Panama
Incorporation package includes
- Incorporation of a Panama company
- 1 year Registered Office Address
- 1 year Company Secretary Services
- Preparation of necessary resolutions and documentation
- Guidance to ensure your company remains in good standing
- Reminders and support for annual filings, renewals, and business registration renewals
Why form a company in Panama?
No Foreign Income Tax
Panama follows a territorial tax system, meaning non-resident companies are not taxed on income earned outside of Panama. This makes it ideal for businesses with international clients and operations.
Robust Privacy Protections
Panama has strict confidentiality laws, protecting the identity of company owners and shareholders. Nominee directors are also available to further enhance privacy.
Flexible Corporate Structure
Panama’s non-resident companies offer flexibility in terms of ownership, share classes, and board composition, allowing a structure that suits different business needs.
Stable Legal Framework
Panama’s legal system is based on civil law, providing a well-defined framework for business operations. The country’s stability attracts global businesses seeking long-term solutions.
No Exchange Controls
Panama allows free movement of capital, with no exchange controls on foreign currency, making it easy for international companies to move funds in and out of the country.
Quick Incorporation Process
Panama offers a relatively fast incorporation process, allowing companies to be set up and operational within days.
Ideal for Holding and Investment Companies
Panama non-resident companies are popular for holding assets, real estate, or intellectual property, and for use in investment portfolios.
Enjoy Panama's tax benefits
No Corporate or Income Tax
Offshore companies are exempt from income and corporate taxes.
No Capital Gains Tax
Asset disposals are tax-free.
No Reporting Requirements
Minimal reporting, enhancing privacy.
No Withholding Tax
Dividends and other payments are free from withholding tax.
Flexible Structure
Simple regulations and confidential structures.
Delivery timeline
Setting up a non-resident company in Panama is generally efficient, taking around 5-7 business days. Here’s an overview of the process:
Pre-Incorporation
Choosing a company name, preparing incorporation documents, and determining the company structure.
Company Registration
Submission of incorporation documents to the Panama Public Registry.
Issuance of Certificate & Documents
After registration, issuance of the Certificate of Incorporation, Memorandum & Articles of Association, and other necessary documents.
Post-Incorporation
Finalizing the appointment of directors and shareholders, opening a bank account, and completing any additional formalities.
Required documents
To incorporate a non-resident company in Panama, the following documents are required:
Director and Shareholder Information
- Copies of passports or government-issued IDs for each director and shareholder
- Proof of residential address (e.g., utility bill or bank statement)
Company Name
Proposed company name (subject to approval by the Panama Public Registry).
Business Activities
A brief description of the company’s intended business activities.
Registered Office & Resident Agent
Confirmation of the company’s registered office and resident agent, as required by Panamanian law.
Memorandum & Articles of Association
Document outlining the company’s structure, share capital, and rights of shareholders.
Frequently answered questions
Find answers to common questions about our services and the company formation process. We’re here to provide clarity and support for your business journey.
Why should I incorporate a company in Panama?
Panama offers a range of advantages for international businesses:
- Tax Advantages: No tax on income earned outside of Panama for offshore companies.
- International Business Hub: Panama is strategically located and has a robust financial infrastructure.
- Privacy: Panama does not require the public disclosure of shareholders or directors.
- Stable Legal System: Panama follows a well-established legal system based on U.S. and European laws.
- Ease of Doing Business: Panama has a business-friendly environment and streamlined registration process.
What types of companies can be formed in Panama?
Panama offers a variety of company structures to suit different business needs:
- Panama Corporation (S.A.): The most popular choice for international business, offering limited liability and ease of operation.
- Limited Liability Company (LLC): Ideal for smaller, more closely held businesses, providing flexibility and liability protection.
- Private Interest Foundation: Often used for estate planning, asset protection, and wealth management.
- Branch Office: Foreign companies can set up a branch in Panama to carry out business activities.
Do I need a local director or shareholder to form a company in Panama?
No, Panama does not require local directors or shareholders for company formation.
- Foreign ownership is fully permitted, and there are no restrictions on nationality.
- Nominee services for directors and shareholders are available to maintain privacy and simplify management.
- Speedy Incorp LLP can assist in providing nominee director and shareholder services as needed.
How long does it take to incorporate a company in Panama?
The process of incorporating a company in Panama is efficient and fast:
- Incorporation typically takes 1-3 business days.
- Speedy Incorp LLP handles the paperwork and registration, ensuring a smooth process.
- Once incorporated, your company will be fully operational and legally recognized in Panama.
What are the ongoing compliance requirements for Panama companies?
Panama companies have relatively minimal ongoing compliance requirements:
- Annual Return: Companies must file an annual return with the Panama Public Registry.
- Registered Office and Agent: A local registered agent and office are required to maintain the company’s legal status.
- No Audits: Panama companies are not generally required to conduct audits unless involved in specific regulated sectors.
- No Financial Statements: Companies are not required to submit annual financial statements unless requested by the authorities.
