A leather bag company has no fixed assets, no fixed business premises and no fixed personnel, only people or collectives who carry leather bags and engage in social and economic activities, and is often called a leather bag dealer. Later, the term "shell companies" was used to refer to those groups engaged in illegal business and fraudulent activities.
Literally, it is a company with only leather bags, two or three people and seven or eight chapters. In other words, this company has no real registered capital, just an empty shell. Many people think that the leather bag company has an untrustworthy meaning.
After being cheated by such a company, no one can be found in the lawsuit. Even if he finds and wins the lawsuit, he has no money to compensate. This is the way many companies do business when China's market economy just started. The leather bag companies adapted to the psychology that people were eager to get goods under the shortage economy at that time, and then poured out second-hand and third-hand information to profit from it. Because these companies only played the role of bridging the gap between the two sides of the transaction and did not bear any responsibility, the most feared thing for the leather bag companies was to meet the customers at the first two ends of the transaction. Because most of these companies have special backgrounds, they are vividly called "leather bag companies".
Shell companies belong to one category;
Shell companies are also called "shell companies" and ready-made companies. It was originally established as a corporate legal form according to the British Company Law. It is a limited company established by the promoters according to the laws of Hong Kong or Britain, but it has not appointed the first director and no investors have subscribed for shares, so there will be no business, creditor's rights and debts. When the company is needed, investors only need to hand over the directors and shareholders to the company secretary, who will make relevant documents. It usually takes a few hours to finish.
Because it takes time for a company to be registered and established, some people may need to register and establish a company urgently, and then sign a contract or handle other business in the name of the company. Therefore, professional consulting services, such as our company, registered a large number of companies in advance to buy. Such a company is both a shell company and a ready-made company.
How is the company's performance?
Leather bag companies generally have the following performances:
(1) The company has no own property;
(2) Although there is company property, a complete company property record is not kept;
(3) The company has no fixed office space;
(4) There is no substantial difference between the company and its shareholders or between the company and other companies.