Gordon C. Says:
Is it possible to run a small business if I choose to retire to Panama?
Panama Lawyer Rainelda Mata-Kelly Says:
Dear Gordon,
It is possible for you to open a small business in Panama. As with any business, there are a number of issues to deal with, starting with the first decision: Will you operate in your name or under a corporation? Your first step should be to retain the services of a local lawyer.
Your lawyer will need to advise you on the national or local permits you will need to obtain (depending on the business activity), any restrictions and the taxes you will need to pay in Panama.
One restriction to watch out for is that foreign nationals are not allowed to own retail businesses. Also, as a foreign resident with the Pensioner Residency Visa you may own a business and oversee its operation, but you cannot work in it as a regular employee, since you would not be entitled to get a work permit.
If your intention is to work in your business, then make sure to explain this to your lawyer prior to applying for residency, so you may apply for a visa which grants you a work permit.
Read more about setting up a business in Panama on the IL website.
Good preparation certainly makes good luck!
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