A Couple "Musts" and "MustNots" When Investing In Brazil

[RalphJ]

Originally Posted by beenthere

You were scaring me for a moment, I thought we had a communist infiltrator on a forum about non state owned property ..

Believe me, the gov't. here scares me sometimes. They're full of doubletalk. They say the want foreign investment then when large portuguese groups start buying large tracts of land they vote on bills in congress to limit the amount foreign groups can buy.

[mitico67]

don't see much wrong in limiting the amount of land foreigners can buy. it depends by the amount

[beenthere]

Originally Posted by RalphJ

Believe me, the gov't. here scares me sometimes. They're full of doubletalk. They say the want foreign investment then when large portuguese groups start buying large tracts of land they vote on bills in congress to limit the amount foreign groups can buy.

Could be worse, it could be like Dubai where no foreigner can own anything outright (property included), yet they market it as the place to invest and do business.

[PAUL-brasil]

Originally Posted by RalphJ

is it well documented on this site WG?? If so, could you point me in the direction of the threads?

Ya know there are still a few guys lingering around here in Aracaju that were in "cahoots" with Keifer when he was here several years ago. According to them, Keifer screwed them too, lol. But, coincidentally, one of them was/is involved in this Viva Vida deal here in Aracaju.

Hi Ralph
I like your threads, i certainly believe what you are saying 100% from my findings and thoughts, Golf for a while has been warning the risks in these investments for a while from many different angles and i and one or 2 other have added to it in the last month all mainly through words of common sense, hard research and some experience too, but yes you have certainly expanded on it through your long experience and especially bought the bigger danger of loosing all money if not careful to light!!

Cheers
Paul

[RalphJ]

thanks for the post Paul...and Joan above is one of the unfortunate ones that fell prey to being "misinformed" in her home country as to how she should've gone about investing. The problem, as in most cases, were greedy agents, developers, and others involved.

Joan can tell you first hand that I have helped her, and others, take the best steps possible in the current situation they're in.

BOL to you and don't be bashful to ask whatever questions you may have. I've had the opportunity to meet a lot of people here in Brazil and have some very good relationships with people that can help those in case of problems.

[deedee1]

Hi all,

SORRY Im a bit confused??

If the money DOES GO THROUGH THE BANCO DE BRAZIL then if you decide to sell up can I take my money out of the country or not???

Or once you invest in brazil there is no way of taking your money/investments back out of the country??

Take care-D

[Golfingworld]

Dee, basically you have to prove it went in to get it out...but it is not as simple as that! There are ways and means and interpretations of how it wen tin...as far as I know it has to be a personal transfer made by you in your name direct to the lawyer, owner or developer in Brazil and it has to say for the purchase of. So, just because you send it to a developer or lawyer in Brazil or outside for onward transfer doesn't mean it is autheticated in the right way. One has to be very careful about this and if some big developer or agent says he has done it rightdoesn't mean he has. But, allegedly, once it has gone in the right way, then it can also come out..but assuming you don't have your own bank thereadds another complexity. My guess is once it is in they don't want it to leave and if the rules change in between you are stuck as well. So, if you want a fast easy buck..go to Torremolinos or Faro.

[RalphJ]

to be safe, ones cash that is being spent to purchase in brazil must be sent to brazil directly from their bank account. Whether that is directly to the builder, agent(in brazil), or to your brazilian based company (then you purchase/invest via your brazilian company), that's up to you.

The problem that comes into play is when foreign investors pay people or entities that are NOT located in brazil. Even if those people or entities send your monies to brazil they didn't send it from YOUR bank account...so Banco Central has no record of that particular foreign investor sending any monies to brazil. Instead, they have records of an agent, or whomever you paid, sending monies to brazil.

That's a big problem for the investor.

[JMBroad]

Dee, I think you said somewhere earlier that you were working with Manzanares? They were the ones that I first heard this from, so I'm sure they would have made sure you did that. In any case, might be worth calling them and checking.

As Ralph and GW said, as long as the money is registered with the Banco Central as coming from you, you can take it out again.

[deedee1]

Hi all,

NO-I dont work for manzanes! But I am looking for a good reputable brazilian based solicitor to represent me soon when my contract is issued!!

So far with GS (spanish compnay) reservation agreements have been sent that are in spanish or portugese with also and english translation to it!
It states in the reservation agreements the price in euros but also says the ammount in reals!
A bank guarentee has also been offered from barclays in spain- for the reservation agreements so funds are protected for now!

OK just found thgis section within the agreement-

***** (so,so..co) is acting on behalf of the entity ******* co , domiciled in brazil, natal R/N **** REGISTERED WITH THE BRAZILIAN REGISTRY OF LEGAL ENTITIES UNDER NO *******!

SO i take it that the company and development and everything is registed in brazil legally also!
Which means that surely payments will go through and be paid to their legal company name registered in brazil???

If anyone can confim my findings that would be great- as this is how I understand it???

So payments will and should go via transfer to the registered company in brazil??

Take care-D

P.S- IF IT DOESNT then I will not pay anything else until this is resolved!! Or cut my loses and pull out!!
As I wont enter into a purchase unless I know I can get my money out at any point in case I need to for whatever reason!!