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Chile company registration

Chile company registration

The Chilean team at Lawshi Law Firm provides comprehensive company formation services for Chinese companies. With eight years of experience practicing in Chile, we have assisted over 300 Chinese companies in successfully establishing operations there, covering sectors such as mining, trade, energy, and infrastructure.

7 days
Fastest registration time
100%
Foreign shareholding ratio
65
Free Trade Agreement Network
300+
Serving Chinese companies

Chilean Recommended Company Type

Overview of Chile's Investment Environment

🌎

Geographical advantages

Its strategic location on the Pacific coast connects Asian and Latin American markets, and it boasts modern port facilities and a well-developed logistics network.

💰

Economic stability

Chile boasts the highest GDP per capita, low inflation, stable currency, and an A-level sovereign credit rating, providing Chinese companies with unparalleled market access advantages.

📜

Legal protection

Comprehensive intellectual property protection, an independent judicial system, and equal treatment for foreign and local enterprises.

🤝

Trade Agreement

Trade agreements have been signed with 65 economies, covering 88% of global GDP, with significant tariff preferences.

New Energy Leader

With the world's largest lithium reserves, abundant solar energy resources, and enormous potential for green hydrogen energy development, the region boasts a significant advantage.

🏢

Business Facilitation

Latin America ranks first in ease of doing business, with simplified company registration procedures and a high degree of digitalization in government services.

Empresa en un Día

Latin America's fastest company registration system, fully online, no notarization required.

24-hour registration

Electronic signatures have the same legal effect

RUTs are automatically generated and immediately available.

Bank appointment synchronization arrangement

Mobile phone tracking of real-time progress

Taxation Essentials

Chile operates a territorial tax system, taxing only income generated within Chile. Its tax system is transparent and standardized, and it has signed double taxation avoidance agreements with many countries.

27%
Corporate income tax
Unified tax rate, with preferential treatment for some small and medium-sized enterprises.
19%
Value Added Tax (IVA)
Applicable to the sale of goods and services
35%
Withholding tax
Dividend remittances may enjoy agreed preferential rates.
0-40%
Personal income tax
Progressive tax rates, preferential treatment for foreign nationals for the first 3 years

Frequently Asked Questions about Chilean Company Registration

Can you really complete registration in one day with Empresa en un Día?

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Yes, but conditions need to be met:

  • FEA e-signature already available (application takes 1-2 days).
  • Select Standard Charter Template
  • All shareholders signed online.
  • Submit on weekday morning

95% of SpA companies can complete the process within 24 hours. Traditional Ltd. takes 5-10 days.

What are the actual differences between SpA and Ltda? Why is SpA more popular?

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The decisive advantage of SpA:

  • Number of shareholders: SpA allows 1 person, Ltda requires 2 or more people.
  • Equity transfer: For SpA transfers, only unanimous consent and notarization are required; for Ltd transfers, the latter requires notarization.
  • Share Classes: SpA can have multiple share classes, while Ltda can only have one.
  • Registration speed: SpA online registration takes 1 day, Ltd. registration requires notarization and takes 5-10 days.
  • Flexible management: SpA bylaws are self-defined, while Ltda is subject to legal restrictions.

90% of new companies choose SpA, especially technology companies and foreign-invested enterprises.

What is the difference between a temporary RUT number and a formal RUT number?

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Temporary RUT (Provisorio):

  • Generate immediately and sign a contract.
  • Valid for 6 months
  • Invoices cannot be issued
  • Tax filing is not possible

Formal RUT (Definitivo):

  • Automatic conversion after company approval
  • Permanently valid
  • All business activities can be carried out.
  • Tax filing must begin

What is Inicio de Actividades? Why is it important?

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The Inicio de Actividades is a crucial step in declaring commencement of operations to the SII:

  • You must select a specific business activity code (giro).
  • Determine the applicable tax rates and rules
  • Choosing the wrong Giro could lead to tax problems.
  • Some giro require special licenses (such as for food and medical use).

Timing: Must be completed within 60 days of receiving the official RUT, or a penalty will be imposed.

Tip: You can select multiple giros to maintain flexibility.

Is the Chilean F29 monthly tax form complicated?

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The F-29 is relatively simple, while the SII system is very intelligent.

  • Tax returns for the previous month must be filed before the 12th of each month.
  • The system automatically pre-fills most of the data.
  • DTE Electronic Invoices Automatic Summary
  • AI checks for errors and provides suggestions.
  • Application can be completed in 5 minutes

Contents: Value Added Tax (19%), prepaid income tax, employee tax, etc.

Recommendation: Hire an accountant to train you for the first 6 months, after which you can operate on your own.

Is it difficult to open a bank account in Chile? Which banks are friendly to foreign investors?

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Relatively easy, recommended order:

  • Banco Estado: A state-owned bank, friendly to foreign investors, with low fees.
  • Banco de Chile: The largest private bank, offering excellent service.
  • Santander: A Spanish bank with strong international operations.
  • BCI: An innovative bank with a high degree of digitalization.

Required documents: RUT, Articles of Association, Legal Representative's Identification Certificate

Time: 3-5 business days

Initial deposit: typically $1,000-$3,000

Is the DL600 Foreign Investment Act still valid? What protections does it offer?

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The DL600 was discontinued in 2016, but existing contracts remain valid.

Current protection mechanisms:

  • The Constitution protects equal treatment for foreign investment.
  • Bilateral Investment Agreement (China-Chile BIT) in effect
  • Multilateral agreements such as the CPTPP and the Pacific Alliance
  • International Arbitration Rights (ICSID)
  • Unrestricted profit remittance

InvestChile's new framework: provides investment convenience without tax lock-in.

Are Chilean companies required to hire local employees? Are their labor laws strict?

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85% rule:

  • For companies with 25 or more employees, 85% of the employees must be Chilean.
  • No such requirement applies to groups of 25 or fewer.
  • Technicians may apply for an exception

Characteristics of labor law:

  • Minimum wage: 500,000 pesos/month (approximately US$625)
  • Working hours: 45 hours per week
  • Annual leave: 15 working days
  • Severance pay: 1 month's salary per year of service
  • Profit sharing: No mandatory requirement (better than other Latin American countries)

Ready to do business in Chile?

Our professional team is ready to provide you with Chilean company registration and commercial legal services

Contact us