Colombia’s transformation over the last 5 years has seen it shed its unstable reputation and evolve into one of the top investment destinations in Latin America. With resilient economic growth of over 4% annually the government has implemented wide-ranging reforms to improve competitiveness and provide a stable, safe and secure business environment. The country’s ‘National Development Plan’ has identified five key growth areas: Mines and Energy, Infrastructure, Innovation, Agribusiness and Housing.
The government, working in tandem with foreign investors, has created a competitive legal framework that ensures investors legal rights are protected.
There are five key facts pertinent to investors considering starting a business in Colombia:
- Corporate law enjoys great legal stability supported by strict government legislation that has progressed with time.
- Investors who wish to develop a business must, as a general rule, do so by means of setting up a subsidiary or branch office.
- Commercial law is both flexible and modern. It allows the creation of sole shareholders subsidiaries where the liability of the shareholder is limited to the amount of the corresponding contributions.
- Foreign investors do not need a local partner or investor to start operations in the country. With few exceptions, the entire equity of corporate entities can be foreign-owned and there are no legal restrictions on its subsequent repatriation.
- The Incorporation of a company is simple and expeditious and does not require prior government authorization.
The Harris Gomez Group, has over 19 years experience in South America and Australia, and is proud to continue to provide our clients with commercial, tax and legal advise from both an Australian and local perspective. Our aim is to make your business in the region as seamless and straightforward as possible.
The information graphic attached provides more information on the opportunities Colombia presents to future investors.