Steps to start a business in Peru - Part I

Steps to start a business in Peru - Part I

As you all know, Peru is the fastest growing economy in Latin America in 2012, despite the impact of the financial crisis in the U.S. and Europe so let's take a look at the steps to formalize or set up legally a Business in Peru.

These steps are necessary to start a business in Peru, but may provide guidance in other countries under the CIVIL LAW, which usually have similar processes.

1. Search and reserve your company name in the Public Registry

We must first go to the Public Registries Office, and verify that the name of your future company isn’t similar or identical to any existing business in the market.

When searching existing names, we must ensure that they do not look or sound like we're going to use, there must be a minimum of 3 different letters.

Once the search is done and confirmed that there are no same or similar names that we will use, we must reserve our name for in order that other company cannot sign with that name you choose, this “reserve” has a time limit of 30 days.

2.  Elaboration of the Company’s Conformation Contract 

This contract is a preliminary document in which the members of the future business express its willingness to establish the company, and which they pointed out all agreements.

This document contains information such as when it will begin commercial activities, where society is going to work (business address), what is the corporate name of the company, who will manage or represent the company, the social capital or assets (contribution of the partners), among other data.

It is recommended elaborate this contract with the help of a reliable lawyer.

3. Turning the contract into a Public Deed 

With the conformation contract of the business we go to a notary public to turn this contract into a public deed.

Usually the documents that we carry along with the contract are: the evidence or proof (Voucher) of the cash deposit into a bank account in the name of the company, a detailed inventory of non-cash company properties, a certificate by the Mercantile Public Registries Office of the absence of the same or similar name given to the business you created.

Once you are done, your Public Deed or Partnership Testimonial   must be signed and stamped by the notary.

4. Registering the public deed in the Public Registry

Once we have obtained the public Deed, we take it to the Public Registries exactly to  a sub-office called Mercantile Registry and inscribe there, once done, your business has  “formal and legal life” in our civil law, it should be noted that in our law and mainly in civil law, companies are called societies with the commonly use of Anonymus Societys name;  for more information about this form you can visit this link http://en.wikipedia.org/wiki/S.A._(corporation)

Well that’s all, the next article I will write  the second part ending, covering the Tax and the Administrative procedures.