Top 10 Reasons To Set Up Your Business In Panama
With over 25 years of experience in Corporate and Individual Law, Ernesto Chong Coronado and his company,PMC Group International have helped many clients successfully establish their offshore business in Panama.
By: Ernesto Chong Coronado
From the time I have been working in the field of offshore services, the interest in starting an offshore business in Panama is probably at an all time high. While those who have already established their business here are already reaping the tremendous benefits, some still need a little convincing about why they should be setting up their business in Panama. If you are one of those, let me give you not just one or two but ten reasons as to why Panama is probably the best offshore destination to start your business.
1.Panama boasts of a very large English speaking population. All the professionals and those in authority are extremely competent in the language and you will feel very comfortable in dealing with them while completing all the formalities. Foreign business services and products are not only well accepted, they are even favored in some areas. It is not surprising then that at last count, there were more than 500,000 registered corporations in Panama today.
2.Since as long as 1904, the US dollar has been the legal currency of Panama. This makes it very easy for you to conduct your business, as there are no currency conversion or acceptance problems to deal with. Further, Panama allows for free flow of funds in and out of the country and you do not have to worry about currency restrictions or currency exchange controls.
3.If you start a Panama International Business Corporation (IBC) or a Panama Private Interest Foundation, you will not be required to pay any tax on income earned outside of Panama. Further, the Panama government does not insist on any reporting requirements.
4.While the Panama government is laying down more stringent regulations to control money laundering, it is at the same time also strengthening the existing banking and corporate book secrecy laws. In fact, revealing any banking information is a crime in Panama, punishable by imprisonment.
5.Panama is widely regarded as having one of the most stable governments in all of South or Central America. Democratically elected, it has one of the most modern structures of governance and has shown excellent pro-business attitudes.
6.Panama has a booming, yet stable economy that has shown consistent growth patterns over the last many years. Not surprisingly, there has been a steady stream of investors wanting to do business, purchase property or simply invest in Panama.
7.Panama now has a highly respected, well-monitored international banking system. While other offshore destinations offer nothing more than tax breaks, Panama is a true financial and business center. The Colon Free Zone in Panama is a highly successful distribution and trade center, believed to be second only to Hong Kong.
8.Panama boasts of an excellent infrastructure with world class amenities like clean drinking water, well paved roads and excellent communication systems including wide spread availability of high speed Internet connections. It also has a large population of well-qualified and well-trained business consultants, whose expertise you are bound to benefit from.
9.Panama is a wonderfully crime-free country. If you compare the crime rates in Panama and say a big city like New York, you will see that there are lesser crimes taking place in a year in Panama than what takes place in a day in New York!
10. If these are not reasons enough for you to start planning your next business venture in Panama, let me give you one final reason - the wonderful and exotic tourist spots that you can visit when you are taking a break from business matters. From rainforests to islands, beaches to the Panama Canal, you can find it all. In fact, the Bocas del Toro Archipelago is one of Panama’s top tourist attractions and more than 18 countries have filmed their Survivor series here.
Page Updated Last on: Feb 09, 2010