
The Dominican Republic offers a favorable environment for foreign investors looking to establish a business. With a growing economy and increasingly attractive regulatory framework, the country attracts numerous entrepreneurs. However, the company formation process involves several administrative steps that are important to master. Here is a detailed guide to the main procedures and required documents to launch your business in full compliance with the law.
Key Steps to Bring Your Business Project to Life
Choosing the appropriate legal structure for your business is the first crucial decision. The most common forms in the Dominican Republic are the Corporation (S.A.), the Limited Liability Company (S.R.L.), and the Sole Proprietorship with Limited Liability (E.I.R.L.). Each has advantages and disadvantages regarding liability, taxation, and management. It is recommended to consult a local attorney to guide you toward the most suitable structure.
Reserving your company’s trade name with the National Office of Industrial Property (ONAPI) is the next step. This procedure ensures the chosen name is not already in use and protects it. The reservation is valid for 90 days, during which you must complete your company’s registration.
Drafting and authenticating the company’s bylaws is a fundamental step. This document defines the company’s operating rules, capital structure, management bodies, etc. The bylaws must be written in Spanish and authenticated by a Dominican notary.
Obtaining the National Taxpayer Registry (RNC) from the General Directorate of Internal Taxes (DGII) is essential for any commercial activity. This tax identification number will allow you to file tax returns and obtain the necessary permits for your business.
Registering with the Commercial Registry at the local Chamber of Commerce and Production finalizes the registration process. This registration formalizes the legal existence of your company and allows you to obtain your certificate of registration.
The Winning File: Essential Documents to Prepare
Compiling the registration file requires gathering several documents, the list of which may vary depending on the chosen legal form. Here are the main required elements:
- Duly completed registration application form
- Copy of the company’s bylaws authenticated by a notary
- Copy of identification documents of founders and administrators
- Proof of company address (lease agreement or property title)
- Proof of payment of registration fees
- Minutes of the constitutive assembly (for S.A. and S.R.L.)
- Trade name reservation certificate issued by ONAPI
For a corporation (S.A.), additional documents are generally required:
- List of subscribers with the number of shares subscribed and paid up
- Report of the contributions auditor (if contributions in kind are made)
- Declaration of conformity signed by the founders
In the case of a limited liability company (S.R.L.), you will also need to provide:
- List of partners with their share in the capital
- Declaration of non-relationship between partners (if applicable)
Good to know: {For foreign investors, it is recommended to translate and legalize all personal documents (passport, birth certificate, etc.) before submitting them to Dominican authorities. This will greatly facilitate the registration process.}
Establishing a company in the Dominican Republic may seem complex, but with proper preparation and the help of local professionals, the process can be completed within a few weeks. Here are some recommendations to optimize your procedures:
Seek assistance from a local attorney specializing in business law. Their expertise will be invaluable in navigating the subtleties of the Dominican legal system and avoiding costly mistakes.
Anticipate administrative delays which can sometimes be lengthy. Plan a realistic timeline for each step of the process and begin your procedures well in advance of your planned business launch date.
Ensure your company’s tax compliance from the start. The Dominican Republic has strengthened its controls in recent years, and proper tax management is essential to avoid future problems.
Familiarize yourself with the local business culture. Personal relationships play an important role in the Dominican business world. Taking the time to build a network can greatly facilitate your administrative procedures and your company’s development.
Good to know:
The Dominican Republic has established a one-stop shop for business creation in certain cities, allowing for the centralization of several procedures and significantly reducing registration times. Inquire about the availability of this service in your area.
By following these steps and surrounding yourself with good advice, you will be well-prepared to launch your business in the Dominican Republic. The country offers numerous opportunities for foreign entrepreneurs, and with a methodical approach to administrative procedures, you can quickly focus on developing your business in this dynamic market.
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