For individuals based in the United States, Panama is now a popular choice as a location for forming offshore companies thanks to its advantageous legal structure, tax regulations, and strategic geographical position. These characteristics enable the establishment of businesses in Panama with the ability to engage in operations across various nations.
Characteristics and benefits of an offshore company
An offshore company is a business organization established in one country but operating in another. This arrangement offers a variety of enticing benefits, such as safeguarding assets, ensuring confidentiality, and delivering significant tax advantages to its proprietors.
For foreign investors looking to expand their businesses internationally, establishing an offshore company in Panama may be an invaluable strategic tool. Located in jurisdictions with favorable legal and tax frameworks, they offer a range of advantages that can drive the growth and profitability of their investments. The experts at Legal Solutions can guide you in establishing your offshore company.
Advantages of establishing an offshore company in Panama
One of the key factors contributing to Panama’s appeal as a preferred location for setting up an offshore corporation is its robust and sophisticated legal infrastructure, as delineated in the Corporations Law of 1927. This legislation grants a high degree of adaptability for forming and running such entities across various dimensions.
With Panama’s tax regulations, offshore corporations are liable for taxes solely on earnings derived within the country, leading to substantial tax efficiencies for enterprises conducting operations overseas. Furthermore, its advantageous geographical placement enables convenient entry into the markets of Latin America and the Caribbean, offering a priceless avenue for businesses contemplating expansion.
Panama further ensures stringent confidentiality measures by safeguarding the anonymity of shareholders and executives, eliminating the necessity for revealing financial details. Lastly, the expenses associated with initiating and upkeeping offshore corporations in Panama are competitive in contrast to alternative jurisdictions of a similar nature.
Essential requirements for establishing an offshore company in Panama
To create your offshore company in Panama, you simply have to fulfill the following conditions:
• Personal documentation: a copy of the valid passport of all shareholders and directors of the company (minimum 1 shareholder and 3 directors). Additionally, it is necessary to have the home address of all shareholders and directors.
• Forms: you must complete the Know Your Customer (KYC) Form, where the identity and source of funds of those involved are verified. Additionally, you need to complete the Company Formation Form, where basic information about the company is provided, such as its name, objectives, and share structure, and the Due Diligence Form, which delves into information about the shareholders, directors, and activities of the company.
• Additional documentation: if the shareholder is a company or legal entity from Panama, a valid Public Registry Certificate (maximum three months since its issuance) is required. If the company was established abroad, a valid Public or Commercial Registry Certificate from its country (maximum three months since its issuance) duly apostilled is required.
Remember, these are the basic requirements for establishing an offshore company in Panama. It is advisable to consult with specialists in the field, such as the team at Legal Solutions, to receive personalized guidance and ensure that all legal requirements are met.
Expand your business in Panama with Legal Solutions
If you are from the United States, Legal Solutions is a law firm with extensive experience in establishing offshore companies, with a long track record in the field and specialized departments. They will facilitate all these processes, always striving to provide you with the best advice to establish your operational business in Panama successfully.
Are you considering investing in Panama? Visit their website for more information. Contact an advisor to clear up any doubts you may have and receive a free 30-minute consultation.