Business entities in Argentina

Business entities in Argentina

Healy Consultants assists our Client determine the most optimum business structure to start a business in Argentina. There are several business entities available to foreign entrepreneurs: those willing to setup a small business in Argentina commonly choose a Limited Liability Company (LLC). Argentina business setup may also be completed with a share corporation or a foreign company’s branch office.

The Argentina limited liability company (sociedad limitada)

    Argentina business
  • Argentina company setup takes two months and the minimum paid up capital is US$300;
  • A minimum of two directors is required to setup an LLC in Argentina. Directors can either be natural persons or companies; the majority must be Argentina residents.

The Argentina stock corporation (sociedad anonima)

  • Healy Consultants recommends this entity if our Clients wish to incorporate a publicly listed company. The minimum paid-up capital is US$7,500 for this setup;
  • Argentina joint stock company requirements also include a minimum of one director and two shareholders. While shareholders can be of any nationality, a majority of directors should be resident in Argentina.

The Argentina branch office (sucursal)

  • An Argentina foreign company branch can invoice Argentina customers, sign local sales contracts, and receive income from customers;
  • This entity does not require a minimum capital for business setup in Argentina. A Branch office operates only within scope defined by the parent company;
  • This entity in Argentina must i) appoint a legal representative ii) grant him/her with a power of attorney iii) must maintain a local bank account.

Table of comparison between Argentina entities

 Limited liability companiesForeign branchStock corporation
Also known associedad limitadasucursalsociedad anonima
How long to set the company up?12 weeks12 weeks12 weeks
How long to open company bank account?8 weeks8 weeks8 weeks
Legal liabilityLimitedUnlimitedLimited
Wholly foreign ownedYesYesYes
Minimum paid up capitalUS$300NoUS$7,500
Tenancy agreement required before incorporationYesYesYes
File annual tax returnYesYesYes
Managing director need to travel?NoNoNo
Resident director requiredYesYesYes
Resident shareholder requiredNoNoNo
Minimum directors required211
Minimum shareholders required212
Minimum shareholders requiredNoNoNo
Corporate shareholders allowedYesYesYes
Corporate directors allowedYesYesYes
Corporate directors allowedYesYesYes
Allowed to trade on stock exchangeNoNoNo
Bearer shares allowedNoNoNo
Corporate tax rate35%35%35%
Corporate tax payable onWorldwide incomeArgentina incomeWorldwide income
Argentina incomeYesYesYes
Statutory audit requiredYesYesYes
Tax exempt free zones availableYesNoYes
Withholding tax on dividends without DTA35%No35%
Allowed to issue sale invoicesYesYesYes
Allowed to sign contractsYesYesYes
Allowed to import and export goodsYesYesYes
Must rent an office in ArgentinaYesYesYes
Can buy Argentina property?YesYesYes
Can own equity in other Argentina companies?YesYesYes
Estimate of engagement costsUS$US$US$
Average total Argentina business setup10,55013,59010,550
Average annual costs including accounting and tax fee17,95020,99017,950
Sample engagement fee invoice

Frequently asked questions

Contact us

For additional information on our business setup services in Argentina, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Ms. Chrissi Zamora, directly:
client relationship officer - Chrissi