Everything You Should Know About Company Incorporation in Panama.
As far as offshore company incorporation goes, Panama is one of the best places on earth to set up your company. 4 million in Panama, the urban areas are more populated compared to the rural areas. Even though Spanish is Panama’s official language, you will find a lot of people in the urban areas who are fluent in English. Language barrier will not deter you from going on with your business operations in Panama as long as you are a Spanish or English speaker. The jurisdiction governing the domestic and offshore companies is all the same. This is good news for foreigners who want to start companies in Panama because they will have it as easy as the Panama citizens who have started businesses in their country.On top of that, corporations are only taxed on the income that they make from doing business in Panama. You can have your business registered in record time and the process cannot be more than 48 years. This is a great thing when compared to the rest of the world.
For your corporation to be registered you will need three directors who act as the secretary, treasurer, and president. You have to show that the incorporation has two shareholders but you only have to present the name of one before registration. The directors can also be the shareholders and you do not need any local in your company executive positions. To make sure there is privacy and confidentiality in the firms, the incorporation will only submit the names of the directors for the public records. Any other shareholder will be kept private. If the corporations can show that some of the income they made came from outside the country then they will be tax exempt. This is good news for business people because taxation is one of the greatest hurdle hindering people from starting foreign incorporation.
Non-residents who have corporations in Panama are not required to publish their financial statements in for the public to see. Also, you do not have to keep your shareholder’s register in Panama but you should have one. You do not have to keep meeting with your shareholders and in case you have a meeting those not in Panama can listen in through the telephone. If you want to use the Panama corporation to offer insurance, trust or bank services all over the world, you will have to conduct the Panama Financial Services Commision for authorization. These are more than enough reasons why Panama is the place you want to do business in.