Doing Business In Mexico (Part 3)

Jun 19, 2025

Doing Business In Mexico

How Do you Register and Incorporate a Business in Mexico? 

What is the business registration process in Mexico? 

1. Choose the type of legal entity (e.g., S.A. or S. de R.L.)
2. Reserve a company name through the Ministry of Economy
3. Once approved, draft the constitutive act with a notary, which outlines key details like the company’s objectives and capital structure.
4. Register the business with the Public Registry of Commerce and obtain a Federal Taxpayer Registry (RFC) number from the Tax Administration Service (SAT) for legal tax operations.

What documentation and approvals are required? 

1. Get your constitutive act (approved by a notary), which specifies the company’s legal structure, name, and shareholders
2. In addition you will need official identification for all involved parties, proof of address, and the approved company name from the Ministry of Economy
3. Obtaining an RFC number is essential for tax purposes
4. Depending on the industry, further permits or approvals from local authorities might be necessary 

What are the costs and timelines for registration? 

The costs of registering a business in Mexico vary depending on the type of legal entity, the notary fees, and the specific location, but fees generally range between $500 to $1,500 USD. The timeline for the entire process, including obtaining permits and approvals, can take between two to six weeks, depending on the complexity of the business structure and any additional permits required based on industry or location. It’s advisable to factor in legal fees if hiring a professional to navigate the process efficiently.

Establishing a business in Mexico offers a range of opportunities, from tapping into key industries to benefiting from nearshoring. However, understanding the legal steps, tax obligations, and regulatory framework is crucial for long-term success. Businesses should carefully choose the right structure, seek proper legal advice, and comply with local laws to ensure smooth operations. Mexico Business Lawyers is the reliable partner you can trust to guide you through the investment process in Mexican territory, ensuring every step is handled with expertise and precision.

See Part 1 and Part 2