How To Set Up A Business In Uruguay In 5 Steps

• Published date: 07 August 2023
• Subject Matter: Accounting and Audit, Corporate/Commercial Law, Insurance, Audit, Corporate and Company Law, Insurance Laws and Products
• Law Firm: Biz Latin Hub Group
• Author: Biz Latin Hub Group

To set up a business in Uruguay can be one of the best decisions when expanding your company in Latin America.

Although Uruguay is often overlooked because of its size, it is considered a progressive country in the region. With a gross domestic product (GDP) of $56.04 billion in 2019 (all figures in USD) and a GNI of $16,230 that same year, Uruguay is consider a high-income country by international standards. Extreme poverty is almost non-existent and its citizens enjoy a relatively high level of equality.

Uruguay is a strong advocate of free trades. Founder member of the Souther Common Market (Mercosur) it also has many Free trade agreements (FTAs) with various country all around the globe.

Top exports of the country are mainly agricultural, such as beef and chicken meet, dairy products and different type of crops. Its principal export destinations are its two neighbours Argentina and Brazil, but also the United States, China or the Netherlands.

If you are interested in entering the Uruguayan market, read on to learn the different steps of how to set up a business in Uruguay. Or, go ahead and reach out to us now to discuss your business options.

Why set up a business in Uruguay?

The country has a diverse and mature business environment, positioning itself as one of the best countries to set up a business in Latin America. Furthermore, Uruguay's economic activity is divided into three major sectors: agriculture, industry and services.

Primary and Secondary Sector

The largest field for exports is the agricultural sector, employing around 9% of the working population and contributing to 6% of the GDP. A major share in this rate is occupied by the fishing industry, livestock breeding (especially cattle) and food products, such as rice and wheat.

The industrial sector accounts for 25% of Uruguay's GDP.

The industrial sector accounts for 25% of Uruguay's GDP and employs more than 20% of the working population. The most important industrial fields are food processing of animals and agricultural products, very attractive industries for those investors who want to set up a business in Uruguay. Other important sectors include wine production and textile manufacturing.

Tertiary Sector

The tourism service field exhibits the most important area of the tertiary sector in Uruguay. According to Carlos Fagetti, the director of National Tourism, "Uruguay is investing in the diversification of the tourism sector". This kind of diversification seeks to stimulate the...