Commercial Guide to Doing Business: branches in Argentina. Features and setting-up requirements
Foreign companies usually do business in Argentina through branches or subsidiaries. In this opportunity of our future Commercial Guide to Doing Business, we will focus on branches in Argentina.
Branches are not legal entities separate from their parent companies and, therefore, no limitation of liability applies.
The key features of branches in Argentina are:
- No capital allocation is requested (except for certain regulated industries, such as banking and insurance);
- They just need the appointment of an individual as their legal representative;
- Accounting records must be kept aside from those of their foreign parent companies;
- Annual financial statements must be filed with the Public Registry; and
- They cannot raise capital.
The General Inspectorate of Justice (Inspección General de Justicia, or IGJ after its Spanish acronym) in the federal agency in charge of the Public Registry within the jurisdiction of the Autonomous City of Buenos Aires and has established the list of requirements to grant registration to branches of foreign companies. Should you want to get an executive summary of such requirements for branches in Argentina, please, contact us.
Mario E. Castro Sammartino
Our publications exclusively express the author´s opinion and do not purport to be legal counsel on any case. Should you need it, you must consult with your trusted lawyer.
Castro Sammartino & Pierini with your company, to be better, always.