Business entities in Honduras in 2024

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Since 2003, Healy Consultants provides our Clients with the best corporate structures for business in the Honduras. There are several ways of doing business in Honduras, the most common being the setting up of a limited liability company (SdeRL). Alternatively, entrepreneurs may establishing a public limited company (SA). Foreign legal entities may also set up a Branch Office or a Representative Office.

The Honduras limited liability company (SdeRL)

The Honduras SdeRL is the most preferred legal body used by entrepreneurs setting up businesses in Honduras. An SdeRL requires at least 1 director and 2 shareholders of any nationality and are not required to be resident in Honduras. The shareholders may be individuals or corporate bodies. An SdeRL requires a minimum share capital of US$250 to be incorporated.

The Honduras public limited company (SA)

  • The Honduras SA requires at least 2 shareholder who can either be individuals or legal entities to be incorporated. An SA must also appoint at least 1 director who can be of any nationality and must not be resident in Honduras. A SA requires a minimum share capital of US$1,250 to be incorporated;
  • The Honduras SA is required by law to appoint a statutory auditor.

The Honduras branch (sucursale)

The Honduran Commercial Code allows foreign legal entities looking to do business in Honduras to establish branch offices for their entities in Honduras. A minimum share capital of US$1,300 is required when incorporating a branch. This entity’s scope of operations in Honduras is defined and controlled by the parent company. The branch must appoint at least 1 Honduran permanent resident of any nationality to be the company’s representative in Honduras.

The Honduras representative office (oficina de representacion)

Foreign entities are allowed to establish representative offices in Honduras to act as a liaison with the parent company but are not considered legal entities and are not allowed to engage in any commercial activities in Honduras. A rep office must appoint at least 1 resident representative of any nationality. This entity is only allowed to conduct i) market research and ii) promotional activities of the parent company’s products and services.

Comparison table between Honduras business entities

LLC PLC Branch office Rep office
Also known as SdeRL SA sucursale oficina de representación
How long to set the company up? 6 weeks 7 weeks 10 weeks 8 weeks
How long to open company bank account? 4 weeks 4 weeks 4 weeks 4 weeks
Legal liability? Limited Limited Unlimited Unlimited
Wholly foreign owned? Yes Yes Yes Yes
Minimum share capital? US$250 US$1,250 US$1,300 US$1
File annual tax return? Yes Yes Yes No
Tax registration certificate required? Yes Yes Yes No
Recommended corporate bank account? HSBC Bank Atlantida Bank BAC Davivienda Bank
Does our Client need to travel? No No No No
Resident director required? No No No No
Resident shareholder required? No No No No
Resident legal representative required? No No Yes Yes
Minimum directors allowed? 1 1 1 1
Minimum shareholders? 2 2 1 1
Tax identification code (TIN) needed? Yes Yes Yes No
Honduras resident company secretary required? No No No No
Corporate shareholders allowed? Yes Yes Yes Yes
Corporate director(s) allowed? Yes Yes Yes Yes
Honduras corporate tax rate? 25% 25% 25% 0%
Annual financial statements required? Yes Yes Yes No
Statutory audit required? No Yes No No
Regulated by? Chamber of Commerce & Industry Chamber of Commerce & Industry Chamber of Commerce & Industry Chamber of Commerce & Industry
Allowed to issue sales invoices? Yes Yes Yes No
Allowed to sign contracts? Yes Yes Yes No
Allowed to import and export goods? Yes Yes Yes No
Can rent an office space in Honduras? Yes Yes Yes Yes
Can buy Honduras property? Yes Yes Yes No
Can own equity in other Honduras companies? Yes Yes Yes No
Total Honduras business setup costs in Yr. 1 US$17,400 US$17,400 US$20,550 US$20,550
Subsequent annual costs (incl. accounting and tax fee) US$6,300 US$6,300 US$6,300 US$6,300
Sample engagement invoice View invoice PDF View invoice PDF View invoice PDF View invoice PDF

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Contact us

For additional information on our business setup services in Honduras, please contact our in-house country expert, Ms. Chrissi Zamora, directly:
client relationship officer - Chrissi
Central Bank of Honduras Honduras presidential house honduras-mof Chamber of Commerce and Industry of Tegucigalpa