Forming a Company in Brazil is Just the Beginning

Owning and maintaining a company in Brazil requires far more effort than it does in the US. It’s not as simple as paying an incorporation fee, hiring a registered agent and getting an address. The moment you start a company in Brazil, you’ll need to keep up with numerous government filings that require ongoing attention.

In the US, it’s quick, easy and inexpensive to form and maintain a business entity. In Brazil, not so much. The filing requirements and other obligations are endless and start on day one. Just to form an entity, you’ll need to appoint an administrator, and each foreign shareholder will need a legal representative.

When forming a Brazilian company, corporate documents must be approved by the state trade board. Sending money? You’ll need to file with the Central Bank. Selling goods? You’ll need a state registration. And there’s the municipal registration and business license too.

Then there are the corporate, tax and accounting obligations. Each year you must have a shareholders’ meeting with resolutions that get filed with the trade board. There are monthly income tax filing and withholding obligations. There may also be monthly PIS, COFINS, IPI, CSLL, ICMS and ISS tax filings. The list goes on and on. Not to mention labor and payroll obligations.

These are just a handful of the documents and regular filing requirements that must be managed to maintain a Brazilian entity in good standing. It’s a lot of work. Whatever you do, make sure you have a team of advisors helping to ensure everything gets done properly.