Our specialists in company formation in Brazil can help with opening any type of company here.
| Quick Facts | |
|---|---|
| Foreign ownership permitted | Yes |
| Special requirements when the shareholder is a natural person | Personal information and the requirement to obtain a Brazilian individual taxpayer registration number |
| Special requirements when the shareholder is a legal person | The Articles of Incorporation for the company and other documents. |
| Power of attorney required for company incorporation in Brazil | Yes |
| Conditions for the power of attorney | Must be legalized |
| Incorporation package costs | USD1,800 basic price |
| Incorporation package basic features | Personal tax number application, power of attorney preparation, company name verification, company incorporation documents drafting and filing, etc. |
| Post-incorporation requirements | Registration as corporate taxpayer and registration with the municipality – included in the basic incorporation package. |
| Office rental fee | USD600 for 12 months |
| Bank account opening fee | USD400 |
| Accountant retainer fee after company creation | USD400 |
| Accountant monthly fee | USD100 |
| Legal representative service | Upon request, USD400 per month |
| Tax configuration | Included in the incorporation package |
| Additional assistance post-incorporation | Yes, upon request |
What steps do I have to follow to open a company in Brazil?
A detailed list of the steps is presented below, applicable to those who choose to set up a company in Brazil with our help:
1. Determine if the company will be incorporated by a natural or legal person.
2. Handle the procedures with the Brazilian Embassy (the pre-incorporation phase):
- Prepare and sign the power of attorney (our team can provide you with a draft template);
- Handle the creation of the Brazilian taxpayer ID (can be done at the same time as the step above).
3. Start the company incorporation process. This step is handled by our local team and includes:
- Verifying the chosen company name;
- Preparing the incorporation documents (including but not limited to the company’s articles of association);
- Handle the issuance of the corporate taxpayer registration number;
- Conclude a rental agreement for the company’s registered address;
- Open a bank account for the company. A fee of USD100 is charged as a deposit.
What are the expected costs associated with the Brazilian company formation (Limited Liability Company)?
Our fee for company formation is USD 1,800 and includes the following:
- Brazilian personal taxpayer number application assistance;
- Power of attorney assistance (preparing the document and personalizing it according to the interests of the foreign shareholders);
- Registering the foreign shareholders of a non-Brazilian company (as applicable);
- Chosen company name verification;
- Drafting, preparing and filing the incorporation documents with the Commercial Registry;
- Registering the company as a corporate taxpayer;
- Registration with the municipal authorities;
- Tax configuration for the company;
- Assistance for selecting an address for the company as per personal requirements;
- Our recommendation for accounting services.
In addition to this, you can expect costs within the following ranges:
- USD 360-400 for the accountant (retainer);
- USD 600 for one-year company office rental;
- USD 100 monthly fee for accounting services;
- USD400 for bank account opening (handled as a separate service);
- USD 400 per month when you choose our company representative services.
What types of companies/entities can I open in Brazil?
Local and foreign investors can choose between several types of companies. You can find a shortlist below:
- Limited liability company: this is the preferred business form as investors are separate from the legal entity and the company has simple rules for governance;
- Corporation: this is the public corporation, a business form suited for large corporations where the issues shares can have different classes and can be publicly traded;
- Branches and subsidiaries: these are the two forms under which foreign companies can enter the market; foreign companies that open a branch in Brazil will have a mere extension of the parent foreign company while the subsidiary is a locally registered company;
- Individual company: this is the sole trader, a business form incorporated by a single individual, suitable for certain types of activities.
Each business form has its own particularities and advantages.
What options do I have for setting up a permanent establishment for a foreign company?
Foreign investors in Brazil can register branches or representative offices in Brazil, with suitable help from our consultants who are experienced in company formation in Brazil. In this matter, authorization from the government of Brazil must be obtained once you start drafting the documents for your branch, considering the local rules and regulations.
Do I have to be in Brazil to open a company here?
No, you do not have to be present in Brazil or be a resident in order to open a business here.
Company formation in Brazil can be handled with the help of our team via a power of attorney. This means that you will issue a document that will empower one of our agents to act on your behalf, receive documents, and generally handle all the demands related to company formation.
How long does it take to open a company in Brazil?
Generally, 10 business days, if all the documents are in order (i.e., they are valid and translated accordingly when required, etc.).
For comprehensive information about opening a company in Brazil and the related services in this matter, we invite you to contact our company formation agents in Brazil.