Baker Tilly: one stop shop for doing business in Mexico
“If you are looking for a place for productive investment, Mexico is one of the most competitive countries in the world. Its capacity to produce advanced manufacturing (high-tech) products, its economic growth rate, and competitive labor costs, are a few of the many reasons why you need to focus on this country”.
Manuel Aguilar, Managing Partner of Baker Tilly
When you’ve made the decision, you need the best team to assist you in the soft landing process of your business. That’s where Baker Tilly can help you grow your company, and maximize your revenue through local advice with international support.
Mexico: an excellent platform
The open economy that exists in Mexico guarantees access to international markets, through a network of many different Trade and Tax Agreements, a strategic location, and competitive costs of highly skilled labor.
All these together, provide an excellent platform for selling to global partners, in addition to Mexico’s local market with a population of 127 million people.
In general, the incorporation process of a company in Mexico takes between four to six weeks (depending on the Authorities’ workload), considering all processes are duly planned and executed. After this timeframe, the company is ready to carry out operations.
Many foreign companies have decided to expand or move their operations to Mexico in order to overcome the challenge of supply chain delays.
While nearshoring is not the typical solution, when companies evaluate costs, location, accessibility, etc., they realize the advantages of this territory.
Currently ranked 11th in the World Bank’s list of top countries with loan and credit facilities, Mexico is an attractive country for international companies looking to implement nearshore schemes and avoid issues with supply chains linked to China. Likewise, Mexico ranks 43rd in terms of contract compliance and 69th in cross-border trade worldwide, while offering 12 Free Trade Agreements with 46 countries.
All these advantages facilitate the nearshore model.
Also, Mexico has a privileged geographical location, sharing a border of more than 3000 kilometers with one of the most dynamic markets in the world: United States.
At the same time, it shares roots, language, and culture with Latin America, and represents a gateway to this region.
In the next coming years, greater transport options (railroad, land, sea, air) will be available, further expanding the possibilities of accelerated shipping and speed of processing, in case there are changes in demand.
These are some of the competitive advantages that Mexico offers to the world, and specifically, to the United States and Canada, added Manuel Aguilar.
Another advantage that your business can benefit from is a lower corporate tax rate compared to countries such as India, China, or Brazil.
In addition, the Mexican government is committed to guaranteeing macroeconomic stability, sound public finances, and the principles of austerity, honesty, and the fight against corruption, which gives transparency and certainty to your investment.
When you’ve made up your mind, you’ll need the best team to assist you in your soft landing process in the country, and that is where Baker Tilly can help you to grow your business and maximize your revenues.