The Stages of Startup Financing: From Idea to Success

How to Register a Company or Startup in Argentina

Registering a company or startup in Argentina might seem challenging, but with the right guidance, it can open the door to significant opportunities. From choosing the legal structure to completing the necessary paperwork, every step is vital to ensuring the success of your venture. In this article, we'll walk you through the process of registering your company in Argentina and explain how MAREI can assist you along the way.

1. Choose the Right Legal Structure

The first step in the registration process is selecting the legal structure that best fits your business. The most common options in Argentina are:

• Limited Liability Company (SRL): Ideal for small and medium-sized businesses. It offers a flexible structure, with the liability of the partners limited to the capital they contribute.
• Corporation (SA): Common for larger companies and those planning to go public. It offers more prestige but also comes with higher costs and administrative complexity.
• Simplified Stock Company (SAS): Designed to simplify the creation of startups, the SAS offers a flexible and quick setup process, with lower costs compared to an SA.

Each of these legal forms has different implications in terms of taxes, responsibilities, and registration requirements. For example, the SAS is popular among startups because of its ease of formation and flexibility for investors to enter and exit. If you're looking to grow quickly and attract external investment, the SAS might be the ideal choice for you.

2. Obtain the CUIT and Fiscal Key

Once you've decided on the legal structure, the next step is to obtain the CUIT (Unique Tax Identification Code) and the fiscal key. These are essential documents for your company to operate legally in Argentina.To obtain the CUIT, you need to register with the AFIP (Federal Administration of Public Revenue) using a fiscal key of level 2 or higher. This process is done digitally and is crucial for accessing tax services and filing tax returns.

Steps to obtain the CUIT:

1. Access the official AFIP website and select "Registration of new taxpayers."

2. Choose the "Start Digital Registration" option and fill in the required information.
3. Validate your email address to complete the registration.

This process may seem complicated, but once completed, you'll be ready to move forward with registering your company.

3. Register for the General Regime and TAD

Depending on the nature of your business, you will need to register under either the Monotributo or the General Regime. This registration is essential for meeting tax obligations, such as filing VAT returns and social security contributions. Additionally, it’s necessary to register in the Remote Procedures System (TAD). This system allows you to complete various procedures digitally, making it easier to manage your company from anywhere.

Example: Suppose you are creating a tech startup that develops custom software. In this case, you might choose to register under the General Regime to access certain tax benefits, such as a refund of tax credits on purchases of goods and services used in the development of your products.

4. Obtain the MiPyME Certificate

The MiPyME Certificate is crucial for accessing tax benefits and government assistance programs. This certificate classifies your company as micro, small, or medium-sized based on your annual sales and the number of employees.Benefits of obtaining the MiPyME Certificate:

• Access to special credit lines with preferential interest rates.
• Tax benefits, such as reduced employer contributions.
• Participation in support and training programs for businesses.

This certificate not only allows you to access financial advantages but also shows that your company is formally registered and meets the legal requirements to operate in Argentina.

5. Which Legal Structure Is Best for You?

When choosing the legal structure for your company, it's important to consider several key factors:

• Liability of Partners: In an SRL, SA, and SAS, the liability of the partners is limited to the capital contributed. This means that in case of debts or financial problems, the partners are not personally responsible.
• Setup Costs: The SAS has significantly lower costs than the SA, making it an attractive option for startups with limited resources.
• Setup Time: Forming an SAS can be completed within 2 to 4 weeks, while an SA can take up to 3 months.

These aspects are crucial in determining the best structure for your company. For example, if you plan to attract capital from investors, the SAS is an excellent option due to its flexibility for capital entry and exit.

6. The Value of Working with MAREI

The process of registering a company in Argentina can be complex and time-consuming. This is where MAREI can make a difference. MAREI offers comprehensive advice at every stage of the process. MAREI takes care of all the details, allowing you to focus on growing your business.

Registering a company in Argentina is a crucial step to ensuring the success of your venture. By following these steps and with MAREI's support, you can be confident that your company will be on the right track. Don’t hesitate to contact us today to take the first step toward your business's success in Argentina.