Starting a business with a ready-made offshore company in Dubai rather than forming from scratch has certain advantages under UAE law. To take advantage of opportunities not available to freshly incorporated businesses, a company must have been actively trading for at least two years. Obtaining bank loans, collecting all United Arab Emirates tax benefits, and participating in big contracts and tenders from government agencies are all important aspects. It is necessary to show proof of solvency and profitable trade history. Buying the proper current business meets all of these objectives at the same time. Companies on the shelf are excellent building bricks for constructing structures.
A second option for business investors is to purchase an existing firm through the UAE’s offshore company formation process. This article will teach you all you need to know about buying an existing business in the UAE. Let’s take a step back and start from scratch before proceeding with the purchasing procedure.
What is a Ready-Made Offshore Company in UAE?
A ready-made offshore company is designed for investors who want to get their firm up and running right away without having to go through the lengthy registration procedure. In simple terms, we can deduce that existing firms are legitimate business entities that are ready to operate and have already been licensed. The following are some of the characteristics of a well-established offshore company:
- They are already licensed
- They are inactive corporate entities
- They can be updated suitably
- They are simple to use
The founded firms have already been registered with the Companies Registry and have received their Certificate of Incorporation. The traits listed above are advantageous to business owners and investors, encouraging them to take the plunge and purchase a well-established firm in the UAE.
Why Buy an Existing Offshore Company in UAE?
To start a business in the UAE, you must either form a new company or purchase an existing one. Existing businesses, ready-made businesses, and aged businesses are all terms used to describe established businesses. It is a legally registered company that is not in operation. Anyone can obtain it in order to avoid the time-consuming registration or incorporation process. So, if time is a constraint for your business, an existing firm may be the best option.
Importance of Advisor
By teaming up with business specialists to buy an existing business, you can reap the following benefits:
- Experts will assist you in quickly determining the correct inference.
- They are well-suited to the existing firms’ availability.
- Provides you with a variety of options
- Accounting and bookkeeping records are well-managed, and the documentation process is handled with care.
Selecting the Right Company
Choosing the proper firm is critical because there are many different sorts of established businesses to choose from, each with different levels of fitness. It involves risk if the shareholders’ past, bank accounts, debts, and other assets are not properly managed until the current company is given to the business owners. It is important to speak with one of our consultants prior to beginning the selection process. It’s critical to understand the costs, time commitments, and other requirements of managing a successful business. Our professionals can analyze the legal address, fee structure, company bank account, manager’s addresses, and all relevant credentials and permits after you choose an existing firm. After purchase, our review system takes measures to make sure that no current liabilities be transferred to you. We will also equip you with competent support in any matter relating to the acquisition.
Advantages of Buying a Shelf Company in Dubai, UAE
Purchasing an existing business accomplishes the following critical goals:
The advantages of purchasing a company are self-evident. The company you purchase would have a proven track record, clients, and (most likely) knowledgeable employees. You can establish turnover and profit percentages by looking over the books, and potentially find ways to save money or generate more money.
Time and Cost-effective
It saves the time and expense of setting up a company.
Accessibility of Loans and Capitals
Potential borrowers or investors are more inclined to extend a loan or lend to an established business than they are to a newer company. Loan lines, contracts, banking relationships, and investment means would all be available to the organization.
Skipping the Lengthy Processing Period
Holding a ready-made company allows you to participate in small business or real estate agreements as an established team without having to go through the lengthy process of setting up a new company.
Ease of Agreements
Some government bidding processes in the UAE require the company to be operational for a specific amount of time. Owning a ready-made corporation becomes advantageous if a fresh business wishes to compete in such auctions.
Rejuvenating and Reputable
An established company has a documented track record of continuity and activities, enabling it to establish a corporate image. The association members can access and process business visas and company paperwork more quickly if the company has been registered for a longer period of time.
How to Buy an Existing/Ready-Made Offshore Company in UAE?
Businesses on sale are usually advertised on local websites, periodicals, and directories. You will also be alerted about businesses that are coming onto the market and firms that are for sale but are not publicly advertised if you use the services of a business broker or business transfer agent. A reputable agent will have a large number of firms on their books and will be able to help you make the best decision.
This doesn’t require some extra effort as it does not have any real registration process, this can be done within a day or two only. One should take into account the listed below steps while purchasing a current company in the UAE:
- Select a name for the organization
- A corresponding business application needs to be filled out.
- Keep a copy of the Articles of Association (AOA) on hand.
- Submit the required documents to the Business Registry with accurate information.
- Charge an appropriate amount
- Once the transaction is completed, appropriate formation documents will be sent.
- After the paperwork is signed, the Certificate of Incorporation is issued within 2-3 business days.
If you need any assistance simply book a free appointment with us and we will assist you.