Entrepreneurs choose to start a business in Mexico due to the several benefits that the country holds. The ease of doing business, a strong, stable economy, and legal protection for intellectual property rights are just some of the reasons investors and entrepreneurs choose to enter the Mexican market.
But entering new markets often involves several legal issues, one of them being the formal incorporation of a foreign company. The registration of a new company in Mexico comes with some hurdles so investors and entrepreneurs often choose an alternative which is buying a ready-made company.
What is a ready-made company?
A ready-made company, otherwise known as a shelf company is a finished company already registered in the commercial register. It is often established for the purpose of resale and has not developed a business activity, and therefore can be a convenient option for those foreign investors in Mexico who want to start their business activities as soon as possible.
In order to buy a ready-made company in Mexico, investors and entrepreneurs need to follow a few steps and perform a verification before acquiring the legal entity.
We at Damalion, being international legal advisors, can help investors and entrepreneurs with the purchase of a shelf company and start business activities in Mexico.
The advantages of ready-made companies in Mexico
The biggest advantage of buying a ready-made company in Mexico is quickness. The Mexican company will be yours immediately after you enter into the share transfer agreement. You don’t have to wait for the company to be registered in the Commercial Register, as the company is already registered there.
Another benefit attached to buying a ready-made company in Mexico is that you do not have to deposit the share capital prescribed by law. The capital is paid up by the individual who sells the ready-made company.
Buying a ready-made company can also be the most favorable option for foreigners who want to start a business without unnecessary administration and with significant time savings.
A shelf company with an account also seems an excellent option: it has already been registered, and it has a bank account and an execution history that future clients and partners can see.
If the company has been registered for some time, this may be another advantage as it would have gained credibility.
However, before buying a shelf company in Mexico, conducting due diligence is a must in order to ensure that the company is surely debt-free and has no business history. It is best to let experts do an in-depth legal review. Your Damalion expert can also help in this aspect.
Buying a company in Mexico
Entrepreneurs and investors willing to buy a shelf company in Mexico will find several options when looking to purchase this type of company, with different ages and with varying capital.
In order to buy a ready-made company in Mexico, investors need to follow a few steps and conduct a verification before acquiring the legal entity. This is where your Damalion expert comes in.
Helping with the purchase of a shelf company in Mexico or anywhere else in the world is an area of expertise of ours at Damalion, contact your Damalion expert now to buy your shelf company in Mexico.
