Shelf Company or Shelf Corporation is a company established for the purpose of selling to a future owner, who wants to save time with establishing a comprehensive company, or it may be a foreign investor who doesn’t want to go through the whole process of establishing a company. Shelf companies are usually products of law firms. The main advantage for the buyer is the fact that within two or three days he gets a duly incorporated company without having to circulate many offices.
Shelf Company in practice: Shelf companies are used primarily in states where it is difficult or lengthy process of establishing a company. It is used for joint stock companies or other types of capital companies.