Argentina and Brazil are Latin America's two largest economies, and both let foreign companies own 100% of a local entity — but the day-to-day experience of operating in each is very different. Argentina has no local-director requirement, but currency controls and mandatory inflation-adjusted accounting add real operational friction. Brazil requires a Brazilian national or permanent resident to serve as legal representative, but offers more predictable currency access and a larger consumer market overall.
| Argentina | Brazil | |
|---|---|---|
| Formation timeline | 6-10 weeks | 6-10 weeks |
| Tax ID | CUIT | CNPJ |
| Corporate tax | 35% flat + inflation-adjusted accounting | ~34% effective (15% + 10% surtax + 9% CSLL) |
| Foreign ownership | 100% allowed (FX & repatriation controls apply) | 100% allowed (legal representative required) |
| Local director required | Not Required | Required |
Foreign ownership and corporate tax figures are summarized from each country's formation guide — see the linked guide for full detail.
Choose Argentina if you don't need near-term profit repatriation, already have local finance support to manage FX access and inflation-adjusted accounting, or your business case depends specifically on the Argentine market.
View Argentina guideChoose Brazil if you need more predictable currency access for repatriating profits, are comfortable appointing a local legal representative (NavviPal can provide one), or want exposure to Latin America's largest single consumer market.
View Brazil guideFor most foreign companies without an existing Argentine FX strategy, Brazil's legal-representative requirement is a smaller operational lift than Argentina's currency controls and inflation-adjusted accounting — NavviPal provides a qualified local representative to satisfy Brazil's requirement directly. Brazil is the more practical default entry point of the two; Argentina makes sense when the strategic case for that specific market outweighs the added FX and accounting complexity.
NavviPal handles company formation, compliance, accounting, and tax obligations in every market on this page — so you can focus on building your business.