Bank Account in Brazil for a Company with a Foreign Partner
Paulo Wesley·
·3 min read
A Brazilian company with a foreign partner opens a bank account like any company, but with more documents and a more careful review by the bank. The account can only be opened after the company has a CNPJ and registered articles of association at the Commercial Registry. The bank will want to know the administrator, the attorneys, the partners and the ultimate beneficial owner (the individual who, at the end of the chain, controls the company). With foreign documents apostilled, translated and organized, the process moves much faster.
Before the bank: what must be ready
- An active CNPJ and city or state registrations, depending on the activity. See what is a CNPJ.
- Articles of association registered with the Commercial Registry, with the administrator defined.
- CPF of the administrator and of the attorneys who will operate the account.
- CNPJ of the foreign partner company, when the partner is a foreign legal entity.
- Power of attorney from the foreign partner to the attorney in Brazil, apostilled and with a sworn translation.
The full setup path is in how to open a company in Brazil as a foreigner. If you are still deciding the format, see branch or subsidiary.
The documents banks usually ask for
| Document | Note |
|---|---|
| Articles of association and CNPJ certificate | The version registered with the Commercial Registry |
| Documents of the administrator and attorneys | ID, CPF and proof of address in Brazil |
| Documents of the foreign partner company | Registration, corporate acts and who its owners are, with apostille and translation |
| Powers of attorney | Apostilled in the home country and translated by a sworn translator |
| Proof of the company's address | The address in the articles of association |
| Information on the activity and expected revenue | Used in the bank's risk review |
Each bank has its own list. Ask for it in writing before you start gathering papers.
The bank's review (compliance)
Brazilian banks follow anti-money laundering rules and must identify the ultimate beneficial owner. When there is a foreign company in the ownership chain, the bank asks for documents showing who is behind it. It is normal for the review to take longer than for a company with only Brazilian partners.
Tips to avoid getting stuck:
- have a simple org chart showing the chain up to the individuals;
- explain on one page what the company will do in Brazil and where the money comes from;
- choose a manager or a team that already serves companies with foreign capital.
Traditional or digital bank?
Digital banks open business accounts in minutes for Brazilian partners, but many do not accept foreign partners or require a manual process. Traditional banks and banks with an international desk are usually better prepared for foreign capital and foreign exchange. Ask first:
- whether they accept a foreign partner, individual or company;
- whether the attorney can open the account alone, without the partner present;
- how long the review takes;
- what the foreign exchange fees are to receive the capital and, later, send profits.
The capital contribution and the Central Bank
The money the parent sends to form the capital enters through a foreign exchange contract at the bank and is foreign direct investment. It must be declared to the Central Bank. That registration is what later lets you send profits and repatriate capital without trouble. See how to send profits abroad.
Once the account is open
With the account active, the company can receive sales by Pix, card and boleto directly, without a foreign intermediary. See how to sell in Brazil with Pix and the most used online payment methods. Agree with your accountant how payments will be reconciled with invoices: see accountants in Brazil: what they do and what they cost.
Summary
Opening the account of a company with a foreign partner takes a CNPJ, registered articles of association, apostilled and translated foreign documents and patience with the bank's review. Organize the papers in advance, compare banks and register the capital with the Central Bank. If you want help organizing this step, talk to BrazilDoor.
Frequently asked questions
Can a company with a foreign partner open an account at a Brazilian bank?
Yes. Once the company has a CNPJ and registered articles of association, it can open an account like any Brazilian company, also presenting the foreign partners' documents.
Does the foreign partner need to come to Brazil to open the account?
Not always. At many banks, the administrator or the attorney resident in Brazil opens the account with a power of attorney. Confirm the rule with your chosen bank.
Do digital banks accept companies with a foreign partner?
Some do, many do not, or they require a manual process. Banks with an international desk are usually better prepared for this kind of customer.
Do I need to register the money coming from abroad with the Central Bank?
Yes. Capital sent by the parent is foreign direct investment and must be declared to the Central Bank. That registration is the basis for sending profits in the future.
Sources
About the author
Business consultant with a degree in Accounting, MBA in Finance (UFRJ) and certified financial market analyst. Since 2014 he has helped companies from more than 10 countries understand and enter the Brazilian market.
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