How to Get a Panamanian Business License

‍‍Obtain a business license and receive assistance with the draft, review, and negotiation of various types of contracts for your Panamanian business.

Business licenses are issued on the same day it is requested for a registered company that meets all the requirements. However, the company must start operations within a period of twelve months after obtaining the business license.

If your business operates outside of Panama (offshore corporations), then a business license is not required.

Requirements

To carry out commercial or industrial activities in Panama, you must first receive a Notice of Operation issued by the Ministry of Commerce and Industries. This document authorizes any natural or legal person to engage in commercial activities within Panamanian jurisdiction.

Your business license must include:

• Company’s name
• Location of operation (within Panama)
• Operation Start Date

• Number of employees (minimum 1 employee)
• Activities that are going to be carried out

Your company is subject to an annual tax of 2% of the business’s net worth or social capital. The minimum tax is $100, and it does not surpass the maximum of $40,000.  

Activity Regulations

Business activities that involve the sale of alcoholic beverages (such as nightclubs, restaurants, supermarkets) may need to follow other requirements and provide additional costs to obtain their Business License.

In addition, commercial or industrial activities regulated by the government - such as investment advice, stock exchange, financing, pharmaceutical establishments, clinics, hospitals, private insurance agencies - must comply with all legal requirements before starting operations.