Mexican Corporate Law Experts
We at Easy Legal Mexico offer a full range of Mexican corporate law services. This includes setting up Mexican corporations, partnerships, non-profit and charitable organizations and other Mexican legal entities. We can also handle the registration of minutes and minutes book maintenance, board meetings, government filings and permits, as well as any other administrative assistance needed to maintain a Mexican corporation in good standing.
One way to acquire property in México is through a corporation. This structure works better if you are planning to start a business in México but it can also be used to just acquire a property, particularly in the protected zones, within 100km of a national border or within 50 km of the shoreline. Under Mexican law, the corporation is legally what is called a “moral person” (as well as a Mexican person) and is therefore allowed to acquire property anywhere in the country. What you, as the buyer, will own, is stock in the Mexican corporation.
Types of Mexican Corporations
Under Mexican corporate law, there are several different types of Mexican corporations. The most commonly used are the Sociedad Anonima (S.A.) and the Sociedad de Responsabilidad Limitada (S. de R.L. is the equivalent of the American L.L.C.). There are several differences between them but the most important ones are:
- With the S.A., you need to establish a minimum capital of $50,000 pesos, while with the S. de R.L. you can start at one peso (although this not recommend because corporations have to explain to the Mexican IRS where it obtained the money to buy any property it has acquired and that is not an easy thing to do when you only have one peso as social capital) and;
- The S.A. requires an official Comisario, who would have, among other responsibilities, the job of verifying that corporation works properly. This position is usually given to the accountant of the corporation or the attorney of the partners. In reality, this role is simply a legal technicality. In the meantime the S. de R.L. doesn’t have that requirement.
Maintaining a Mexican Corporation
Just as the yearly bank fee that you pay in a trust (fideicomiso), with the corporation you need to make, at least once a year, something called “Minutes of the Meeting,” which in reality is a document summarizing the annual shareholders’ meeting. This is also a simple technicality and the shareholders can appear through a person with Power of Attorney. Changes to the structure of the corporation (such as revoking or granting powers) can be made then.
Requirements to form a Mexican corporation
To form a Mexican corporation you need:
- At least 2 partners, OF ANY NATIONALITY, physical or moral persons (foreign corporations can also be partners in a corporation).
- Of course you will need your ID, or incorporation documents in the case of a foreign corporation.
- Three possible names for the corporations, as each Mexican corporation must have a unique name.
AND THAT’S IT!!
The rest of the information required by Mexican corporate law is pretty standard.
Easy Legal Mexico has the personal expertise necessary to help you make this legal process simple and fast. Just fill out the questionnaire or contact us and we will answer you as soon as possible to help you satisfy your Mexican corporate legal needs.