How to establish a company for investment in Argentina
Updated: May 31, 2020
Argentina is a country that is constantly economically growing. More and more people decide to do business in Argentina, due to its highly skilled workforce, its cosmopolitan city where the quality of life meets international standards. In addition, Argentina has many fields of investment, which details strong growth and development; its main fields are the agricultural, technological, together with the low cost of human resources.
In order to start a business and be able to set up a company in Argentina, it is necessary to know that there are different types of companies, the most common are the Corporations, the Limited Liability Company and the Simplified Corporation, each one with its own particularities, so it is necessary to see which social type best suits personal interests. At the same time, since as we said each one has its striking peculiarities, this affects the needing of different documents for its constitution, but in general, these are the requirements that the three social types will need.
First, the most appropriate type of company and its company name must be chosen (which will then be checked and approved by the Public Registry of Commerce). For the constitution and for the different procedures that must be carried out, whether it be a merger, change, type of company, etc., the participation and legal advice of a lawyer is necessary. To do this, a Power of Attorney must be drafted and signed, granting rights and obligations to the Lawyer so that he can be part of the company and represent it. On the other hand and a very important one, is the drafting of the statute of the company. It is important because in the first place it is an essential requirement for the constitution of a company and on the other hand, the statute is the that will govern it, is a kind of the law of the company. Therefore, it is necessary to register it in the Public Registry of Commerce together with the signatures of its partners. Along with the statute, other documents are necessary to present at the same entity such as the Professional Opinion (which must have the data of the legal status, record the registered office and the share capital, its term of duration, among other data) and the publication of its registration in the Official Gazette, among other documents. Both issues are required to be done by a professional, so it is important to have the power mentioned above.
Regarding taxes and payments, an incorporation fee must be paid corresponding to the forms and documents necessary for the creation of the company. On the other hand, a deposit must be made at the “Banco de la Nación Argentina” with 25% or more of the subscribed capital detailed in the statute. Lastly, the creation of a CUIT is necessary; in order to be presented to the AFIP so that the company begins to contribute with the taxes established by the Argentine Government, it also will be needed for carrying out other procedures that will require the CUIL mentioned.