Panama company
- Your Company in Panama in 3-5 days.*
- The most competitive price, in complete transparency.
- Client private data protection via secured systems.
- A dedicated manager available throughout the year.
- Your company and its application for a bank account, including eBanking and credit card.
General information
The Republic of Panama is strategically located in Central America, bordered by Costa Rica to the west and Colombia to the southeast, with coastlines on both the Pacific Ocean and the Caribbean Sea (Atlantic Ocean). Its capital, Panama City, lies on the Pacific coast at the entrance to the Panama Canal, a vital international waterway that connects the Atlantic and Pacific oceans.
Panama was a Spanish colony until 1821, after which it became part of Gran Colombia. It later achieved full independence in 1903 with support from the United States, coinciding with the construction of the Panama Canal.
With a population of approximately 4.4 million, and over 1.5 million residing in the greater Panama City metropolitan area, Panama has established itself as a leading offshore financial center. The country is well-regarded for its robust corporate legislation, confidentiality provisions, and investor-friendly environment. Its territorial tax system means that income earned outside of Panama is not subject to local taxation.
Company formation in Panama is typically handled through a licensed local law firm, ensuring compliance with legal and regulatory standards. The process is efficient and widely used for international business, asset protection, and estate planning purposes.
Panama company main characteristics:
| Company type | Sociedades Anonima (S.A.) |
| Governing corporate legislation | The Panama Supreme Court of Justice is the governing authority and companies are regulated under the Law 32 of 1927. |
| Information published relating to company officers | Upon registration, the company directors' name will appear in the register, available for public inspection. Nominee directors can be used in order to avoid the client's name appearing. |
| Confidentiality | Panama offers a high level of anonymity and privacy. |
| Accounting requirement | No, unless business operations are conducted in Panama |
| Taxation | No taxes of any sort. |
| Legislation | Modern offshore legislation. |
| Standard currency | US$ |
| Time to form | Panama has an efficient registry: company formed in 3-4 days. |
| Stability | Stable jurisdiction with a good reputation. |
| Communication | Efficient communication means. |
| Time zone | Convenient world time zone: GMT-5 |
| Secretary required | Yes |
| Paid up capital requirement | No paid up capital requirement. |
| Basis of legal system | Under Civil Law. |
| Minimum directors/shareholders | Minimum of 3 directors and 1 shareholder |
| Bearer shares | Bearer shares are permitted |
EU-Based Entity Formation
Establishing a European corporate presence provides access to one of the world’s largest single markets and a broad network of suppliers and partners. Operating as an EU-registered company enhances credibility and offers the potential to engage in intra-EU trade under the reverse charge mechanism, allowing for VAT-neutral transactions between VAT-registered businesses.
Offshore company
Establishing an international company in a tax-efficient jurisdiction can support cost optimisation and improved capital allocation. When structured and managed correctly in accordance with applicable laws, such entities may benefit from favourable tax treatment. This can enable businesses to reinvest a greater portion of their earnings into growth and development.
Bank accounts
Let us handle the paperwork while you focus on your business. With LinkedEurope, your bank account can be opened within a month — quickly, efficiently, and without hassle.