About Panamanian Corporations
When you think about any type of commercial transaction, whether it is pursuing a new business, any type of investments, they all seem to have one thing in common: they all involve some level of risk.
The question is, can a person have control over the risk factor and get the financial ball rolling? The answer is yes, by means of the creation of a Panama Corporation.
The Corporation is a legal entity that creates a separate personality to that of the owner, recognized by the law, which enables it to have rights and responsibilities like actual people, the latter limited to the assets belonging to it, hence avoiding any “collateral damage” that may affect personal assets.
Aside from enabling you to manage the level of risks involved, a Panamanian corporation offers the following advantages:
- An independent persona from the owner.
- The corporate veil guarantees the confidentiality of its owners.
- Easily transferrable because of its equity structure.
- Basic requirements for its formation.
- Minimum yearly maintenance expense.
- Multiple commercial uses.
Panamanian Corporations are commonly used for:
- Opening bank accounts.
- Asset management.
- Limiting responsibility and risks in different types of businesses.
- Acquiring real estate (land and properties).
- Investment of assets (purchasing stocks, bonds, etc.).
- As a holding for other companies and businesses.
- Requesting financing and commercial credit.
- Reducing income taxes and fiscal expenses.
Corporation Law
For more information about Panama Corporations, you can download the General Corporation Law (Law 32 of February 26, 1927) in PDF format.
Or learn more about the Panamanian Corporation's advantages.