Setting Up a Business in Panama

An in-depth guide for foreign entrepreneurs and companies looking to enter the Panamanian market — a dollarized economy built around logistics and its canal, with a company formation regime genuinely favorable to foreign ownership and a truly territorial tax system.
This guide covers legal structures, business taxation — including Panama’s genuinely territorial system, where income earned outside the country is not taxed, alongside an honest note that Panama remains on the EU’s list of non-cooperative tax jurisdictions in 2026 — company formation via the Public Registry, the Colón Free Zone, the cost of labor, and immigration routes for executives, investors, and entrepreneurs, including the Friendly Nations Visa. Includes a dedicated chapter on Panama’s fast-growing technology and international trade ecosystem alongside its established banking and financial services base, an operational checklist, and useful contacts.
Available in English and Spanish.