How to Register a Branch of a Foreign Company in Panama

As stipulated in Panamanian law, a foreign company that wishes to register a branch in Panama must comply with Key requirements to ensure the smooth enrollment process. Here are the most important steps:

• Certificate of existence of the company: This document must be apostilled or legalized by the Panamanian consulate in the country of origin.
• Articles of association: Provide a copy of the company's statutes, either apostilled or legalized.
• Directory Agreement: An official resolution authorizing the opening of the branch in Panama. You must specify the purpose, appoint a legal representative in Panama and assign a local resident agent.
• Legal representative: Appoint a person responsible for the branch in Panama, who will act before local authorities and will have legal authority to do so.

In addition, to comply with regulations, you will need to hire the services of a Resident Agent, who is usually a lawyer or legal firm authorized in Panama.

The submission of documents for the registration of foreign companies in Panama requires specific formalities established by Panamanian law. These include:

• Protocollization: All documents must be filed with a notary public in Panama. This is done by developing a Public Deed.
• The Hague Apostille: Documents from abroad must have the Hague Apostille or be legalized at the Panamanian consulate of the country of origin.
• Official translations: If the documents are not in Spanish, they must be translated into this language by an authorized public translator in Panama.
• Registration in the Public Registry: Once the documents are complete and protocolized, they must be submitted to the Public Registry of Panama to formalize the registration of the branch.

This procedure is crucial to ensure that the foreign company is officially recognized and can legally operate in the country.

The process of registering a foreign branch in Panama varies depending on compliance with the requirements and the correct presentation of documents. On average, the procedure takes between 4 to 6 weeks, broken down as follows:

• Compilation and apostille of documents: This step can take between 1 and 2 weeks, depending on the country of origin.
• Protocollization: Once the documents arrive in Panama, filing with a notary public may take 3 to 5 business days.
• Registration in the Public Registry: The registration process usually takes between 2 and 5 business days, as long as there are no comments from the Registry.

It's important to mention that working with an experienced local attorney can significantly speed up the process by avoiding common mistakes.

The costs to register a branch of a foreign company in Panama include different legal and administrative elements:

• Registration rights: These vary depending on the company's share capital. On average, the cost starts at USD 250.
• Legal Fees: Hiring a lawyer or law firm in Panama involves a cost that ranges from USD 1,000 and USD 3,000, depending on the complexity of the case.
• Document protocolization: This step has additional costs that can add up to USD 300 in USD 500, depending on the volume of documentation and the company's share capital..
• Official translation: If translations are required, these usually cost between USD 30 and USD 70 per page.

When considering these costs, it is essential to work with an expert team to ensure that there are no unnecessary expenses or incomplete processes that could create additional costs.

Registering a foreign branch involves multiple steps that, if not performed properly, can prolong the process or cause legal setbacks. In Limitless Legal, we specialize in facilitating the registration of foreign companies in Panama through a comprehensive approach, including:

• Personalized advice: We analyze your case to design an efficient strategy adapted to your needs.
• Complete document management: We handle the apostille, translation, and protocolization to save time.
• Guarantee of legal compliance: We ensure that all steps are carried out in accordance with Panamanian legislation.
• Ongoing support: We accompany you not only in the registration, but also in the initial stage of operations so that your company starts running smoothly.

With Limitless Legal at your side, turning your international expansion into reality has never been easier.