How to Start a Business in 15 Minutes Find out more about Panama in International Living Postcards--your daily escape
Monday, Aug. 27, 2007
Panama City, Panama Last month, a new law went into effect, making it quicker and easier to open a business in Pamama. It's known as "law number five" (in Spanish, Ley 5 del 11 de enero de 2007) and reduces the amount of paperwork required to open a business. All you need is a computer and an e-mail address to get most any business up and running via the new system, called Panama Emprende (Panama Ventures). Representatives from the Chamber of Commerce and Government Innovation Secretariat (SIG) say the new process is very secure and increases transparency in Panama (by eliminating some of the "middle men" who may be tempted to ask for bribes). David Saied, head of the Finance Ministry (MEF) Public Policy department, says the online registration process takes 15 minutes and there are just five screens to navigate. Simply visit https://www.panamaemprende.gob.pa and follow the instructions. Among other things, you must enter your cédula (national ID number), address, and other company information, indicate the type of business, and check the online reference to find out whether you must pay a Tasa de Aviso de Operación (notice of operation fee) of $15 or $55. The fee, if applicable, can be paid online via Banco Nacional de Panamá (National Bank of Panama, or BNP) or via credit card. Under the new law, an Aviso de Operación (Notice of Operation, or AO) obtained via Panama Emprende substitutes commercial licenses for many businesses. Questions? You can call the Ministry of Trade, or MICI, at tel: + (507) 507-MICI (6424). Potential business-owners without computers can go to the MICI and use one of the computers available just for this purpose. Once a business is registered online, the MICI will visit and inspect it to ensure that the details reported online are correct. Certain types of business are barred from using the online system, as more rigorous registration processes are required. These exceptions include transportation companies, establishments that serve liquor, casinos and gaming companies, hospitals and clinics, government concessions (like port installations), and companies in the media, banking, real estate, insurance, or telecommunications industries. The Panama government says the new program cost $250,000 and puts the country at the number 26 spot for ease of opening a business on the World Bank's "Doing Business" index. The administration said in July it hoped to see 1,500 new businesses open with Panama Emprende by the end of the year. By Aug. 15, the goal had already been surpassed--some 2,132 businesses have already used the system to obtain their notice of operation. The new businesses encompass a wide range of services, from car repair shops to beauty salons, and represent the creation of at least 4,000 new jobs. Jessica Ramesch
Panama Insider, International Living P.S. If you plan to invest or open a business in Panama, one easy manual gives you all the concrete information and useful tips you'll need. Related articles: - How to Fly Direct to Panama (and Save Money) - Can You Get a Property Tax Exemption? Panama City will host the following events for IL readers: - Thom Hickling Charity Golf Tournament - The Ultimate Event II--America's Greatest "Retirement" Secret - Pathfinder's Panama Real Estate Tour, Dec. 8 | 
