{"id":44797,"date":"2025-08-06T10:15:57","date_gmt":"2025-08-06T13:15:57","guid":{"rendered":"https:\/\/www.plbrasil.com.br\/?p=44797"},"modified":"2025-08-19T14:52:50","modified_gmt":"2025-08-19T17:52:50","slug":"foreign-companies-in-brazil-understanding-the-requirements-and-avoiding-risks-when-maintaining-registry","status":"publish","type":"post","link":"https:\/\/www.plbrasil.com.br\/en\/foreign-companies-in-brazil-understanding-the-requirements-and-avoiding-risks-when-maintaining-registry\/","title":{"rendered":"Foreign companies in Brazil: Understanding the requirements and avoiding risks when maintaining registry"},"content":{"rendered":"

The opening of branches, subsidiaries, or agencies by foreign companies in Brazil has become a common practice for expanding markets, signing local agreements, or meeting regulatory requirements. However, the authorization process filed with the Registry of Commerce is only the starting point<\/strong>, not the end, of legal obligations.<\/p>\n<\/div>

What many managers may not know is that there are formal and periodic requirements<\/strong> that, if not complied with, can lead to the revocation of the operating license in Brazil<\/strong>. One of the main ones is the mandatory publication of financial statements and corporate acts.<\/strong><\/p>\n<\/div><\/div><\/div><\/div><\/div>

Branch opening: Just the beginning of compliance<\/h1><\/div>

To operate legally in the country, a foreign company must submit a set of documents to the competent Registry of Commerce, including articles of association, an operating plan, and a balance sheet, all of which must be translated by a sworn translator. After the registration is approved and the CNPJ number is obtained, many consider the process to be complete.<\/p>\n<\/div>

However, maintaining this record requires ongoing attention<\/strong>, with filings and periodic publications that prove the regularity of the branch or subsidiary’s operations within the Brazilian territory.<\/p>\n<\/div><\/div><\/div><\/div><\/div>

Publication of financial statements: A legal obligation<\/h1><\/div>

Under the terms of IN DREI No. 77\/2020<\/a><\/strong> and as consolidated by the DREI’s Foreign Company Manual<\/a><\/strong>, foreign companies authorized to operate in Brazil must, annually:<\/p>\n<\/div>