Chile Corporate, Investment, and Business Law

corporate and commercial law chile
Spencer Global specializes in providing corporate and business support services for small to medium size ventures in Chile. From international companies opening a local subsidiary, to the private entrepreneur chasing a personal dream, at Spencer Global we understand that there is far more to starting a successful business venture in Chile than simply incorporating. We provide the sort of comprehensive support services and advice you will need to help you navigate the business regulations and cultural differences in Chile.

Legal Representatives

Companies in Chile require a “legal representative” to function. In common law tradition, there is often no such things as a corporate “legal representative”, or at least someone with the same level of responsibility as a “legal representative” under Chilean Chile. In Chile, a legal representative is a mandatory part of a corporation required by law, the tax authorities, and private institutions or parties such as banks and suppliers. Foreigners without permanent residency, can not be the legal representative of their own company, and must take care when assigning this important role to others.

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Incorporating in Chile

Incorporating in Chile starts with making some serious decisions about what the overall business goals are in Chile, and what activities your new company will engage in now and in the future. These decisions should be made carefully now, as the articles of incorporation in Chile can be expensive and time consuming to modify after formation. We will take a brief look at a few things you need to consider in order for your attorney in Chile to draft the articles of incorporation in Chile.

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Company Structures In Chile

The possible reasons a company in Chile may be split in to more than one corporate entity are really endless. What is different about Chile is the corporate divisions tend to also be done along functional lines within the company, to limit liability between the different parts of the business. Often partners or shareholders will own the incorporated parts directly, rather than one company owning another company, to further firewall the risky activities. Broadly, the two main reasons to divide a business in Chile in to multiple corporate entities is liability and taxes, normally divided by function.

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Notary Publics

Notaries importantly keep a public record of various transactions such as contracts for transfers or purchases of property, business contracts, and just about any other type of document that you might need to sign. Essentially, if you want to enforce a contract at some point in court, it is best to have it notarized or converted into a public deed at a Notary. There are many contracts that Chilean law requires to be registered in the form of a public deed, such as in the case of contracts related to property purchases in Chile.

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Powers of Attorney in Chile

A power of attorney can be executed for just about anything in Chile. Powers of attorney should be limited in scope to particular tasks or goals, and they MUST be drafted by a qualified attorney. A poorly drafted power of attorney, after getting all the proper authorizations outside the country, can ultimately be rejected or accepted by each notary, government office, or private party in Chile, if not drafted correctly. The amount of effort and expense you need to validate a power of attorney inside of Chile, from outside Chile, makes it essential that the Power of Attorney be well drafted from the start.

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Chile Document Legalization

Chile is not currently a party to the Hague convention on document signature recognition. This means foreign documents must go through a specific process of signature authentication, to be legally recognized in Chile. This may differ from country to country, and document to document. It also can depend on the use of the document in Chile.

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1-917-727-5985 ( From the United States and Outside Chile )
( Chile Country Code 56 ) + 65-2-421-024 ( Inside Chile )
Avda. Carlos Richter 35 B
Frutillar, Region Los Lagos,

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