If you’re looking to start a business in Argentina, you’ve got three main paths to choose from:
1 ) Build something new by creating your own company from scratch
2 ) Buy shares in a company that’s already operating here
3 ) Set up a local branch or subsidiary of your existing company
For step-by-step guidance, refer to this detailed work plan for tourism companies seeking to establish themselves in Argentina, which also covers key aspects of company registration in Argentina.
Under Argentina’s Law of Commercial Companies (Ley de Sociedades Comerciales), foreign investors can choose from different company types. The two most popular are:
A ) Corporation (Sociedad Anónima – SA)
B ) Limited Liability Company (Sociedad de Responsabilidad Limitada – SRL/LLC)
Unlike subsidiaries, these companies are only responsible for their own capital. This means the parent company abroad is not fully liable for the company’s debts. We’ll go into more detail about the subsidiary type of company representation a little further down.
An SA (Sociedad Anónima) is a corporation where ownership belongs to the shareholders, and their liability is limited to the money they contribute.
Key features:
a ) Requires at least 2 shareholders (they can be individuals or companies).
b ) Shares may be listed on the stock exchange (but don’t have to be).
c ) Managed by a board of directors. Most board members must live in Argentina.
d ) No restrictions on shareholder nationality, but the majority of the board members must be residents of Argentina. If the board only has two members, at least one of them must be an Argentine resident
e ) Directors are responsible if they act negligently, break laws, or misuse their position.
f ) Must be set up through a public deed and registered with the Inspector General of Justice (IGJ) in Buenos Aires.
g ) Minimum required capital: The minimum investment capital in Argentina can vary due to economic fluctuations. At the moment, we suggest considering a range between USD 30,000 and USD 60,000. This is not a fixed legal requirement but rather a guideline from our team. In cases where you want to set up a company and reside in Argentina, consult with us for details.
h ) Subject to internal and external audits.
Internal audits: usually done by trustees chosen by shareholders.
External audits: carried out by the PRC or other regulators, depending on the activity.
Example: Stock exchange companies → CNV; Banks → Central Bank (BCRA); Insurance → SSN.
An SRL (Sociedad de Responsabilidad Limitada), or LLC, is similar to an SA but with simpler rules and more flexibility.
Key features:
– Prepare the draft social statute of the SAS, in accordance with the guidelines established in the Commercial Companies Law and the specific needs of the company.
– Compile the necessary documentation for the constitution of the SAS, including: ID of the founding partners, established domicile of the company.
– Determine social capital and form of integration. Appointment of administrators.
– Election of the oversight body (if applicable).
– Process the registration of the SAS in the corresponding Public Registry or IGJ. Obtain the Certificate of Registration in the Public Registry or IGJ.
– Open the company’s bank account. Register the SAS in the AFIP.
– Request the Unique Tax Identification Code (CUIT).
– Adhere to the corresponding provincial and municipal tax regimes.
– Register the SAS in the other corresponding public organizations (for example, Obra Social, ART, etc.).
– Legalize accounting books.
When a company opens an office in Argentina, it can do so as a branch or subsidiary. This doesn’t mean creating a brand-new company — instead, it’s an extension of the foreign company.
a ) The branch or subsidiary must be registered with the Public Registry of Commerce (PRC), but the company still follows the laws of the country where it was originally incorporated.
b ) A subsidiary can carry out the same activities as the head office, and a legal representative appointed by the company represents it.
c ) The head office remains responsible for all the subsidiary’s debts and liabilities, not just the money assigned to the Argentine branch.
d ) Even though the head office is responsible, the subsidiary must keep its own accounting records and submit regular financial statements to the PRC.
e ) The legal representative should have enough authority to handle daily operations, such as working with banks and local suppliers.
f ) Subsidiaries are supervised by the PRC and must follow the same rules as local corporations (called Sociedad Anónima or SA in Spanish).
To open a foreign branch or subsidiary in Argentina, you’ll need to provide certain documents to the Public Registry of Commerce (PRC). Here’s what’s usually required:
1 ) Proof the company is valid in its home country
a ) A certificate showing how long the company has been operating, that it isn’t being liquidated, and that it has no legal restrictions.
b ) If such a certificate doesn’t exist, a report from a lawyer or notary in the company’s home country can be used instead.
2 ) Foreign Company Key Documents
a ) Partnership agreement or company bylaws (plus any changes).
b ) Resolution from the company’s governing body approving the branch or subsidiary in Argentina.
3 ) Statements confirming
A current list of company partners/shareholders.
4 ) Publication of a notice (edict) if required
Includes details about the branch (address, capital, fiscal year), the legal representative (personal info, powers, and limits), and the head office (statutes and amendments).
5 ) Representative’s declaration
Monthly – Medium Complexity
– Obtain and review purchase and sale invoices and other receipts that support the operations carried out by the company during the month.
– Collect information about the company’s income and expenses, including salaries, rent, utilities, etc.
– Verify the correct classification of expenses in the categories established by the AFIP. Obtain information about withholdings and payments made during the month.
– Calculate the debit and credit Value Added Tax (VAT), applying the rates corresponding to each type of operation.
– Calculate Internal Taxes, such as the Tax on Liquid and Gaseous Fuels, the Automobile Tax, and the Tax on Alcoholic Beverages, if applicable.
– Calculate provincial and municipal taxes.
– Prepare and present VAT, Internal Taxes, and provincial taxes declarations, using the AFIP forms and web systems.
– Verify the correct information and consistency of the declared data.
– Pay taxes and contributions through the means enabled by the AFIP and the corresponding treasury applications.
– Keep the company’s tax information updated in the AFIP. File tax documentation and sworn statements submitted.
– Perform bank reconciliations.
– Prepare financial reports for management.
Preparation of the required documentation. Data validation.
Address certification
Selection of the correct category before AFIP and the Tax office of the selected jurisdiction
Tax registration in AFIP. Single Tax Registry. Tax registration in the province or CABA Obtaining the SME Certificate
Bank key certification
Advice on tax obligations
– Obtain and review the purchase and sale invoices that support the operations carried out by the monotributista during the month.
– Verify the correct classification of expenses in the categories established by the AFIP. Obtain information about the gross income of the monotributista.
– Verify that it does not exceed the established billing limits to keep the taxpayer in the regime.
– Calculate the Simplified Income Tax (I.G.S.), if the monotributista is adhered to the simplified regime.
– Prepare national, provincial, and municipal tax settlements.
– Facilitate the payment of taxes through the means enabled by the AFIP and the entities involved.
– Advise the monotributista on his tax obligations and tax developments that may affect his activity.
– Keep the monotributista’s tax information updated in the AFIP. File tax documentation and sworn statements submitted.
– Perform bank reconciliations.
– Prepare financial reports for the monotributista.
The Foreign Investment Law (Decree 1853/93) gives foreign investors the same rights as local ones. Investors can bring money, goods, or shares into Argentina and freely repatriate profits and capital at any time. Foreign companies can use any legal business structure, access local credit, and are treated equally in activities like technology transfers. The system is overseen by the Ministry of Economy to ensure transparency and security.