When looking for a public shell merger, it is important to start with a clean company. Due diligence on the public shell merger cannot be over emphasized, advice from your securities counsel, auditors, and a financial consultant should be utilized. These public shell merger companies have no predecessor entities, and, as a result, little baggage in the way of a business failure or other skeletons in the closets. At the closing the company issues a substantial majority of its shares and the board control to the shareholders of the private company. The private company shareholders pay for it and contribute their private company shares to the public shell merger company.