Panama
General Information
General Information
| Location | Panama is a country in Central America situated between North and South America. |
| Capital | Panama City |
| Population | About 2,630,000 |
| Language | Spanish (official) |
| Legal System | Panama's politics take place in a framework of a presidential representative democratic republic, whereby the President of Panama is both head of state and head of government, and of a multi-party system. Executive power is exercised by the government. Legislative power is vested in both the government and the National Assembly. The judiciary is independent of the executive and the legislature. |
| Currency | Balboa |
| Economy | Panama's economy, because of its key geographic location, is mainly based on a well developed service sector especially commerce, tourism, and trading. The handover of the Canal and military installations by the United States has given rise to large construction projects. The expansion project of the Panama Canal, combined with the conclusion of a free trade agreement with the United States, are expected to boost and extend economic expansion for some time. |
| Time Zone | EST (UTC−5) |
| Principal Corporate Legislation |
Law No. 32 of 1927 and the Commercial Code |
Company Incorporation
- Incorporation fee for a company with share capital less than USD 10,000 of 100 shares is USD 1288 included government fee, professional fee, registered agent fee, registered address.
- A company’s name must be ended with SA, GMBH or CORP etc., which should contain the meaning of limited liability, but not allow using Limited or LTD.
- An incorporation order from client informing the company name, names and addresses of at least three directors, and three officers (President, Treasurer & Secretary), name and address of shareholder(s), the amount and structure of authorized capital.
- Minimum three directors who can be an individual or a corporation, and no restrictions in nationality/jurisdiction. The age should reach 18.
- Each company should appoint a President, a Treasurer and a Secretary. They may be an individual or a corporation, any person may hold two or more positions of officers, but the President and Secretary are not suggested to be acted by same person. Directors may act as officers and the age should reach 18.
- Chinese name is not allowed for Panamanian Company.
- The original corporation documents will be delivered to clients 2-3 weeks after the incorporation date.
- Due diligence of the President, Treasurer and Secretary are required
Features & Benefits
- Full exemption from taxation on any business activity or transaction carried out outside Panama
- No requirements of a minimum paid up capital
- Information about shareholders and beneficial owners is not filed with the Public Registry Office and
not available to the public - No requirement to file annual return or financial statments
- Large number of international banks and corporations
- No foreign exchange control.
