Abstract: The authors estimate the effect on business start-ups of a program that significantly speeds up firm registration procedures. The program was implemented in Mexico in different municipalities at different dates. Authors estimates suggest that new start-ups increased by about 4 percent in eligible industries, and the authors present evidence that this is a causal effect. Most of the effect is temporary, concentrated in the first 10 months after implementation. The effect is robust to several specifications of the benchmark control group time trends. The authors find that the program was more effective in municipalities with less corruption and cheaper additional procedures.

The authors estimate the effect on business start-ups of a program that significantly speeds up firm registration procedures. The program was implemented in Mexico in different municipalities at different dates. Authors estimates suggest that new start-ups increased by about 4 percent in eligible industries, and the authors present evidence that this is a causal effect. Most of the effect is temporary, concentrated in the first 10 months after implementation. The effect is robust to several specifications of the benchmark control group time trends. The authors find that the program was more effective in municipalities with less corruption and cheaper additional procedures.

This paper estimates the economic effects of a recent reform that simplified business entry regulation in Mexico. The reform was introduced in different municipalities at different points in time. Using microlevel data, I find that the reform increased the number of registered businesses by 5%. This increase was due to former wage earners' opening businesses. Former unregistered business owners were not more likely to register their business after the reform. The reform also increased wage employment by 2.2%. Finally, the results imply that the competition from new entrants decreased the income of incumbent businesses by 3%.

This document investigates the possibilities of software entrepreneurship in developing economies, particularly Mexico, from an entrepreneur's perspective. It includes a broad analysis of the entrepreneurial environment in Mexico - venture capital, talent, regulation and market, in which it also touches on some topics that are relevant to the country today, like its growing violence trend. After creating a picture of the current environment in the first chapter, the second chapter investigates three different business models to create globally successful startups from Mexico. The first one of these models considers incubating a company in Mexico and then moving that company into the United States. The second one talks about ways in which Mexican companies can be created with the intention of selling software in the American market from their first day. Finally, the third one investigates going for the software market in emerging economies rather than the American market. The chapter closes with a proposed model to evaluate each opportunity, using as a base Michael Cusumano's eight point framework from his book The Business of Software. The third and final chapter presents three case examples of software business in Mexico that have had different levels of success, followed by some analysis. The businesses considered where two very successful ones, JackBe and Metroscubicos and one that had a lot of promise but could not materialize, Nibbo Studios. The document's conclusion contains two lists of ideas for entrepreneurs to keep in mind. One called "Seven myths and realities of Mexican software entrepreneurship" tries to paint the real picture of Mexico's entrepreneurial environment, and the second one, named "Eight principles for entrepreneurs creating a Mexican software startup" provides guidance for entrepreneurs creating new companies.

Mexico Company Laws and Regulations Handbook - Strategic Information and Basic Laws