The most appropriate company vehicle for doing business in Mexico is the Sociedad Anónima for the following three reasons:
- the net separation between the shareholders’ equity and personal assets;
- the extreme flexibility of the corporate bylaws that enable shareholders to insert different types of agreements to handle any situation, such as the co-existence of several interest groups, establishing mechanisms to protect minority shareholders, establishing methods to solve deadlocks, establishing tag-alongand drag along mechanisms, including different types of shareholder rights and obligations and attributing specific powers of attorney to representatives;
- the possibility to incorporate the company with a very low initial capital.
The capital stock is subdivided into shares represented by registered certificates that grant equal rights to the respective holders, however, it is possible to agree on the issue of shares that attribute specific rights.