Foreign investors setting up in Mexico have a few standard vehicles to choose from. The right one depends on how many owners are involved, your plans for capital, and how much administrative simplicity matters to you. Whichever form you pick, incorporation runs through a notary (notario público) and touches several authorities before the company is fully operational.
The main entity types
- Sociedad Anónima de Capital Variable (S.A. de C.V.) — the flexible corporation and the common default, with variable capital that can be adjusted as the business grows.
- Sociedad de Responsabilidad Limitada de C.V. (S. de R.L. de C.V.) — the limited-liability company, often chosen by U.S. investors for its tax treatment in their home jurisdiction.
- Sociedad por Acciones Simplificada (SAS) — a simplified, online-formed vehicle aimed at small businesses with a lighter setup process.
Foreign individuals and foreign companies can generally be shareholders in these entities, subject to the rules on foreign investment and the registrations described below.
The steps
- Obtain a name-use permit from the Secretaría de Economía, reserving the company name.
- Execute the incorporation deed (acta constitutiva) before a notary, setting out the bylaws and the shareholders.
- Complete tax registration (RFC) with the SAT so the company can invoice and meet its tax obligations.
- Record the company in the Public Registry of Commerce (Registro Público de Comercio).
- Where foreign investment is involved, register with the National Registry of Foreign Investments (RNIE).
What foreign investors should plan for
A few practical requirements come up in nearly every cross-border formation. The company needs a Mexican address and a legal representative. Foreign corporate documents typically must be apostilled and accompanied by certified translations. Powers of attorney generally have to be executed and authenticated abroad for use in Mexico, and banking steps follow once the entity exists. A gap somewhere in the authentication chain — a missing apostille, an unsigned translation, a power of attorney that doesn’t cover what’s needed — is the usual cause of delay.
What we handle
For matters in Mexico, we coordinate the full formation through admitted local professionals and manage the apostille, translation, and power-of-attorney work that foreign shareholders need — with one point of contact reporting back to your team at each stage.