How to Set Up a Company in Mexico

Mexico is a country known for its vibrant culture, beautiful landscapes, and bustling economy. If you are an entrepreneur, freelancer or working remotely and you're thinking of starting a business in Mexico, you'll need to navigate the legal and administrative requirements for setting up a company. Here's a step-by-step guide on how to do it.

Step 1: Choose your business structure

The first step in setting up a company in Mexico is to choose your business structure. You can choose to set up a limited liability company (Sociedad de Responsabilidad Limitada or SRL) or a stock corporation (Sociedad Anónima or SA). Another common structure is the SAPI. The SRL is a popular choice for small and medium-sized businesses, while the SA is suitable for larger enterprises.

Step 2: Choose a company name

Your next step is to choose a company name. The name must be unique and not already in use by another company. You can search for available company names on the Mexican government's online database.

Step 3: Draft your articles of incorporation /BiLaws

Your articles of incorporation are a legal document that outlines the details of your company, such as its name, purpose, capital stock, and management structure. You'll need to have this document drafted by a Mexican lawyer.|

Step 4: Register your company

Once you have your articles of incorporation, you'll need to register your company with the Mexican government. This process involves obtaining a tax identification number (RFC) and registering with the Public Registry of Commerce.

Step 5: Obtain any necessary permits and licenses

Depending on your business activities, you may need to obtain additional permits and licenses from local or federal government agencies. For example, if you plan to sell alcohol, you'll need to obtain a liquor license.

Step 6: Open a business bank account

To operate your business in Mexico, you'll need to open a business bank account. You'll need to provide your tax identification number, articles of incorporation, and other documents to open the account.

Step 7: Hire employees

If you plan to hire employees, you'll need to register with the Mexican Social Security Institute (IMSS) and obtain a taxpayer registration number (CURP) for each employee.

Step 8: Comply with ongoing legal requirements

Once your company is set up, you'll need to comply with ongoing legal requirements, such as filing tax returns and maintaining proper corporate records.

In conclusion, setting up a company in Mexico requires careful planning and attention to legal and administrative requirements. We went through this entire process when setting up CoWorking Tulum as a SAPI de CV in mexico. If you would like support on this process, we have a team that can support you and provide excellent lawyers to assist.