Starting a Business in Colombia: The S.A.S. Guide
Colombia · Step by Step
Key Facts
- The default structure. Most foreigners open an S.A.S. (Sociedad por Acciones Simplificada), Colombia's flexible, limited-liability company.
- One owner is fine. An S.A.S. needs just one shareholder, allows 100% foreign ownership, and has no minimum capital.
- Where you register. You set it up at the Cámara de Comercio (Chamber of Commerce) for your city, then get a tax ID from the DIAN.
- The cost. Doing it yourself runs about 2 to 4 million pesos (US$500 to US$1,000); with a lawyer, 3.5 to 5 million (US$875 to US$1,250).
- The timeline. A clean S.A.S. takes roughly two to four weeks from drafting to a working company bank account.
Starting a business in Colombia is surprisingly quick for foreigners — no residency required and no minimum capital. Here is a step-by-step guide to forming an S.A.S., the company type nearly every foreign founder uses, and what it costs.
Why an S.A.S.
The Sociedad por Acciones Simplificada, the simplified stock company created by Law 1258 of 2008, is the structure behind roughly 98% of new Colombian companies, and for good reason. It allows a single shareholder, permits 100% foreign ownership, and gives limited liability, so your personal assets are shielded from the company’s debts.
Its estatutos, the bylaws, are flexible, and there is no legally required minimum capital, meaning you can declare a token amount and pay in capital within two years. The heavier alternative, the S.A., demands at least five shareholders and capital of 100 minimum wages, around 200 million pesos or about US$50,000, which is why most foreign founders never consider it.
Register at the Chamber of Commerce
Incorporation happens at the Cámara de Comercio, the chamber of commerce for the city where the company will sit. First settle the basics: the company name, checked for availability in the national RUES registry, the economic activity expressed as a CIIU code, the shareholders and their stakes, the capital, the legal representative and the registered address.
You then draft the estatutos, which in most cases can be a private document rather than a notarised deed, sign them electronically, and register, paying the commercial registration fee plus a registration tax of roughly 0.7% of the subscribed capital. The chamber issues the Certificado de Existencia y Representación Legal, the document that proves your company exists and who can sign for it.
Get your NIT and a bank account
With the chamber registration in hand, you register the company with the DIAN to obtain its NIT, the tax identification number, and its own RUT, choosing the tax regime at the same time. In Bogotá this step is often folded into the chamber’s single-window process, while other cities may require a provisional RUT first.
You then open a corporate bank account, which is not optional: the DIAN requires proof of the account to issue the definitive NIT, and the company’s invoicing and payroll must flow through it. Opening the account as a foreign-owned entity can take a little persistence, so budget time and bring your chamber certificate, RUT and identification.
Costs, timing and capital
A do-it-yourself S.A.S. typically costs about 2 to 4 million pesos, US$500 to US$1,000, while full professional service with a lawyer runs roughly 3.5 to 5 million pesos, US$875 to US$1,250, and a clean incorporation takes two to four weeks. There is no minimum capital, so founders often declare a modest figure and inject more as the business grows, but if you intend to use the company to support a business or investor visa, plan the capital deliberately from the start.
Foreigners can incorporate without being resident, using a passport, a RUT and a legal representative or a power of attorney, though having a local director or address smooths the bank-account step.
Tax regime and ongoing obligations
After incorporation the company joins Colombia’s ordinary tax world or opts into the Régimen Simple, the simplified regime that consolidates several taxes into one annual return with bimonthly advances and suits many small companies. Either way, the company must issue facturación electrónica for its sales and file nómina electrónica, electronic payroll, every month within the first ten business days if it has employees, alongside its income-tax and, where applicable, IVA obligations.
Capital brought from abroad should be registered as foreign investment with the Banco de la República, which keeps a clean trail for repatriating profits later. A monthly contador is effectively mandatory, because Colombia’s reporting calendar is unforgiving of missed deadlines.
The entrepreneur visa angle
Forming a company can also be your route to staying. The Migrant business-owner visa lets a foreign founder live in Colombia on the basis of an active company and an invested capital that meets the threshold set by the Cancillería, with the visa typically issued for up to three years and counting toward residency.
If that is your plan, structure the share capital and your role as legal representative from the outset, because the immigration file leans on the chamber certificate, the company’s accounts and proof of the investment. Pairing the incorporation with the visa strategy at the start saves reworking the paperwork later, so coordinate your abogado and contador early.
Frequently Asked Questions
Can a foreigner start a company in Colombia?
Yes, and without residency. You need a passport, a Colombian RUT and a legal representative or power of attorney; a business visa simplifies it.
What company type should I use?
The S.A.S. It allows a single shareholder, 100% foreign ownership, limited liability and no minimum capital, and it is the choice for about 98% of new companies.
How much does it cost and how long does it take?
About 2 to 4 million pesos (US$500 to US$1,000) on your own, or 3.5 to 5 million (US$875 to US$1,250) with a lawyer, in roughly two to four weeks.
Is there a minimum capital?
No. An S.A.S. has no legal minimum; you can declare as little as one peso and pay in capital within two years.
What must I do after registering?
Get your NIT, open a company bank account, issue electronic invoices, file electronic payroll each month, and register any foreign capital with the central bank.
This guide is general information, not legal, tax, immigration or financial advice. Colombian rules change often, so confirm current requirements with official sources — the DIAN, Migración Colombia, the Cancillería and the Banco de la República — and consult a qualified Colombian lawyer or contador before acting. Information is current as of June 2026.
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