Buying business

Buying ready-made business (also called shell company) is not traditional way of starting business but it has benefits and as result you will became a businessman or businesswoman anyway.

Before buying a business, you should protect yourself against taking risks that can be avoided.

Benefits of shelf company are:

Time saving. The process of incorporation requires time, faster registration costs more money because of higher state fees. It is faster to change owner of existing company.

Corporate longevity. Some partners or credit institutions may look at registration date before proceeding cooperation. Possible clients will trust older company, which could be used for advertising.

History of your business. Enhances corporation's image with age and increases credibility.

Need in bank loan. It may be easier if you can show your history of being incorporated.

Before do big step “buying business” you should determine main reasons why you don’t want to start business from zero. You can ask yourself and to company which is selling this business:

• What does the business do and what is the history of the business? 
• Why is the business for sale?

Questions about financial and other resources part

• What is the asking price? Can you afford to buy the business? What assets are included in that asking price? Is the asking price supported by the profits of the business?
• Is seller financing available?
• Do you have the interest and experience necessary to make this business successful?
• Is there a positive outlook for this type of business?

Other questions

• What’s the competition like? Make or ak to make analysis about market.
• Do you plan to buy and run the business on your own or with a partner? 

And the final questions are Do you want to buy business? Why?

Knowing the right questions to ask will help you uncover the right information about the business you buy. Baltic Legal strongly believe that you can do the best and it is no matter do you buy business or start it.

Documents to be submitted for SIA liquidation

Why businesses eliminate their SIA?Some of the businesses come to the point where they decide to eliminate their SIA. There can be a plenty of reasons for that.

Liquidation is done out in two stages. The decision of termination and winding-up proceedings is taken by the meeting of shareholders.

The liquidator's duties are performed by the Board of the Company unless the participant has decided to appoint another person as a liquidator. A company may appoint one or more natural persons as liquidators.

Documents to be submitted for SIA liquidation:

• Application Form KR13
• Meeting minutes or decision (signatures must be certified)
• Liquidator's consent to take office (not to be submitted if the current member of the Board becomes a liquidator) (to certify signatures)
• A voucher or a copy of it, or an internet bank payment, or information about payment of the state fee

If an entry in the commercial register for termination is made on the basis of a decision of the State Revenue Service or the Register of Enterprises or if the company ceases on the basis of a court ruling and no interested party has recommended the liquidator candidate to the court, the person interested in liquidation may apply for the appointment of the liquidator . In this case, an application to be submitted, a notarized or a secure electronic signature and time stamp signed by the liquidator's consent to hold a position, as well as a receipt or other information regarding payment of the state fee to the Treasury's account.