Are you thinking of expanding your business to Panama? This Central American country offers a favorable business environment, with a growing economy and strategic location that seems to be attracting new investors and entrepreneurs today. Whether in or out of the country, finding out about the latest developments in the Panamanian business landscape is a good way to get started.
Additionally, it is best to define the profile of the company you want to create in Panama, considering your needs. Having legal advice can be a smart decision. There are several experts in the field, such as Legal Solutions Panama, whose trajectory and experience distinguish them as a reference.
What are the requirements to establish a company in Panama from United States?
For entrepreneurs hailing from United States, if your upcoming objective is to set up your business in Panama, you will need to meet specific criteria established by the Panamanian Government. These criteria include:
- A basic copy of the general passport for the directors, generally three, and for the shareholders, with at least one required.
- Directors and shareholders need to be adults, over 18 years old, and must have a valid passport.
- Submission of completed online forms containing details about the company and its beneficiaries.
It is essential to recognize that these requirements are applicable to both Panamanian citizens and foreigners. Nonetheless, if you’re a foreign national residing outside of Panama, there is no need for you to travel there; you can authorize a trusted lawyer or a representative to handle your documentation.
A step-by-step guide to opening a company in Panama
Having thoroughly reviewed the requirements mentioned earlier, it would be beneficial for you to understand the steps that may assist you in the process of establishing your business in this country:
- Determine your company’s location: A critical initial step involves deciding on your business’s legal and tax location, essentially your company’s headquarters. Considerations should involve evaluating financial and legal needs and determining whether the premises will be leased or owned.
- Obtain the Notice of Operations: This requirement is linked to your company’s location. The notice of operations is one of the necessary documents required by the Panamanian government for anyone wishing to set up a business. To acquire it, your company must be registered with the Panamanian Public Registry.
- Register the corporation or legal entity: This acts as your company’s identification document in Panama. For this registration, providing a company name and identification card is necessary. Typically, this process takes about 5 to 7 days.
- Acquire the Single Taxpayer Registry: This serves as the tax identification number for each taxpayer and is issued by the General Directorate of Revenue of Panama. Presently, several online resources are available to obtain this document. Details can be reviewed on the Government of Panama’s websites.
- Enroll with the Municipality of Panama (MUPA): This finalizes the process, confirming local registration.
To finalize this registration, you must also meet a set of requirements:
- A copy of the Notice of Operations.
- A copy of the ID card or passport of the legal representative mentioned in the notice of operations.
- A sketch detailing the location of the commercial establishment.
- The location must include details such as township, urbanization, neighborhood, street name and number, premises or residence number, building name, and apartment or commercial space number, along with at least two reference points.
- Updated email addresses and phone numbers.
- A copy of income tax returns from the date operations began. For businesses established before 2016, it’s advisable to bring all income tax returns from the start of the notice.
- A copy of the Articles of Incorporation and a Certificate from the Public Registry of Panama, which should be updated and not older than three months.
- Since January 2016, signage must be declarative based on area, presented in square meters during registration, considering length by width.
- A copy of income tax returns since the commencement of operations.
- Photos of the commercial premises, focusing on the exterior front.
Tips for Starting Your Business in Panama as a Foreigner
Panama provides distinct opportunities for entrepreneurs from United States thanks to its advantageous setting. Being thoroughly informed and strategically planning every step can significantly boost the success potential of your business. Moreover, enlisting the help of professionals in legal consultancy is crucial for streamlining the process. In this context, Legal Solutions Panama might be your ideal choice.
As a team of specialized lawyers in this area, they provide robust support regarding Panamanian legal matters, making the process of establishing your start-up smoother. If you wish to learn more about what Legal Solutions Panama offers, please visit their web and reach out to them.
