25 May Foreign investment in Argentina and Latin America
Foreign investment in Argentina and Latin America
How to start a business in Argentina.
Anyone with a business-oriented vision will probably find that Argentina has a lot of room for entrepreneurs that import good ideas and quality of product and service. Argentina -as well as some other countries in Latin America- is experiencing a new mood for foreign investors, there is money to be made and there are plenty of people who want jobs. Selecting what kind of business would do well in Argentina is just a matter of living in the country a while and seeing what products or services are needed. There is certainly a demand for services that currently do not exist.
How difficult could it be?
Starting a business in Argentina can be a paperwork headache similar to getting residency. There is a significant amount of paperwork procedures to complete in order to start a business. It is, therefore, an intelligent conclusion that the best way to go about it would be to hire a good lawyer to help you complete these steps. If that’s not an option you may want to consider whether you have enough capital and/or vigor to start a business in the first place.
Once the paperwork is out of the way, many of the foreign business owners seem quite happy with their businesses. The challenges for business owners aren’t over once everything is up and running though. Among the ongoing problems are: finding and retaining good employees, enforcing contracts (the courts are very slow and not practical for minor disputes) robbery and possible shakedowns by corrupt police or inspectors.
A good moment for Argentina & Latin America
The first decade of the 21st century was a good one for Latin America. There are estimates that some 63 million individuals entered the middle class. Add in the 36 million more members of the upper-middle class. Then, 47 percent of those in South America—a near majority—are no longer poor. Mexico brought over 10 million people into its middle ranks during the decade, raising the combined share of the middle and upper classes to roughly 38 percent of the population.
To get a realistic idea of what you’re in for, talk to other business owners about their experiences.
Have a question? Send it over via our contact form and we will get back to you.