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What is an Company & What are the Benefits?

If you are thinking about starting your own organization, then you might have considered the possibility of establishing it as a company. A Panamanian company offers benefits that regular companies cannot match. Before you decide what kind of organization to establish, you should learn a bit about how starting a company might benefit you.

What is a Panamanian Company?
First things first. What is a company? At its most basic, a company is simply an organization that has been incorporated outside of its home country. For instance, if your company operates in the United States, then you could establish an offshore company in countries such as New Zealand, Switzerland, Panama, and similar countries that are hospitable to foreign organizations. The Panamanian companies cannot, however, do business within the host country.

The way that a company functions greatly depends on where you incorporate. A company in Panama, for instance, has all the legal rights of an individual. It is owned by a collection of stockholders. Those stockholders, however, are only held liable for the amount that they invest in the company. This protects them from significant losses that could result from business failures, lawsuits, and other unforeseen events.

What is the Benefit of Establishing a Panamanian Company?
The benefits that you get from establishing a company depend on two important factors: where you live and which host country you choose.

Many companies choose to incorporate Panama because it is known as an international country that does not regulate industry aggressively. If your company is incorporated in the United States, for instance, you cannot do business in certain countries, such as Cuba. When you have a Panamanian company, though, those regulations do not apply to you. You can, therefore, make business decisions that will benefit your organization without worrying that you will break regulations created by overzealous policymakers.

Having a Panamanian company can also help you save money. Offshore companies typically pay lower taxes than those that are incorporated within their home countries. Paying lower taxes means that you can reinvest the company’s earnings or keep a larger profit without handing a lot of money over the government.

In addition, companies offer a considerable level of privacy, especially when they are established in countries like Panama and Belize, which have very strict privacy laws. When you establish a company in Panama, you can protect your investment from outside parties. Depending on which type of stocks you choose, you might even be able to keep the names of stockholders completely off of the company’s records. This offers a level of privacy that is unsurpassed anywhere else in the world.

Starting a Pananamian Company
If you decide that starting a company in Panama is the right move for your business, then you will want to choose an experienced law firm that can help you set up the organization properly. Delvalle and Delvalle, for instance, have years of experience working with clients from all over the world. They offer a range of services that can help you establish your company quickly so that you can start taking advantage of the benefits as soon as possible

Over 15 years of experiences advising clients from all over the world.

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