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Having your own Manufacturing Center vs. using a Mexico Shelter

Having your own Manufacturing Center vs. using a Mexico Shelter

A Comparison to Standalone Operation in Mexico. There are several options for the legal and corporate set up of your new manufacturing operation in Mexico.

Setting Up an Independent Mexican Corporation

For manufacturers interested in doing business in Mexico, CPI’s Independent Corporation Program allows the manufacturing company to set up its own Mexican entity. Upon the setup of the Mexican entity, CPI obtains all of the necessary federal, state and local permits required with the appropriate Mexican regulatory agencies, ensuring compliance including the IVA Certification.

Whereas CPI’s Shelter Company Program insulates your company from financial and legal exposure while operating in Mexico, the Independent Corporation gives your company full, legal ownership of the Mexican entity. This establishes your company in Mexico similar to an LLC or corporation in the United States.

The time-frame for the setup of the Mexican entity can take 2 months and then the requirements must be met to become an IVA Certified Mexican Entity, preventing an immediate start up if the tax exemption is desired. These details are not left to you alone, CPI is there to support you every step of the way with CPI’s referred attorney or your attorney of preference.

“We found that buildings were readily available, and business and labor costs were better than in Costa Rica. We [also] ruled out China because it was not a good fit. Beyond the political situation and rising labor and shipping costs, it was too far away for us to manage.”

"Aspen Medical Products was very diligent in choosing a shelter services company. We did extensive research and felt that CPI was the best shelter services company for Aspen in Tijuana and by partnering with them, we were able to minimize our risk of operating in a new country."

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