DOING BUSINESS IN ECUADOR

STARTING A BUSINESS

STANDARDIZED COMPANY
Legal Form: Compana Limitada
Minimum Capital Requirement: 800
City: Guayaquil

Registration Requirements:

Procedure 1. Hire a lawyer to prepare the minutes of incorporation

Time to complete: 1 day

Cost to complete: USD 500

Comment: The minutes include the constituting contract, articles of incorporation and the bylaws of the company and the formation of capital. A lawyer has to prepare the minutes containing the contract for the incorporation of the company, and sign them. Those minutes have to be notarized by a Notary Public. The lawyer cannot notarize those documents. The cost includes all the operative expenses and the lawyer's fees.

Procedure 2. Register company name at the Superintendent of Companies

Time to complete: 1 day

Cost to complete: no charge

Procedure 3. Deposit 25% of paid-in capital in a special account of "Completion of Capital" (Integración de Capital )in the name of the company in formation

Time to complete: 1 day

Cost to complete: no charge

Comment: The minimum deposit for opening the "Completion of Capital" account is 25% of the share capital. Proof of approved company name has to be presented.

Procedure 4. Notarize the charter of incorporation and bylaws

Time to complete: 2 days

Cost to complete: USD 75 (varies)

Procedure 5. The lawyer presents the documents (attached with three certified copies of charter and bylaws) to the Superintendent of Companies for the approval of the constitution of the company

Time to complete: 5 days

Cost to complete: no charge

Comment: Registration fee is paid annually to the Superintendent. Cost of contribution is 1% of total assets.

The Superintendent of Companies cut the time of processing company applications as it has eliminated internal proceedings, increased the number of staff and used a better computer system. The entrepreneur can verify the stage of the registration procedure online.

Read all requirements on Allo' Expat Ecuador.