyer that the company has never traded, has no liabilities, no debts and no contracts. The buyer will be presented all the internal records needed to attest to this.
The company formation agent in Albania will provide the core document of the transaction. This document is an agreement between the current shareholders and the buyer to transfer the shares of the company. There are also documents that need to be prepared by the buyer in order to change the company director and administrator from the current ones.
The name of the company, the business activity code and the registered address can all be changed at this stage. All documents need to be signed and certified by a public notary in Albania. For companies not requiring a physical presence, securing a virtual office in Albania offers a flexible and cost-effective solution for a registered address.
Benefits of Buying a Shelf Company in Albania
There are multiple reasons why someone would choose a ready-made company when considering setting up a company in Albania. One of the best things is that the company is ready for business immediately after being purchased. A shelf company that has been around for months or even years helps the image of the business. It makes it more trustworthy to potential clients, investors and banks. Age comes into play when trying to win contracts with the government and large corporations, as they can sometimes come with the requirement that the company must have been in business for a minimum amount of time.
Purchasing a ready-made company in Albania specifically has another set of advantages, as this country has a favorable business environment. Albania supports 100% foreign ownership, it has competitive tax rates and free access to large markets. The country also offers a resourceful workforce, boasting a well educated young population.
Other Company Formation Solutions in Albania
Besides opening a shelf company, our company formation agents are also specialized in branch offices. A branch is not a separate legal entity, but rather an extension of the foreign parent company. This business form allows it to run commercial activities in Albania under the parent company name and legal responsability.
Businessmen can also opt for a subsidiary. These companies are separate from their parent company, which means they can sign contracts, own assets and are responsible for their debts and other legal obligations.
Buying a shelf company in Albania – Current Economic and Business landscape
To better understand the implications of this purchase, buyers should always be mindful of the political and economic state of the country. Here are some statistics that support the benefits of company incorporation in Albania:
- The corporate tax rate is 15%, significantly less than the EU average (21.5%);
- The corporate tax is 0% for incomes up to 14,000,000 ALL per year;
- Standard VAT rate is 20%, with 10% and 6% applicable for activities;
- The ‘Albania 1 Euro’ scheme is a government policy that offers public assets for lease or concession at the price of only 1€;
- 46 % of the population is under 35 years old;
- 116,994 students are enrolled in Albanian universities.
Choosing a shelf company in Albania can be a strategic move for businesses looking for a quick launch on the market and a high profile for clients and investments. Our company formation agents offer professional consultancy and can help you acquire a shelf company and can assist with anything else the process implies. If you are interested in opening a company in Albania, don’t hesitate to contact us.