Opening a company in Colombia

In Colombia you can choose from a variety of forms of companies. The most common is called a S.A.S. (Sociedad por acciones simplificada). It is a simple public limited company under Colombian law. A brief insight should be given here.

Every company needs statutes and a tax number. The Articles of Association usually span between 8 and 12 pages and cover the general rules of a company. A statutory minimum capital is not required, i.e. one can determine a share capital for about $24 USD. The number of shareholders is not limited and is possible with at least one shareholder. The stock split (number and nominal value per share) is specified in the Articles of Association. Every stock corporation must have at least two supervisory boards, and the competencies can also be limited per supervisory board. In addition to the main activity of the company, secondary activities can also be specified in the statutes. This is highly recommended if you do not want any restrictions in your work.

First, the statutes are created using an online questionnaire. Then it is checked whether the chosen company name can be used legally and there is no risk of confusion with another company. If the statutes have been approved by the company's founders, a so-called pre-rut is applied for. This is a provisional tax number, which is assigned by the DIAN (Colombian tax authority). With the approved statutes and the provisional tax number and a certified opening balance (Colombian CPA), registration can be requested from the commercial register. This usually takes a maximum of 3 - 5 working days, after which you will receive an email asking you to collect the extract from the commercial register at the commercial register. At the same time, you get the definitive tax number. The company is now also visible in the electronic commercial register and register extracts can be ordered online. The entire process can be expected to take around 2 weeks.

Money transfer for depositing equity

If the equity capital is over $9,000 USD, a bank account must first be opened and the transfer must be reported to the Colombian National Bank using forms F4 and F5. This process takes up to three weeks.

Company address, a Colombian company address is required. But there are so-called "shared offices", where you can rent such an address and a "mailbox". These shared offices offer very individual solutions, from receiving the post to reception services. Many of them also have meeting rooms that can be rented if required.

Founding costs

Writing the statutes, preparing a certified opening balance sheet and applying for the provisional tax number costs are around $950 USD for a professional. The commercial register fees depends on the amount of the paid-up share capital. The minimum fee is around $120.

Representation of the company

The company foundation can be delegated. So, it is possible, even if you are not present in Colombia, to be represented with a power of attorney, so that the entire company foundation can be carried out even when you are absent.