How to Start a Business in Costa Rica

Starting a business in Costa Rica

Costa Rica is a haven for expats and the government allows foreigners to own business and work in the country, so long as they follow regulations and conduct business ethically. There are some internal issues but most countries have problems of one type or another. Overall, the Costa Rican government is very stable and the people are easy to work with. New business legalities are fairly easy to navigate, and you can easily meet most government regulations. You will need the services of a commercial lawyer, and an accountant to help with the details, but the process is inexpensive and usually takes about three months to complete.

Things You'll Need

• An attorney from Costa Rica
• Attorney's fees
• Funds to cover the value of the business stock

Instructions

1. Contact an attorney who specializes in commercial law in Costa Rica. Ask the American Chamber of Commerce in Costa Rica for help locating this type of attorney. Your embassy or consulate can also recommend a commercial law specialist, or you can look for one in the yellow pages in the Costa Rican city you reside in.

2. Consult with the attorney and have him help you set up a Corporation (Sociedad Anonima).

3. Decide on who you want the stock holders and three officers to be. In a Sociedad Anonima there need to be at least two stock holders and three officers: President, Secretary and Treasurer. However one person can hold several offices.

4. Name your "fiscal." This is your corporate Comptroller, or accountant.

5. Name the resident agent, whether this is an employee, or owner. This is the person that is responsible for receiving administrative, o judicial notifications, and needs to reside in Costa Rica.

6. Choose the Spanish name for the corporation. The business name must be in Spanish. Have the attorney check the registry to make sure the name is not being used by another corporation.

7. Determine the value of the stock in your company. Your attorney can help you do this, then deposit the value of the stock in a special Colones account registered with the government. This deposit is refundable as soon as the corporation begins to work (approximately 3 months).

8. Pay the attorney the cost of incorporating which as of 2010 runs approximately $300.00 to $600.00. The cost depends on the region in Costa Rica you register the business in, and the attorney you use.

References

• American Chamber of Commerce Costa Rica: Business Tax Information
• Complete Costa Rica: Starting a Business in Costa Rica
• Transitions Abroad: Living in Costa Rica