Understand why to outsource corporate secretarial services in Chile will reduce administrative burdens when expanding or incorporating a company in the country.
In light of Covid-19 pandemic, expansions to Latin American markets might present a wide range of challenges for foreign executives. Business owners must determine what business aspects will be conducted by the company, and which ones will be outsourced.
Learn the advantages of outsourcing corporate secretarial services in Chile.
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What are corporate secretarial services in Chile?
Corporate secretarial services in Chile aim to help companies meet their corporate compliance requirements established by local authorities. In other words, these legal and administrative services are designed to detect, minimize, and, mitigate corporate non-compliance in Chile.
Corporate secretarial services take care of the various administrative aspects that a company in Chile must comply with in order to adequately operate internally. Likewise, these services ensure that no issues or problems arise when engaging with third parties or public entities.
Corporate governance in Chile
Corporate secretarial services are part of corporate governance. They protect the company’s and shareholders’ interests. Furthermore, they minimize the so-called ‘agency problems’, that typically arise between owners and the management office.
Companies looking to outsource corporate secretarial services in Chile will find that one of the most common legal structure to establish a company in the country is “Sociedad por Acciones” (SpA). It allows the administration to be entrusted to an administrator or a board of directors. Note that at least one individual with local residence needs to be appointed as a legal representative to engage with banks and Public Entities.
Day-to-day Powers in ‘SpA’ structures are usually concentrated in a few people, whether it is the administrator, managers, or board of director. Nevertheless, large companies may choose other legal structures in which separate specific powers are granted for certain projects and areas within the company. These projects include human resources, tax, or banking activities.
Why outsource corporate secretarial services in Chile
The best way to protect the company and reduce risks is by implementing a bulletproof mechanism that ensures corporate compliance and proper management. A local trusted Partner is simply in a better position to understand these needs and create controls that will ensure peace of mind and operational success.
Outsourcing corporate secretarial services in Chile is key to protect the good standing of the company with local legislation. Doing this, foreign executives will not have to worry about time-consuming compliances, having more time and energy to focus on the operation, commercial and technical aspects of the business itself.
Typically, a local partner would perform a corporate health check or due diligence process first, to make any necessary decision to ensure the company is entirely compliant and managed properly.
We are ready to support your corporate secretarial activities
Although Chile is a very favourable business destination, there may arise some complexities when doing business abroad due to legal and cultural hoops. At Biz Latin Hub, our team of multilingual experts provide solutions tailored to your specific needs that will ensure the success of your business and mitigate risks when doing business in Chile.
Biz Latin Hub has offices in 18 countries in Latin America. With our full suite of market entry and back-office services, we are your single point of contact to successfully operate in the region. Contact us now to receive more information about our accounting and taxation, and company formation services.
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