Panama Corporation

PANAMA CORPORATION – PROCEDURES BENEFITS AND ADVANTAGES

Panama Corporation with bank account is a simple and fast procedure.

Meaning

Every time you going to start a business in Panama the first step is the creation of an anonymous society or SA. The corporation is S.A. (in spanish: sociedad anónima) named because the owner or owner thereof, is held under complete anonymity as this does not appear on the public registry of Panama , is something that only appears in the shareholders and that is a private document of each business.

The corporation requires a minimum of 3 directors, usually a president, a secretary and a treasurer is appointed. The directors of the company does not necessarily have to be the real owners of the corporation . Their function is to represent the company and they appear on the public registry of Panama.

The resident agent of the company

The resident agent of the corporation is the lawyer or law firm that represents the company, the resident agent carries the theme of the single annual fee and is responsible for the annual maintenance of society. And usually it is annually reminds the customer to pay the annual fee. Importantly, the resident agent has no responsibility for the actions of society. Neither the directors of the company.

Panama Corporation tax – Annual Rate

The companies pay the government of Panama an annual rate of 300 USD , it is important for the companies to pay this taxes because the banks and government institutions will ask for the good standing certificate of the corporation, to any proceeding or need to be licensed you must be up to date . In addition, a defaulting company paid a penalty of $ 50 per year.

Foreign clients

For all foreign clients of any nationality , it is not necessary to come to Panama for the constitution of the corporation, and we designate the figures of two subscribers, and once society is made them waive this right. If it is important to come to Panama for bank interview for the bank account, we also support the opening of the bank account to our clients.

The difference between a corporation and an offshore company it is basically the same, the difference is that an offshore company is managed from abroad.

Thousands of offshore companies in Panama are recorded annually from all over the world, and the reasons are many , including due to tax savings.

An offshore company will usually accompanied by a bank account, we support our customers in opening accounts in the best banks in Panama.

Panama Corporation Law – Law No. 32 of February 26, 1927

Corporations are governed by Law 32 of February 26, 1927 is considered a fairly flexible law.

Panama Corporation Benefits – Advantages

  • For companies that operate out of Panama , it is not necessary to pay income tax on income from sources outside Panama , the territoriality principle applies . While all transactions are developed and Panama capitalized off tax payment for the same will not be necessary .
  • The annual maintenance cost of the company is relatively low , annual fee is 300 USD and the maintenance payment for the resident agent or attorney only 300 USD , giving a total of USD 600.00 .
  • The shareholders or members of the company may be foreign and may also be other foreign or Panamanian corporations .
  • The directors of a Panamanian corporation can be from any country , need not be Panamanian .
  • The company and its capital may be located outside of Panama .
  • One person can own 100 % of the shares of the company
Panama Company Requirements

It’s simple to create a corporation in Panama.

We as law firm will deliver you a form by mail that the client must send it with the completed copy of the passport will be the main shareholder of the company.

The questions on the form are the same as below:

Name: The customer must provide the attorney will have 3 possible names that society, in that order will search the public register of Panama to see if the names are available .

Abbreviations: The name of the company may end up with the 3 following acronyms: Corp., SA , Inc. all represent the same , and the customer can choose any of the 3 stands for society.

Activity: Activity or activities that the society will develop.

Directors: Provide three directors and their position in the corporation.

Capital: The minimum to create a society capital is $ 10.000 , but this is on paper, does not have to prove this amount.

The company’s capital is variable, and each company can be formed equal to the quantity that the company will have.

The cost of the corporation fees vary depending on the company capital, since the payment for entry registration fees are assessed based on the amount of such capital.

Time: The time it takes the establishment of a corporation is 3 to 5 business days. After that, we will send you the document via DHL.

Responsibilities

It is important to understand who is responsible in the corporation.

According to Law 32 the company directors don’t have criminal or civil responsibility, who are responsible are the owners or shareholders in that society. The resident agent or attorney is not responsible for criminal acts of the corporation. We also have Panama Corporations for sale.

 

In conclusion, we create panamanian corporations, the process is simple and fast, you dont need to come to Panama for that.

 

Business license or Commercial license (Only for clients that will operate in Panama)

The business license in spanish is called “aviso de operación” (Only for companies that will operate in Panama).

We can also support you with this process . This license is authorized by another institution called the Ministry of Commerce and Industry.

 

The commercial license is apart from society and this is the license that requires any company that will operate in Panama . A look is obtained legal status through the corporation , obtain operational reporting . The commercial license will have following information: the name of the company , the name of the directors, the activity developed, the address of the company and the resident agent.

The business license once is obtained should be placed in a visible place in the business that will be developed , and the government checks annually this license 1 or 2 times per year.

Request your corporation with us . We will send you the information needed for this simple process.