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Uncollectible Accounts

Collections in Mexico The collection process in Mexico may be quite difficult due to missing standards and complicated legal processes in this area. There is no framework on standard payment terms or on late payment fees. These must be agreed…
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Thin Capitalization Regulation in Mexico

What is thin capitalization and why is it important? Companies are usually financed through a mix of equity and debt. If a company’s financial structure includes a relatively high level of debt in comparison to its equity, it is referred…
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Transfer pricing in Mexico

What is Transfer pricing? Transfer prices refer to the prices that affiliated companies use to valuate transactions with each other. By setting a transfer price international companies can shift the profit of a company from one country to…