Incorporating A Panama International Business Corporation (IBC)
A Panama International Business Corporation (IBC) is a versatile legal entity crafted under Panamanian law to facilitate international trade and investment. It offers an array of benefits, making it a preferred choice for businesses seeking global expansion.
You just need two people, no matter where they’re from, to submit Articles of Association to the Public Registry. But remember, you’ll need permission from authorities to start any business activities.
Key Features of a Panama IBC
- Tax Optimization:
A Panama IBC enjoys a favorable tax regime, with no taxes levied on income earned outside Panama. This tax efficiency allows businesses to retain more of their profits for reinvestment or distribution to shareholders. - Privacy and Confidentiality:
Panama has stringent privacy laws that ensure the confidentiality of corporate information. Shareholder and director identities are kept confidential, offering a layer of anonymity for business owners. - Asset Protection:
Panama provides robust asset protection measures, safeguarding assets from creditors and legal liabilities. This shield enhances the security of business assets, minimizing financial risks. - Ease of Incorporation:
Establishing a Panama IBC is straightforward, with minimal bureaucratic red tape. The process is swift, allowing businesses to commence operations promptly and seize emerging opportunities. - Flexible Corporate Structure:
Panama IBCs offer flexibility in corporate structuring, accommodating diverse business needs. From nominee directors to varied share classes, businesses can tailor their corporate setup to align with strategic objectives.
Streamlining Your Corporate Formation
Upon our consultation, you’ll gain:
- Comprehensive insights into Panama’s corporate formation options
- Tailored strategies aligning with your relocation and investment objectives
- Assurance in making informed and advantageous corporate decisions
Why Choose Our Service?
- Expert Guidance: Our team consists of experienced professionals well-versed in Panamanian corporate law and regulations.
- Tailored Solutions: We understand that every business is unique. We offer personalized solutions tailored to meet your specific needs and objectives.
- Efficiency and Reliability: We prioritize efficiency and reliability, ensuring that your company formation process is completed accurately and promptly.
- Comprehensive Support: From initial consultation to post-incorporation assistance, we provide comprehensive support every step of the way.
INT. BUSINESS CORPORATION (IBC)
Registration Package
Company Formation:
- Name Availability Check
- Document Preparation and Filing
- Company incorporation process
- First year Company Secretarial service
- First year Registered Agent &
- Local Registered Address
- All Government fee for the first year
- Digital corporate documents
* This Package includes everything for a foreigner to set up a new Panama Non-resident Corporation from the beginning
** All-in renewal fee at US$1,400
INT. BUSINESS CORP. + BANK ACCOUNT
Registration + Account Package
Company Formation:
- Everything in the Basic package
- Open A Bank Account
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- One-time fee for application of up to 5 banks OR until the account is opened, whichever comes first
- Consulting on suitable alternatives if the first application is not approved
- Remote bank account opening
- Fast response and frequent updates on the bank account opening process
* This Package includes everything for a foreigner to set up a new Panama Non-resident Corporation from the beginning
** All-in renewal fee at US$1,400
Frequently Asked Questions
Who can establish a Panama IBC?
Any individual or entity, regardless of nationality, can establish a Panama IBC. There are no residency requirements for directors or shareholders.
What are the compliance requirements for a Panama IBC?
Panama IBCs have minimal compliance obligations, with no annual audits or financial reporting requirements. However, maintaining a registered office and agent in Panama is mandatory.
Can a Panama IBC open bank accounts and engage in banking activities?
Yes, a Panama IBC can open bank accounts both domestically and internationally. However, engaging in banking activities without the appropriate licenses is prohibited.
Is it possible to change the corporate structure of a Panama IBC after incorporation?
Yes, Panama IBCs offer flexibility in altering their corporate structure post-incorporation. Changes can include appointing new directors, amending articles of incorporation, or altering share capital.
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How can I dissolve a Panama IBC if no longer needed?
Dissolving a Panama IBC involves filing the appropriate documents with the Panamanian authorities. Once dissolved, the IBC ceases to exist legally, and its assets are distributed accordingly.
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Do I need a resident agent?
Yes, Panamanian Law requires corporations to have a resident agent, who must be an authorized attorney or law firm.
What is the annual cost of a Corporation?
Corporations pay US$300.00 of annual tax as a government fee for their right of existence. Additionally, the resident agent might charge their own fee to represent the corporation.
Can I obtain a power to represent my corporation?
Yes, you can accomplish this with a minute entry in the company’s minute book or with an entry in the articles of incorporation. You can delegate general power to any person, whether they are partners, shareholders, dignitaries, directors, or managers.
Can I change the Resident Agent of my Corporation?
Yes, but a company’s minute must be drafted and recorded at the Public Registry.
How long is the approximate processing time for the incorporation of an IBC?
Depending on the plan chosen by the client, the processing time may vary between 4 to 6 working days.
What is the minimum capital that the IBC must have in order to be incorporated or formed?
The minimum capital must be US$10,000 and must not be fully paid up or released.
What is the minimum number of shareholders that can exist in an IBC?
A corporation can be formed by only one shareholder.
Can the shareholders of the IBC be of any nationality?
Shareholders do not necessarily have to be Panamanian; they can be natural or legal persons of any nationality and domiciled anywhere in the world.
How much is the annual tax that IBCs have to pay?
The annual tax that corporations must pay to the state is US$300.00.
What is the responsibility of the shareholders towards the IBC?
The liability of shareholders is limited by the amount they owe on account of their shares.
