Business

Argentina — Business: Company Formation

Company formation in Argentina is governed by the General Companies Law (Ley General de Sociedades) and registered with the Inspección General de Justicia (IGJ) in Buenos Aires (or the equivalent provincial registry elsewhere). The two most common vehicles for foreign investors are the Sociedad Anónima (SA, similar to a corporation) and the Sociedad de Responsabilidad Limitada (SRL, similar to an LLC); foreign shareholders/directors do not need a local partner but do need a local legal representative and registered address.

Why this matters

Picking SA vs SRL affects governance requirements (an SA needs a board and is more suited to raising capital or public activity; an SRL is simpler and common for smaller foreign-owned subsidiaries), and a company cannot operate legally, invoice, or hire without completing IGJ registration and obtaining a CUIT.

Key facts

  • The two dominant entity types for foreign-owned businesses are the SA (Sociedad Anónima) and SRL (Sociedad de Responsabilidad Limitada); a branch (sucursal) of a foreign company is also possible.
  • Registration is with the Inspección General de Justicia (IGJ) in the City of Buenos Aires, or the equivalent provincial registry elsewhere -- not a 'Ministry of Economy' or 'Chamber of Commerce' registration as sometimes stated.
  • A foreign-owned company needs a local legal representative and a registered Argentine address, but does not require a local co-owner/partner.
  • After incorporation, the company must obtain a CUIT from AFIP/ARCA to operate, invoice, and register employees.

Steps

  1. Choose a Business Structure — Select SA (board-governed, suited to larger operations/capital raising) or SRL (simpler governance, common for smaller foreign subsidiaries), considering liability and administrative overhead.
  2. Draft and Notarize Founding Documents — Prepare the company's bylaws/statutes with a public notary (escribano), naming shareholders/partners and a local legal representative.
  3. Register with IGJ (or provincial equivalent) — File the incorporation documents with the Inspección General de Justicia in CABA or the relevant provincial registry, and publish the required incorporation notice.
  4. Obtain a CUIT from AFIP/ARCA — Register the new legal entity for a CUIT to enable tax filing, invoicing, and employee registration.

Costs

  • Registration fees: varies by type of company and registry
  • Notary fees: varies by notary public
  • Publication fees: varies by publication medium

Timelines

  • Registration time: approximately 1-3 months

Required documents

  • Company statutes/bylaws and articles of association
  • Identification documents of shareholders and directors
  • Local legal representative appointment and registered address
  • CUIT application materials

Common mistakes

  • Registering with the wrong authority (it's IGJ or the provincial registry, not the Ministry of Economy or Chamber of Commerce).
  • Assuming a local partner/co-owner is legally required -- it isn't, but a local legal representative is.
  • Not budgeting time for the mandatory incorporation notice publication step.

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