Non-Trading Company
/ˌnɒnˈtreɪdɪŋ ˈkʌmpəni/
Definitions
- (n.) A company incorporated with no business operations or commercial trading activities, often maintained for holding assets or other non-commercial purposes.
The non-trading company held several investment properties but engaged in no active trade.
Forms
- non-trading company
- non-trading companies
Related terms
See also
Commentary
Typically, non-trading companies are subject to specific regulatory and tax considerations; clarity in drafting should distinguish them from dormant companies which are not carrying out significant accounting transactions.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.