PIL SERVICES
Menu

Company formation in Bolivia

Comprehensive assistance in company formation, including banking services

How to form a company in Bolivia

1
Document submission
You submit to us necessary documents of the future founders and directors for the purposes of company formation in Bolivia
and opening a bank account in Bolivia
2
Payment of services
Payment of our services for company formation in Bolivia and/or bank account assistance in Bolivia
3
Company formation
We register a new company in Bolivia for you. Upon completion of the registraion corporate documents are either delivered to you or submitted to a bank for the subsequent opening of a bank account
4
Bank account opening
In case you request an assistance with a bank account, we arrange an interview at the bank for you, inform you about the date of the visit and accompany you on your way to the bank. After the bank account is opened and active you receive corporate documents of the formed company as well as the access to the bank account
Key aspects to consider prior to incorporating a company in Bolivia
Register a company in Bolivia
You can incorporate a limited liability company in Bolivia and open a corporate bank account remotely.
1. Founders that would like to register a company in Bolivia can either be resident or non-resident in Bolivia. Founders can be either individuals or legal entities. A minimum number of 2 shareholders is required in order to register a company as a SRL (a limited liability company).

2. A resident or a non-resident individual can be a company director in Bolivia. However, it is required to register a company in Bolivia with 1 resident legal representative and at least 1 resident director.

3. One individual can register a company in Bolivia and simultaneously be a shareholder and a director in this company if such company is registered as a SRL (a limited liability company).

4. There is no requirement for creating substance in Bolivia - no need to hire local employees or rent an office in order to register a company in Bolivia or to conduct business in this jurisdiction.

5. Minimum share capital that is required to register a company in Bolivia as a SRL (a limited liability company) is USD 400.

6. Information about company founders, shareholders and directors after company registration in Bolivia is complete is publicly available in the state corporate register.

7. Only Bolivia-source income is subject to corporate income tax, which does not include capital invested abroad.

8. We can help you register a company in Bolivia, as well as open a corporate bank account remotely, on the basis of a power of attorney.
Cost of services
Formation of a SRL
EUR 5200
Standard
  • Company formation
  • State fees
  • Registered address for 1 year
  • Notary services
  • Company seal
Select
EUR 7500
Extended
  • Company formation
  • State fees
  • Registered address for 1 year
  • Notary services
  • Company seal
  • Remote bank account in Bolivia
Select
From EUR 8100
Extended
  • Company formation
  • State fees
  • Registered address for 1 year
  • Notary services
  • Company seal
  • Remote bank account in Bolivia
  • Accounting services for 1 year
Select

Advantages of incorporating a company in Bolivia

Attractive business-environment
  • Multiple active free trade agreements: Associate Member of Mercosur, CAN, ACE
  • Vast natural resources
  • Foreign investment promotion
  • Low inflation rate
Stability and security

  • Political stability
  • Secure legal and justice systems
  • Comprehensive protection of property rights
  • Comprehensive personal security
  • Investment protection
Tax benefits

  • Only Bolivia-source income is subject to corporate income tax, which does not include capital invested abroad
  • Multiple free trade zones
  • Multiple double tax treaties
No foreign exchange controls
  • Although foreign exchange controls are established in Bolivia, individuals and business entities, either resident or non-resident in Bolivia may open bank accounts in local banks in any currency
Ease of establishing and doing business
  • No minimum share capital requirement to register a company in Bolivia as a SRL
  • Remote company formation and remote banking assistance in Bolivia is available for any foreign individuals
  • 100% foreign ownership of a company in Bolivia is available
More about Bolivia
General information
Plurinational State of Bolivia is located in the western part of South America. Bolivia has a territory of 1,098,581 square kilometers. Bolivia borders Argentina, Brazil, Chile, Paraguay and Peru. The capital city of Bolivia is Sucre, the location of key government institutions.

Population of Bolivia amounts to around 11,43 million people.
Economy
Official currency of Bolivia is Bolivian boliviano (BOB).

Bolivian economy has a single commodity focus and is currently heavily dependent on natural gas exports. Mining is also a major sector being a large part of the country's exports. Bolivia is one of the world's largest producers of silver, tin, antimony, zinc, lead, boron and tungsten. Bolivia has the world's largest litium reserves, 2nd largest antimony reserves, 3rd largest iron ore reserves. Bolivia has the 2nd largest natural gas reserves in South America.

In terms of foreign trade, the largest goods contributing to the country's export are oil, petroleum, gold, silver, zinc, precious metals, soya beans, unwrought tin, jewellery, coconuts, cashew nuts.

Imports of Bolivia consist of electrical machinery and equipment, cars and vehicles, electric conductors, consumer goods, medicaments, wheat, flour, rubber, insecticides, rodenticides, fungicides, herbicides, disinfectants.

Primary trading partners of Bolivia are Brazil, Argentina, Peru, Colombia, Mexico, China, India, Japan, the USA, the UAE, Netherlands, Germany.

The GDP of Bolivia grew by 6.1% in 2021 and amounted to USD 40.4 billion. Tertiary sector makes up 50.6% of the GDP of the country, followed by industry sector at 35% and agriculture at 14%.
Types of business-activities
International business expands to Bolivia and incorporates a company in Bolivia primarily in manufacturing, commerce, transport, storage and communication, agriculture, tourism and real estate.

Restricted for foreign entrepreneurs are the following sectors:

  • national defense
  • private ownership of natural resources
  • mining
  • oil
  • gas
  • electricity
  • telecommunications
  • television
  • radio
  • transport
  • operational activity of airports and seaports
  • postal services.
Key taxes and tax rates
  • Corporate income tax - 25%. Tax returns are filed on an annual basis
  • Dividend withholding tax - 12.5%
  • Interest withholding tax - 12.5%
  • Royalties withholding tax - 12.5%
  • Capital gains tax - 25%, capital gains derived from transactions on the Bolivian Stock Exchange are tax exempt
  • VAT - Standard tax rate 13% or a reduced rate of 0% or tax exempt. Tax returns are filed on a monthly basis
  • Personal income tax - 13%.
Key types of business entities
Apart from such traditional business entity types as a limited liability company (Sociedad de Responsabilidad Limitada - SRL) and a public limited company (Sociedad Anónima - S.A.), corporate law in Bolivia offers to incorporate a company in Bolivia as:

1. General partnership (Sociedad Colectiva - S.C.)
2. Limited partnership (Sociedad en Comandita Simple - S. en C.S.)
3. Partnership limited by shares (Sociedad en Comandita por Acciones - S. en C. por A.)
4. Branch of a foreign company (Sucursal)

To receive a detailed description of the company formation procedure in Bolivia and information about documents necessary for company formation in Bolivia please contact our experts.
Send a request for company formation in Bolivia
We will contact you within 1 minute
Comment

© Prime International Legal Services, 2022.