Page 14 - Demo

Doing Business in Brazil
and the evaluation report must be approved by the shareholders in a general meeting.
Corporations must have at least two officers who must be Brazilian residents or foreigners with a permanent visa. Corporations can also have a board of directors, if formed with at least three directors, without the need that such officers be Brazilian residents.
1.4 Main Differences Between a Corporation and a Limited Liability Company
In general terms, a Limited Liability Company is a less complex company form than a corporation. By using the Limited form, investors can avoid corporation legal formalities, such
as calling shareholders’ meetings, maintaining books of minutes of meetings, share registry books
and publishing on newspapers financial statements and minutes of shareholders’ meetings.
On the other hand, for main decisions corporations have a minimum quorum of deliberations of 51% of
the shares, while the limited liability companies need 75% of the quotas for the approval of resolutions.
2. Required Permits for Incorporating a Brazilian Company
2.1 Federal Taxpayer ID (CNPJ)
Along with the filing of the Articles of Incorporation and the supporting
documentation at the Board of Trade, a corporate taxpayer registry number (CNPJ) for the company will be requested from the Federal Revenue Office. The issuance of this registration occurs jointly with the file, as the Board of Trade has
a unified system with the Federal Regime office.
Limited Liability Company is a less complex company form than a corporation.
2.2 Operation License, Local Permit and Fire Department Operation License
The first step for obtaining the operation license is requesting
a consultation, by means of a presentation of documents of the intended place, before the filing of the Articles of Incorporation
in the Board of Trade, informing the location and activities to be performed.
After the analysis of the consultation by the municipality authority and the filing of the corporate documents, the local permit (Alvará) will be available.
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