Chilean Shelf companies
Our Chilean shelf companies are previously registered legal entities that have been registered or purchased by our firm and are managed (to maintain compliance and credit) until they are sold; our primary clients are foreign enterprises and entrepreneurs looking to establish a presence in the Chilean markets. Shelf companies may also referred to as shell or aged companies.
Advantages of a Chilean Shelf Company
- Having already been registered these entities have a history (from months to years) and positive track record with the taxing authorities and credit bureau.
- They have not engaged in commercial activity and thus have no associated liability.
- They can be personalized: the name (if available) and industry can be changed and the new owner can change almost anything about the company at the time of purchase.
- They are a convenient alternative in a country with archaic and often frustrating legal and financial boundaries to entry: your business activities can start almost immediately.
- Banking – doing business in any foreign jurisdiction requires the ability to move funds in (and eventually out) via traditional banking service (wire transfers). An additional, and often most important aspect of a Chilean Shelf Company is immediate access to banking facilities in either Chilean pesos, US dollars, or both.
Chilean Entity – What is an SpA
Simplified Corporation (Sociedades por Acciones or SpA)
Similar to US corporations the SpA is ruled by its bylaws and by the private corporations’ rules in a suppletory manner. Unlike the more complicated / traditional Chilean corporations, SpAs may be incorporated and operate with only 1 shareholder. The capital / ownership is divided into shares.
When discussing your entity / business organization needs we focus on the areas of Tax Minimization, Asset Protection, and long term Management and Maintenance Costs of maintaining your entity.
Every client / business will make the ultimate decision of what entity type to operate, however, there is almost always a best option for each situation that becomes apparent when you consider all of the implications in each of the areas above.
Where our clients needs point to a different Chilean Entity structure other than the SpA, we generally still suggest an SpA if time to market, operation and banking infrastructure are important factors. From there things can be changed at the more traditional Chilean speed for setting up a traditional corporation, subsidiary or other appropriate structure.
Pricing for shell companies can range from $6000.00 USD and up depending on the banking options and age of the entity decide upon.
All Options include:
- A local representative – employed by our law firm (This is requirement for financial services, such as banking, financing and other credit related to your operation). The first year is included in the price for any entity.
- One hour of prepaid US attorney time and unlimited attorney support (US and Chilean – billed hourly) for support during the formation process.
$6000.00 – Our Standard Option – this includes an entity with less than one year of history. Additional pricing for banking services can be found below.
Entities older than one year will be priced according to their age and the banking services that are already attached to the entity.
Online Banking is available through most banks we maintain relationships with.
A basic business bank account (Chilean peso account with other limitations) is available on all entities over 3 months old, with a maximum of two accounts. The price to establish each account is $1250.00.
Full Service Business Bank accounts (in both pesos and dollars) are available at Major Chilean and Latin America banks. These accounts are extremely difficult (close to impossible) for non-Chilean citizens / residents to obtain legally. The price for these accounts vary by banking institution and age of the account. The pricing will be included in the specific entity price already.
Financing locally in Chile
While access to local (Chilean) financing is closed to non-citizens, the ownership of a Chilean entity and bank account (generally with three years of history) opens the doors to the world of corporate financing from many reliable, although expensive by US terms, lending institutions.
With a financial history of three or more years, your SpA can gain access to local financing options; even as a foreigner.
Book a consultation to discuss your needs and what you are looking for.