2026 Guide
Types of companies in Mexico
The three most common company types to incorporate a business in Mexico are the S.A. de C.V. (corporation), the S. de R.L. de C.V. (LLC equivalent) and the S.A.S. The right choice depends on the number of partners, capital and whether you plan to raise investment. All offer limited liability: your personal assets stay protected from company debts.
Which one fits me? Free consultationQuick comparison
| Entity | Partners | Capital | Best for |
|---|---|---|---|
| S.A. de C.V. Sociedad Anónima de Capital Variable (Corporation) |
2 or more | Free (suggested min. $50,000 MXN) | Companies with several partners or investors, or planning to issue shares. Requires a statutory auditor. |
| S. de R.L. de C.V. Limited Liability Company (LLC equivalent) |
2 to 50 | Free | Family businesses or few partners. No statutory auditor required and greater confidentiality. |
| S.A.S. Simplified Joint-Stock Company |
1 or more | Annual revenue under ~5.5M MXN | Solo entrepreneurs starting out. Faster incorporation, single shareholder allowed. |
Which one to choose?
- Going solo: the S.A.S. lets you incorporate with a single shareholder and faster.
- Few partners, want simplicity: the S. de R.L. de C.V. needs no auditor and protects partner confidentiality.
- Raising investment or several partners: the S.A. de C.V. divides capital into shares and eases investor entry.
Frequently asked questions
What is the difference between an S.A. de C.V. and an S. de R.L. de C.V.?
The S.A. de C.V. divides its capital into shares and is ideal for attracting investors, but requires a statutory auditor. The S. de R.L. de C.V. divides capital into equity quotas, allows up to 50 partners, requires no auditor and offers greater confidentiality. For few partners, the S. de R.L. is usually simpler and cheaper to run.
Can I form a company with a single shareholder in Mexico?
Yes, through the Simplified Joint-Stock Company (S.A.S.), which allows a single shareholder. The S.A. de C.V. and S. de R.L. de C.V. require at least 2 partners under the General Law of Commercial Companies.
Which entity is best for a foreign investor?
Most foreign investors choose the S.A. de C.V. or S. de R.L. de C.V. because they protect personal assets (liability limited to the capital contributed) and make it easy to add new partners. Quickcorp incorporates both 100% online for foreigners with no need to travel.
Does the S.A.S. have limits?
Yes. The S.A.S. is designed for small companies: its annual revenue cannot exceed the threshold set by the Ministry of Economy (around 5.5 million pesos, updated yearly). If exceeded, it must convert into another entity type.
Already know which entity you need?
Read our complete guide to incorporate a company in Mexico or book a free consultation.
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