In 2010, during the census taken of the entire country of Panama, there were 3,322,576 registered residents on the isthmus. Now, according to new data, that number could reach close to 4,500,000 by 2022. This is a massive increase for such a small amount of time, and one that many believe is a positive sign of both economic growth, and quality of life increases. During this same period, Panama added thousands of new houses and residential buildings to meet the demand, sparking a construction boom unlike any in the region. Now, as the population continues to surge, Panama continues to work hard to meet growth for relocation and international investment.

Why is Panama’s population surging?

If you look at the country’s population growth over the past 60+ years, you’ll see that it has been increasing for decades. According to census statistics, Panama’s population grew from 839,000 in 1950 to 3,322,576 in 2010. Due to urbanization, industrial growth, and increased demand from the Canal, this number is fairly normal. However, going from 3,322,576 to an estimated 4,000,000 + in under ten years, is much more of a big deal. A lot of this growth has to do with immigration, and Panama’s relationships with neighboring countries, and their economies.

Also, a steadily increasing quality of life for Panamanians has made it easier for families to have more children, and raise them here locally. In fact, many Panamanians who had been living abroad returned to Panama over this period of time, in order to take advantage of the positive economic climate, and quality of life.

It’s all about economics when it comes to Panama’s population growth

While Panama certainly hasn’t seen all of this growth as a foreign immigration trend, it certainly plays a big part of it. Economic opportunities in Panama have made it a go-to place for workers in Central and South America, as well as investors from there and all over the world. The minimum wage in Panama is the highest in the region, and low tax rates make investing and opening a business much easier that it would be practically anywhere in this part of the world. Business opportunities abound in Panama, and this has a trickle down effect when it comes to quality of life, and where people choose to live.

The rapid urbanization of Panama

Between 1950 and today, Panama’s urban population has skyrocketed. The country has gone from a predominantly rural populated country to an overwhelmingly urban one. This is a trend that has seen similar patterns globally, due to the nature of the world’s economies, and access to services. As of today, around 70% of Panama’s total population lives in Panama City and its surrounding areas, and most of the remaining 30% live in the country’s smaller cities, rather than rural towns.

Is this population growth sustainable?

From the outset, it appears to be, but this will rely heavily on Panama continuing to grow their infrastructure. Construction of new properties (residential and commercial) hasn’t slowed down in this nine-year period, which is a very positive sign. Also, jobs have continued to grow, and unemployment is less than 5%, which is practically unheard of in Central American economies. If Panama can continue to provide new jobs, and new opportunities for living and investment, this growth should be sustainable for the immediate future. The real question is, can they keep up with demand fast enough?

The post Panama’s Population Still on Steady Growth Course appeared first on POLS Attorneys.

Considering moving to Panama or doing business in Panama? Where and how you bank is something you need to think about, and with priority. If you are relocating to Panama, either as an expat, retiree, or investor, chances are you have a bank account from your home country, or the country where you do your business in. Many of these banks are international, and thanks to the nature of digital banking in the 21st-Century, business can be done from anywhere without actually changing your bank account or moving it to another financial jurisdiction. There are, however, a few catches.

You may not NEED a Panama bank account, but having one will make things exponentially easier

Due to many factors, using your local (foreign) bank account to do day-to-day withdrawals, debit card purchases, and online payments for services shouldn’t be a problem. The problems, however, arise when you need your account for more than that. If you are planning to live full-time in Panama, or invest into the business infrastructure here, then having a local bank account will save you both time and money. Things like payroll, home financing, car financing, small business loans, and cheques all require a local bank.

Another big advantage allotted to you when you open a Panama bank account is the immigration and visa process. One of the fastest ways to get a residency visa, whether still working or a retiree in Panama, is to open a Panama bank account and make deposits there. Having a Panama bank account is part of the qualification process for all of Panama’s visa programs, especially ones involving businesses.

Start a Panama corporation with a Panama bank account

Even if you don’t plan on physically spending any time in Panama, you can use a Panama bank to open a Panama offshore corporation. Panama offshore corporations allow you run a business in or through Panama as an anonymous entity to institutions outside of Panamanian jurisdiction. This means that you can open an account, make business deposits via multiple entities in multiple countries, and protect them under Panama’s corporate and tax laws.

How to open a Panama bank account

The quickest way to start the process to open a Panama bank account, like most things in Panama, is to contract an experienced, reputed Panama law firm. You’ll need to prove solvency from your current bank, apply for your intended purpose for doing business or living in Panama, and will be required to make a minimum deposit as well. There are over 100 banks operating in Panama which gives you a lot of options to choose from before you decide.
Opening a Panama bank account can be a simple, painless process that will net you many benefits for the duration of the time you choose to work, live, or invest in Panama. To get started, contact us today, and we’d be happy to answer any questions, as well as assist in the process going forward. You will not regret it!

The post Why You Should Open a Panama Bank Account appeared first on POLS Attorneys.

How to work remotely from Panama as explained here involves first understanding Panama’s laws, including immigration and taxes. We cover that all here for a complete guide to working remotely.

Definition of Remote Worker

People often ask, “What is a remote worker”? Business dictionaries define a “remote worker” as an employee working outside of a company’s workplace. Often from home or an outside office. Communications mainly occur by telephone, email, or text messaging.

Over the past 10 years, remote workers also include people working outside of their countries. Whether in a company’s satellite office in another country or as an independent contractor in a foreign land.

Types of Remote Workers

Three types of remote workers categories fit nearly every remote worker in Panama, including:

1. Working for a company as a remote employee – Your company transfers you to work in their branch office in Panama. As a foreigner working for a foreign-owned company in Panama requires an immigration residency visa and a work permit. Read the explanation of these requirements below.
2. Freelancer – You move to Panama in order to support yourself by being a freelancer. Depending upon the types of clients and customers you intend to have may require the proper immigration residency visa and a work permit as explained below.
3. Online entrepreneur – You come to Panama and become an online entrepreneur only servicing clients online. Again, depending upon the types of clients you service online determines whether or not you need a work permit or pay Panama income taxes.

Finding a Remote Job in Panama

As a foreigner, working in Panama as an employee, whether for a local company or a foreign multinational company’s office in Panama, will require the right immigration residency visa and a work permit.

The best ways to find remote jobs in Panama include:

• Online jobs found through Craigslist, Encuentra24, expat (expatriate organizations) blogs, and forums, and local online newspaper classifications sections advertising available jobs.
• Newspaper classifieds found in every major national newspaper in Panama like the La Prensa newspaper (Panama’s largest).
• Employment agencies in Panama looking for workers like Manpower and Adecco.
• Tourist hotels and tour companies often look for English speaking workers (or other languages) to interact with foreign guests and advertise in their countries.
• Language schools are abundant in Panama where you can teach English (or any other language you are able to teach) to Spanish speaking children and adults. On the other hand, if you are proficient in Spanish, you can teach English speaking expats and others seeking to learn Spanish in Panama.

Panama Immigration Residency Visas for Remote Workers

In order to legally work in Panama, you need the right immigration residency visa. Instead of explaining all the requirements and details for applying and the costs involved for every visa option available, our website contains web pages explaining all of them.

Start with our Panama Visa introduction. You will learn that Panama provides 8 permanent residency visas. If you prefer, you can watch our Panama immigration video and get all the information you need. 

On the other hand, read the summary of the most relevant Panama immigration residency visa for remote workers:

Friendly Nations Visa

The most popular of all permanent residency visas leading to full Panama citizenship (if you desire) for citizens of 50 nations considered “friendly” with Panama. This is the fastest method to obtain permanent residency in Panama.

Read more about the Friendly Nations Visa, which highlights the list of the 50 friendly nations, visa requirements, and costs.

Several other options exist for a foreigner with sufficient funds to invest in Panama’s economy or marrying a Panama citizen. Read more about “How to Gain Permanent Residency in Panama”.

Panama Work Permits

Panama City of Knowledge Work Permit

The Panama City of Knowledge Work Permit specifically designed for the former U.S. military base (Fort Clayton) converted into foreign-owned companies and world organizations Business Park.

Foreigners coming to Panama to work as professors, researchers, technicians, businesspersons, or students for the companies and organizations located in the City of Knowledge can obtain work permits.

Learn more about the requirements, application process, and costs involved with obtaining a City of Knowledge Work Permit. Besides the City of Knowledge Work Permit, 10 other ways to obtain a work permit in Panama exist. Learn about all of them Here.

Panama Labor Laws

Working remotely in Panama explanations should include the Panama Labor Laws. We have an informative web page dedicated to explaining the complex Panama Labor Laws in an easy to understand Questions and Answer format. 

Working as a Remote Freelancer in Panama

Choosing to work remotely in Panama as an independent contractor (freelancer) requires knowing the correct immigration residency status. Some residency visas prevent foreigners from performing any type of work in Panama. Others allow you to work as a freelancer in Panama. For instance, entering Panama on a tourist visa prevents you from doing any type of income-producing work here.

Pay close attention to the permanent and temporary residency visas explained above to see if you can freelance in Panama using one of them.

Besides your immigration residency status in Panama, a work permit may not be required if your freelance business is totally dependent upon clients and customers residing outside of Panama. However, if your freelance work involves Panama residents you may be subject to Panama income taxes.

Depending upon the business relationship between yourself and your clients, a work permit may be required. Keep in mind the “independent contractor” relationship not allowing your clients to exert control over your hours, duties, functions, and other factors indicating more of an employee to employer relationship.

Panama Income Taxes

Earning money within Panama’s borders may require paying income taxes.

However, working remotely in Panama and only obtaining payment from foreigners residing outside of Panama may not be interpreted as “earning income within Panama”. That’s because Panama is a territorial taxation country. That means income taxes are levied only upon persons (and companies) earning money within Panama’s borders and not from outside of Panama.

Other countries (like the United States and some Asian & EU countries) impose income taxation on all “worldwide income”. That means their online freelancers are subject to taxation on all of their globally sourced income.

Take a look at our guide to Panama Income Taxes.

Panama Relocation Checklist

Before moving to Panama, take a look at our informative Panama Relocation Checklist to learn about required documentation to bring pets to Panama, vaccines, health insurance, documents required to open a Panama bank account, vehicle insurance, and other important information Here.

Contact Us regarding all of your Panama relocation, immigration, work permits, taxation, and employment law needs.

The post Working remotely? Become a Digital Nomad in Panama! appeared first on POLS Attorneys.

In 2010, during the census taken of the entire country of Panama, there were 3,322,576 registered residents on the isthmus. Now, according to new data, that number could reach over 4,000,000 the end of 2019. This is a massive increase for such a small amount of time, and one that many believe is a positive sign of both economic growth, and quality of life increases. During this same period, Panama added thousands of new houses and residential buildings to meet the demand, sparking a construction boom unlike any in the region. Now, as the population continues to surge, Panama continues to work hard to meet growth for relocation and international investment.

Why is Panama’s population surging?

If you look at the country’s population growth over the past 60+ years, you’ll see that it has been increasing for decades. According to census statistics, Panama’s population grew from 839,000 in 1950 to 3,322,576 in 2010. Due to urbanization, industrial growth, and increased demand from the Canal, this number is fairly normal. However, going from 3,322,576 to an estimated 4,000,000 + in under ten years, is much more of a big deal. A lot of this growth has to do with immigration, and Panama’s relationships with neighboring countries, and their economies.

Also, a steadily increasing quality of life for Panamanians has made it easier for families to have more children, and raise them here locally. In fact, many Panamanians who had been living abroad returned to Panama over this period of time, in order to take advantage of the positive economic climate, and quality of life.

It’s all about economics when it comes to Panama’s population growth

While Panama certainly hasn’t seen all of this growth as a foreign immigration trend, it certainly plays a big part of it. Economic opportunities in Panama have made it a go-to place for workers in Central and South America, as well as investors from there and all over the world. The minimum wage in Panama is the highest in the region, and low tax rates make investing and opening a business much easier that it would be practically anywhere in this part of the world. Business opportunities abound in Panama, and this has a trickle down effect when it comes to quality of life, and where people choose to live.

The rapid urbanization of Panama

Between 1950 and today, Panama’s urban population has skyrocketed. The country has gone from a predominantly rural populated country to an overwhelmingly urban one. This is a trend that has seen similar patterns globally, due to the nature of the world’s economies, and access to services. As of today, around 70% of Panama’s total population lives in Panama City and its surrounding areas, and most of the remaining 30% live in the country’s smaller cities, rather than rural towns.

Is this population growth sustainable?

From the outset, it appears to be, but this will rely heavily on Panama continuing to grow their infrastructure. Construction of new properties (residential and commercial) hasn’t slowed down in this nine-year period, which is a very positive sign. Also, jobs have continued to grow, and unemployment is less than 5%, which is practically unheard of in Central American economies. If Panama can continue to provide new jobs, and new opportunities for living and investment, this growth should be sustainable for the immediate future. The real question is, can they keep up with demand fast enough?

The post Panama’s Population Continues to Grow, as Country Builds to Meet Demand appeared first on POLS Attorneys.

Good news for travelers in Panama and Colombia! Copa Holdings, the parent company of Copa Airlines, has a low-cost airline based out of Panama City, that connects travelers with a variety of cheap, fun, international and domestic locations. This is huge for regional flights, especially to and from Colombia, and will generate more competition for Viva Colombia, previously the only budget airline leaving from Panama (Panama Pacifico Airport). Though owned by the same entity, Wingo is a completely separate brand from Copa Airlines, which currently has flights (and will share routes) to Bogota and Medellin, from Tocumen International Airport. Wingo is looking to offer lower prices than Copa for Panama/Colombian travel, but with a more “bare bones” approach to amenities, and small surcharges for things like luggage, food, and seat assignments.

Wingo is taking on a regional market that is becoming more and more demanding for low-cost flights

The main purpose of Wingo, from a business perspective, is to re-brand and re-invent Copa Holdings’ domestic service in Colombia, Copa Colombia, and expand it. It’s also needed to help stop hemorrhaging profits, which have declined in the domestic Colombia market for the past few years. Wingo will take over Copa Colombia’s existing domestic routes, and travel to 16 cities in 10 countries. All of the routes are in Central/South America and the Caribbean, and should be sizably cheaper than bigger, full-service international carriers, giving travelers another great option for low-cost business or pleasure travel.

Panama flights are all international, leaving from the city’s Panama Pacifico airport

Another big win for Panama in all of this is that Wingo’s local hub is at the Panama Pacifico Airport, which is a huge bonus for many travelers originating from Panama City. Wingo’s in-city location will help draw more low-cost travelers, and cut commute times as far as getting to flights. From Panama, you can to fly direct daily to Bogota, Medellin, and San Jose (Costa Rica). However, through Colombia, you can connect to lots of other Latin American locations, including Cancun, Aruba, Quito, Caracas, and Mexico City. Since Copa currently has direct flights to all three international locations listed by Wingo, it will be interesting to see how they share the market under the same parent corporation. Copa, however, insists that the products are different enough to not directly compete, but rather to share and expand these markets. For now though, it’s just speculation.

The post Copa Airlines’ Low-Cost Panama Carrier: Wingo! appeared first on POLS Attorneys.

How to work remotely from Panama as explained here involves first understanding Panama’s laws, including immigration and taxes. We cover that all here for a complete guide to working remotely.

Definition of Remote Worker

People often ask, “What is a remote worker”? Business dictionaries define a “remote worker” as an employee working outside of a company’s workplace. Often from home or an outside office. Communications mainly occur by telephone, email, or text messaging.

Over the past 10 years, remote workers also include people working outside of their countries. Whether in a company’s satellite office in another country or as an independent contractor in a foreign land.

Types of Remote Workers

Three types of remote workers categories fit nearly every remote worker in Panama, including:

1. Working for a company as a remote employee – Your company transfers you to work in their branch office in Panama. As a foreigner working for a foreign-owned company in Panama requires an immigration residency visa and a work permit. Read the explanation of these requirements below.
2. Freelancer – You move to Panama in order to support yourself by being a freelancer. Depending upon the types of clients and customers you intend to have may require the proper immigration residency visa and a work permit as explained below.
3. Online entrepreneur – You come to Panama and become an online entrepreneur only servicing clients online. Again, depending upon the types of clients you service online determines whether or not you need a work permit or pay Panama income taxes.

Finding a Remote Job in Panama

As a foreigner, working in Panama as an employee, whether for a local company or a foreign multinational company’s office in Panama, will require the right immigration residency visa and a work permit.

The best ways to find remote jobs in Panama include:

• Online jobs found through Craigslist, Encuentra24, expat (expatriate organizations) blogs, and forums, and local online newspaper classifications sections advertising available jobs.
• Newspaper classifieds found in every major national newspaper in Panama like the La Prensa newspaper (Panama’s largest).
• Employment agencies in Panama looking for workers like Manpower and Adecco.
• Tourist hotels and tour companies often look for English speaking workers (or other languages) to interact with foreign guests and advertise in their countries.
• Language schools are abundant in Panama where you can teach English (or any other language you are able to teach) to Spanish speaking children and adults. On the other hand, if you are proficient in Spanish, you can teach English speaking expats and others seeking to learn Spanish in Panama.

Panama Immigration Residency Visas for Remote Workers

In order to legally work in Panama, you need the right immigration residency visa. Instead of explaining all the requirements and details for applying and the costs involved for every visa option available, our website contains web pages explaining all of them.

Start with our Panama Visa introduction. You will learn that Panama provides 8 permanent residency visas. If you prefer, you can watch our Panama immigration video and get all the information you need. 

On the other hand, read the summary of the most relevant Panama immigration residency visa for remote workers:

Friendly Nations Visa

The most popular of all permanent residency visas leading to full Panama citizenship (if you desire) for citizens of 50 nations considered “friendly” with Panama. This is the fastest method to obtain permanent residency in Panama.

Read more about the Friendly Nations Visa, which highlights the list of the 50 friendly nations, visa requirements, and costs.

Several other options exist for a foreigner with sufficient funds to invest in Panama’s economy or marrying a Panama citizen. Read more about “How to Gain Permanent Residency in Panama”.

Panama Work Permits

Panama City of Knowledge Work Permit

The Panama City of Knowledge Work Permit specifically designed for the former U.S. military base (Fort Clayton) converted into foreign-owned companies and world organizations Business Park.

Foreigners coming to Panama to work as professors, researchers, technicians, businesspersons, or students for the companies and organizations located in the City of Knowledge can obtain work permits.

Learn more about the requirements, application process, and costs involved with obtaining a City of Knowledge Work Permit. Besides the City of Knowledge Work Permit, 10 other ways to obtain a work permit in Panama exist. Learn about all of them Here.

Panama Labor Laws

Working remotely in Panama explanations should include the Panama Labor Laws. We have an informative web page dedicated to explaining the complex Panama Labor Laws in an easy to understand Questions and Answer format. 

Working as a Remote Freelancer in Panama

Choosing to work remotely in Panama as an independent contractor (freelancer) requires knowing the correct immigration residency status. Some residency visas prevent foreigners from performing any type of work in Panama. Others allow you to work as a freelancer in Panama. For instance, entering Panama on a tourist visa prevents you from doing any type of income-producing work here.

Pay close attention to the permanent and temporary residency visas explained above to see if you can freelance in Panama using one of them.

Besides your immigration residency status in Panama, a work permit may not be required if your freelance business is totally dependent upon clients and customers residing outside of Panama. However, if your freelance work involves Panama residents you may be subject to Panama income taxes.

Depending upon the business relationship between yourself and your clients, a work permit may be required. Keep in mind the “independent contractor” relationship not allowing your clients to exert control over your hours, duties, functions, and other factors indicating more of an employee to employer relationship.

Panama Income Taxes

Earning money within Panama’s borders may require paying income taxes.

However, working remotely in Panama and only obtaining payment from foreigners residing outside of Panama may not be interpreted as “earning income within Panama”. That’s because Panama is a territorial taxation country. That means income taxes are levied only upon persons (and companies) earning money within Panama’s borders and not from outside of Panama.

Other countries (like the United States and some Asian & EU countries) impose income taxation on all “worldwide income”. That means their online freelancers are subject to taxation on all of their globally sourced income.

Take a look at our guide to Panama Income Taxes.

Panama Relocation Checklist

Before moving to Panama, take a look at our informative Panama Relocation Checklist to learn about required documentation to bring pets to Panama, vaccines, health insurance, documents required to open a Panama bank account, vehicle insurance, and other important information Here.

Contact Us regarding all of your Panama relocation, immigration, work permits, taxation, and employment law needs.

The post How to Work Remotely from Panama appeared first on POLS Attorneys.

The news in Panama these days is largely focused on two main topics: the 2019 Panamanian presidential election, and China. It’s not a coincidence, either. The two topics have a lot to do with each other, and for good reason. This past year, Panama made a bold move by agreeing to a series of economic and diplomatic partnerships with China, effectively ending their long-standing relationship with Taiwan (China’s historic enemy). While the move has caused a lot of controversy and debate, it is a clear step towards economic strength for the future of Panama. Here are four reasons why this is the case.

1. Increased Trade:

Trade between Panama and China isn’t new, but it has always been tempered by Panama’s trade relationships with other countries, and diplomatic restraints due to the Taiwan connection. With a new diplomatic relationship comes new trade deals, and that means lots of business for the logistics, import, and export markets in Panama. Panama can now import with better prices from China, and increase exports to the Chinese market, which will give them better leverage for future export deals with other nations.

2. Tourism:

The Chinese market for exterior tourism is the fastest growing in the world. Chinese tourists have lots of liquid capital to invest in travel, and many are choosing western countries as their prime destination. Panama intends on capitalizing on this by marketing tourism campaigns directly at the Chinese, and facilitating travel with new airline routes, Chinese guides, Chinese language tour options, and many types of tourism options for them while in Panama. This will bring in major revenues for the Panamanian tourism companies and ancillary businesses all over the country, who have suffered in recent years from a slump in visitors and visitor spending.

3. Infrastructure Investment:

Aside from trade, the largest economic impact of the Chinese increasing their presence in Panama will be their investment in the country’s infrastructure. Chinese companies are vying for major proposals to modernize Panama’s bridges, highways, and city infrastructure, which will help modernize Panama for the future, and facilitate more efficient business and quality of life options for Panama’s residents. This will also provide many jobs for Panamanians, as the majority of project labor must be done be locals, by law.

4. Betting on the Future:

No matter how you feel about it, it’s impossible to ignore the presence of China as an economic power of the future. China’s growth has been staggering, and done so fast, that for many not following closely, may even come as a shock. China is set to take the #1 global spot as an economic world power; a place they may not lose for a long time. This is why countries around the world are scrambling to see how they fit into this new economic picture (and model). There’s risk involved, however, which Panama is aware of. By betting on China, Panama may hurt diplomatic relations with the US, which could echo itself in trade as well. Panama is confident that it can weather through this, and that ultimately it can have a positive relationship with both countries. For now, though, Panama is betting big on China, and they seem to be pleased with it.

The post Four Reasons Why China’s Partnership With Panama Will Strengthen The Economy appeared first on POLS Attorneys.

There are many reasons you should choose Panama for offshore investment, but for each person, these reasons may differ a bit. It’s all about finding the right fit for your money, and the right climate to invest in. Luckily, Panama is ripe for offshore investment these days, making the choice easier, and of course, more profitable. Panama has one of the fastest growing economies in all of Latin America, and has lots of benefits to offer the offshore investor.

Here are 5 reasons that we think should push Panama to the top of your offshore investment list:

1. Stable Currency; Low Inflation. One of the biggest issues with investing offshore in Latin America is the value fluctuation of the local currencies, as well as high inflation. In Panama, this isn’t the case. Panama uses the US Dollar, meaning that their currency is the strongest out of all the currencies used in Latin America and the Caribbean. They also have low inflation rates, paralleling the US to a degree, keeping investments safer, and less prone to devaluation.
2. Location. While technology has made location less important than it used to be, you can’t undervalue the benefits of a strategic location. When you choose Panama for offshore investment, you are choosing to be in one of the most strategic locations for business in the western hemisphere. With the Panama Canal serving as a logistics focal point, plus a major airport hub and proximity to the US, Panama’s location is ideal for both short-term and long-term investors.
3. Strong Banking Sector. After years of favorable laws for foreign investment, Panama has built a reputation as a premier international banking city. There are over 100 banks operating out of the small Central American nation, giving you lots of choices for who you want to manage your money, and facilitate your offshore investments. Panama’s banks have very favorable interest rates and opening a bank account as a foreign investor is much easier than in similar countries in the region.
4. Great Real Estate Market. A good sign of economic stability and high future expectations is having a strong Real Estate market. In this category, Panama is soaring. There are more new business and residential properties being built in Panama than any of its neighbors, per capita. Plus, available properties are plentiful and make great investments. It also makes it a great place to buy or rent property to live, should you choose to relocate to Panama as part of your offshore investment strategy.
5. Cost of Living; Cost of Labor. The cost of living in Panama is fairly low when compared to similar countries and North America. This makes for a strong consumer market, low personal overhead, and even lower business overhead. Labor costs are low, and favorable taxes means less red tape when trying to plan a new business or help grow an existing one. A low cost of living is also beneficial if you choose to relocate to Panama while you choose your offshore investment, or if you want to live in Panama permanently.

For more on how to find the best Panama offshore investment for you, contact us today. We can help you step-by-step through the processes you need for your specific situations, and help find the best solutions for your investment plans. 

The post 5 Reasons Why You Should Choose Panama for Offshore Investments appeared first on POLS Attorneys.

In the business world, Panama is very well known for a few things: shipping, banking, tourism, and real estate. But these days, it’s the tech industry that’s catching the attention of many investors and entrepreneurs. Businesses can operate with low overhead, access to high-speed Internet, and a booming consumer market that loves electronics. Over the past few years the city, and country, have developed a tech-friendly culture that shows signs of becoming a big contributor to the local economy, and regional industry. Here’s why.

It’s All About the Apps

Smartphone usage in Panama has had consistent, steady growth, since Google’s Android OS broke into the Latin American market. Smartphones can be purchased for as low as $30, and data is cheap. Much like in the US, cellphone carriers have picked up on this, and incentivized data-driven plans that are cheap, and relatively good service, although far from what they would be in North America. Because of this, the culture of online communication, shopping, and task management has flourished in Panama.

WhatsApp, the cross-platform mobile messaging app has essentially replaced SMS texting, and even calling, and is used by nearly everyone with a smartphone, including many businesses. Other apps such as Waze, Uber, Tinder, and social media mediums like Facebook and Instagram are also immensely popular, and woven in to Panama’s younger, more modern culture. And much like in other parts of the world, the market’s desire for, new, bigger, better, and more efficient apps and web tools has grown at a rapid pace.

Why Tech Companies Love Panama

Having a consumer culture that supports new technology is great, but having a logistics hub in need of streamlining is even better. Panama is all about moving. Moving money, moving cargo, moving people. All of which can be enhanced for efficiency with high-tech solutions.  Companies like ABB (Swiss), who specializes in robotics and automation technology, as well as Dell (US), and Ericsson (Sweden), have all made sizeable investments into regional offices in Panama, with many smaller startups coming at a rapid pace.

Panama also now has the space and infrastructure to support these companies. On the site of the former US Fort Clayton in the Canal Zone, now lies Ciudad de Saber. It’s a government-sponsored commercial development built to house tech companies and their staff. It is also home to many higher education subsidiaries, as well as UNICEF, the Red Cross, and UNWFP. By concentrating education, NGO’s, and tech in the same place, Panama is hoping to create an environment where progressive and innovative business can thrive. But this isn’t the only show in town.

The newest Panama tech center, also constructed on a former military base, is attempting to set the bar even higher for high-tech businesses. It’s called Panama Pacifico. Panama Pacifico is located on the west bank of the Canal, about 15 minutes away from downtown Panama City. Built on a massive piece of land that was once Howard Air Force Base, Panama Pacifico is an entirely pre-planned tech city. Think of it like Panama’s version of Silicon Valley. There is space for literally hundreds of companies, as well as residences, schools, shopping, bus terminals, and even a small airport (after all, it was an Air Force base).

While there are many big companies choosing Panama as their target tech destination, it has also become a hotbed for entrepreneurs. While they may not fill the massive office spaces in Panama Pacifico, they operate out of the city, and many employ a local staff, and work intimately with the local market. Whether you’re a multinational, or an idea-man/woman looking for funding, Panama’s got a lot to offer: low overhead, favorable taxes, growing consumer market, and a seemingly unending demand for logistics solutions. And in 2014, we are just scraping the surface of one of the country’s fastest growing economic forces.

The post Tech-Friendly Panama: How high-tech culture and business fares on the Isthmus appeared first on POLS Attorneys.