Does anyone have any experience with these. It’s something new to me and would like to hear what everyone hear thought about it.
Hi,
A shelf corporation is an entity that was created some period of time prior to offering it for sale! They can be relatively simple as including only a corporate kit and EIN number with some age; all the way to furnishing a shell with a kit, EIN, tax returns, income statements, bank accounts, income and expense statements along with large unsecured lines of credit, ability to get mortgages and diversified compliments of credit cards and vendor accounts. These shelf corporations generally come with a paydex, Dunn & Bradstreet (D&B), Standard & Poors (S&P), Equifax, Client Checker, Experian, or Business Credit USA score which determines like personal credit your ability and track record to pay!
The price of these packages can range from a few thousand dollars to hundreds of thousands of dollars!
However, what they won’t tell you is when the corporations stock is transfered and a new set of officers and directors is placed by resolution the lenders and credit may be terminated because the business (Corporation) is no longer under the same management and may not be capable of managing or paying debts as was done by previous officers and directors!
You have to be extremely careful as you may be better off with a new corporation and building your own credit. Plus you do not want to acquire a corporation which may have outstanding debts or unknown liabilities!
Good luck,
GR
at about 2 yrs you can begin to build corp credit on the corp. most lenders want to see an inc date 2 yrs prior to application for credit. best thing is to start a corp now, and wait 2 yrs till it ages. this will gaurantee you a good chance of building the most relevant credit to get an 80 paydex, which is what most lenders look at to get corp credit.
I did this 3 times and all three times it worked. best to go to creditboards.com (not affiliated!) and read up on building corp credit in the business forums. there is a lot info there.
know that building corp credit however is going to be limited to certain types of accounts. if u r llooking for LOC’s it’s most likely not gonna happen unless u give a personal gaurantee, for which you need good personal credit. always ask before you apply for corp credit to see what the stipulations are.
I have delt with shelf corps with credit
As has been posted it is very much a do your home work !!
You can find places that do have corps any where from 2 to 20 years old and the price with reflect what you get and or want
Shelf Corps are a scam. Go to www.creditboards.com and do some reading. You will find all the seedy details there.
they are not all scams, however several people pushing them are scammers. lets get it correct here.
I have bought 2 shelf corps, and both corps came with Paydex and kit and were about 15+ yrs old. My friend sells them so he gave them to me for $2500 each. He gets a great price out of Colorado for some reason. Within 30 days of transfer I had Office Depot line of $500 (not much but a start) and Dell Computers (25K buying line and $50K lease line). I have used all lines. This will start the process of reporting to Equifax credit which is what the majority of the banking institutes use now. Very few are using D&B like before since they are easy to manipulate on their website.
Even Dell stopped using D&B which has create a road block for my friend on what he was doing. One corp which we had longer is getting on its way with other lines as well and bank accounts with Chase. So far I have not tied my personal credit to the corps and plan not to. Not in a hurry to build as lending is so tight now any way.