- Manufacturing in Mexico
- About Tetakawi
August 01, 2019
Companies looking to manufacture in Mexico have two options on how to proceed. They can either invest in standalone operations or partner with a shelter service company.
Creating a Mexico-based subsidiary puts on a company all responsibility for registration with the IMMEX program (more commonly known as maquiladora), finding or building a suitable facility, navigating staffing and training hurdles, and working to comply with customs requirements — all before production actually begins. While some large companies may feel undaunted by this task, others may recognize that cultural nuances can present challenges that slow down the time to production.
On the other hand, shelter companies can remove some of the hurdles to ramping up operations. For starters, a shelter company already has an IMMEX license so foreign companies can enter the country as a division of the shelter company. But that’s only the beginning. Organizations that opt to work with a shelter company also have a choice to make. Tetakawi's survey of the service providers market has identified six distinct types of services available from shelter companies in Mexico.
Depending on the level of direct oversight your organization wants to hold into specific functions, there is likely a shelter company able to help you get started. Consider the six options below.
Knowing that there are different versions of the shelter program, companies looking to manufacture in Mexico must make sure that they are making “apples to apples” comparisons among providers. Asking the right questions upfront can ensure you’re getting the cost, service and level of risk that’s comfortable for your organization.
Some important questions to ask include:
As every business professional knows, you get what you pay for. Looking for reduced fees can mean selling yourself short on required services. It’s important to keep this in mind when selecting a shelter company in Mexico. When a shelter service company presents a low estimate for fees, it’s important to be clear on what those fees actually cover.
Knowing that some companies offer a less than comprehensive solution to support manufacturers in Mexico, you’re better armed to ensure you partner with a provider that will offer you the protection, guidance and expertise necessary to get your operations running successfully.
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