In mid-1941, the Royal Armoured Corps in Britain created three tank squadrons for special overseas operations, known as 'A', 'B' and 'C' Special Service Squadrons. Both 'A' and 'B' Squadrons were equipped with Valentine Infantry tanks and Mark VIc light tanks, but 'C' Squadron was equipped with twelve Tetrarchs transferred from the 2nd Armoured Brigade, 1st Armoured Division. On 31 July 1941, 'C' Squadron was officially activated and immediately received orders to prepare for overseas service alongside 'A' and 'B' Squadrons in an unspecified tropical climate. All three squadrons were transported to Inverary in Scotland for intensive training that focused on embarkation and disembarkation from ships and landing craft to prepare them for action in potential amphibious operations. In early September, elements of 'C' Squadron, including six Tetrarchs, formed part of a force which sailed for Freetown in West Africa; during this period of the war there were fears that the Spanish government might enter the conflict on the side of Germany, and the force was readied to capture a number of Spanish islands off the coast of Africa if this occurred. These fears proved groundless, and in March 1942, the unit returned to Britain to join the rest of the squadron in training.