Mexico Shelter Company Services for Manufacturing

This content was updated for accuracy and relevancy on June 29, 2020.

Expanding or relocating manufacturing operations into Mexico offers many competitive advantages for companies looking to keep ahead of the competition. Shelter services and operations in Mexico are a popular choice for businesses looking to “test the waters” when it comes to offshoring.  Shelter Manufacturing in Mexico allows companies to forego establishing as a foreign subsidiary, which is standard in most countries, by instead setting up a maquiladora program to quickly begin operating in the country. Setting up as a shelter company offers unique advantages and opportunities for companies. Capitalizing on the benefits of shelter service providers will (as well as NAFTA’s bilateral trade agreements) ultimately reduce both time and costs. Shelter companies in Mexico are a great option for companies looking to expand their operations into Mexico. Whether you prefer expanding into Tijuana, Juarez, or even Puebla, discover potential manufacturing locations in Mexico that work for you and your company.

Approximately 85% of NAPS’ client base chooses to expand to Mexico under “shelter,” which means they operate under a Mexican corporation owned by NAPS. Because these foreign companies have no “legal” presence in Mexico, they also avoid any liability associated with doing business in Mexico but still benefit from all government tax and duty abatement programs, such as the IMMEX Program (formally maquiladora program which allows manufacturing companies to import equipment and raw materials tax-free and manufacture in Mexico, so long as the finished products are exported for sale off Mexican soil) and PROSEC. Below is a list of advantages associated with operating under a NAPS Mexico shelter corporation.

• No Legal Liability in Mexico
• Reduce Labor Costs
• Payroll and Benefits Management
• Economies of Scale
• Labor Flexibility (Seasonality)
• Quicker Start-Up
• Immediate Access to Special Corporate Certifications (If Needed)

Operating under NAPS’ Mexico shelter services does not preclude a company from having their own name, manufacturing facility, or corporate culture in Mexico. In fact, every one of NAPS’ clients operates under their own roof, implements their own processes and procedures and sets the culture of their factory. As a shelter service provider, NAPS is there to provide exceptional administration and compliance management support without interfering in other areas of the manufacturing process such as operation and production quality. Whether a company chooses to operate under a NAPS Mexico shelter corporation or under their own Mexican legal entity, NAPS provides the exact same service under both scenarios.

When looking for a shelter company in Mexico, it’s important to analyze all the benefits and costs. As experts in the shelter manufacturing and maquiladora industries in Mexico, we are here to help answer any questions as you are looking to expand into Mexico under a shelter operation. For more information on establishing a new shelter manufacturing company or operations in Mexico schedule a teleconference to learn more about our shelter program and human resource services in Mexico, please contact NAPS, a leading service provider for shelter operators in Mexico with 16 locations. Join many shelter manufacturing companies in Mexico and start saving today!