10 steps to incorporating in Colombia in 2023
Incorporation of a company in Colombia can be completed in an average of four months. By using Healy Consultants’ services, our Client will avoid travelling to Colombia. He will merely have to sign a Power of Attorney to our Colombian business incorporation agent who will then complete all procedures on his behalf, including the opening of a corporate bank account in Colombia for the company. The typical procedures are as follows:
- Prior the incorporation of a business in Colombia, Healy Consultants expects our Clients to i) settle Healy Consultants’ fees applicable to the engagement ii) sign and return our engagement agreement letter and iii) provide all the required due diligence documents;
- Healy Consultants will then assist our client to determine the appropriate entity to be registered. Usually our Clients agree that the simplified joint stock company, the SAS, is the easiest legal entity to structure. We also agree the preferred company name and if legal representative representation will be required;
- The dedicated project manager will then draft a detailed project plan mapping out a step by step the engagement, from Colombia company incorporation to corporate bank account approval. This document optimizes transparency and sets our Client’s expectations with regards to the expected end date of the engagement;
- Healy Consultants Group will draft and email our Client a Power of Attorney (PoA) to be signed by the proposed foreign director and shareholder in front a Public Notary. This document is to be apostilled or legalized at the Colombian Embassy in our Client’s home country and couriered back to Healy Consultants together with attested KYC documentation;
- When the above is completed, Healy Consultants will obtain a pre-taxpayer ID (RUT) online from the Chamber of Commerce. In parallel, our local attorney prepares a draft company constitution and legal representative appointment letters for the Client’s review and approval;
- Final documents are then signed, notarized and submitted to the Registry of Commerce of the city of incorporation.
POST INCORPORATION STEPS
- Healy Consultants completes tax registrations with i) the National Tax and Customs Office (DIAN) to obtains the final taxpayer ID number (NIT) and ii) the local Ministry of Industry & Commerce office for municipality tax;
- Healy Consultants assists our Client to open a corporate bank account with any of the big local banks such as Bancolombia, Davivienda or BBVA and deposits the initial paid up share capital. The legal representative will then collect online banking tokens for remote banking access. The USD account opening assistance with a PSP or Exchange House after COP bank account opening and assistance with Colombian ID when our Client travels to Colombia and adding them as bank signatory;
- When our Client is ready to employ staff in Colombia, Healy Consultants will register the new Colombian company with the following institutions: i) the Governmental Learning Service (SENA), Family Compensation Fund and the Colombian Family Institute (ICBF), for social security and payroll contributions ii) Administrator for Professional Risks (ARL) to cover workplace injuries and illness, iii) Colpesiones for purposes of pension and vii) register employees for the Mandatory Health Plan (POS) with the Colombia Ministry of Health and Social Protection;
- After successful incorporation of the Colombia company, Healy Consultants will courier, to our Client’s preferred address, the complete company kit including i) original corporate documents ii) unopened bank correspondence and iii) Client engagement feedback survey for him to assess the quality of our Colombia business incorporation services.