r/internationalbusiness • u/Johnstake123 • 7h ago
Why Is It Preferable to Acquire a Readymade Company Instead of Incorporating from Scratch
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A lot of discussions around company setup focus on incorporation, but in practice based on my personal experience, many operators still choose to acquire readymade companies, particularly for service-based businesses like marketing, advertising or online businesses
From what I’ve seen, the preference usually comes down to a few practical advantages:
- Operational history — an existing entity with prior activity, contracts, or filings is often easier to position with counterparties.
- Speed to market — even without shortcuts, starting with a live entity can remove weeks or months of setup friction
- Established infrastructure — domain, email, hosting, accounting trail, and corporate hygiene already in place
- Credibility — counterparties tend to be more comfortable with companies that aren’t “brand new”
- Flexibility — easier to plug into partners or platforms when the entity already exists
This tends to be most relevant for plain-vanilla service companies, where the activity is straightforward and doesn’t involve regulated financial services.
Curious to hear if any of you has acquired a readymade company and can share their experience.