Foundations are considered as a trust in a corporate shell. They are the effective and chosen alternative to forming a trust for the purpose of asset protection or tax planning however not all jurisdictions across the globe allow for the creation of foundations. It is therefore advised that when seeking to set up a foundation that you seek advice from a professional consultancy. The most popular Panama foundation is known as a Private Interest Foundation and offers total confidentiality and anonymity.
As mentioned, a the most popular form of Panama foundation is the Private Interest Foundation and is structured as a body of regulations in line with the relevant laws in Panama, namely Panama Foundation Law 25 of 1995. In a Panama foundation the regulations of the entity are completely confidential and do not have to be filed with a public registry. The set of regulations are permitted to be amended at any point in the life of the foundation. Under Panama law, all foundations must include the word “foundation” in the title. In addition to offering asset protection, Panama foundations are considered as a separate legal entity and can sue or be sued. In addition they can own multiple corporations and open bank accounts.
A Panama foundation (Private Interest Foundation) is created once the Charter of the foundation is filed with the Public Registry. However it is also essential that the following parties are involved in the set up and management of a Panama foundation, namely; founder, foundation council, protector and beneficiaries. The founder is the individual or corporate entity that creates the foundation and has the power to obtain full control of the foundation by retaining ‘the power or appointment’ of the Foundation Council. It is also permitted that the founder can adopt the role of the beneficiary of the foundation of the protector.
With regards to Private Interest Foundations, the structure is modern and flexible – allowing Panama foundations to provide high levels asset protection and anonymity. There are many advantages to setting up a Panama foundation, some of which are listed below:
Starting Business can assist you with your Panama foundation from filing the initial application forms to setting up the foundation and managing it in accordance with the regulations and relevant Panama laws. Our many years of experience enable us to find the most appropriate asset protection solution to meet your needs in a timely, professional and cost effective manner. Our dedicated and specialist consultants are on hand to offer advice and guidance with all aspects of your Panama foundation.
For more information on Panama foundations and to proceed with opening one with Starting Business, please view our Panama Foundation page.
Alternatively, to find out how Starting Business can assist you with your trust or foundation needs, please Contact Us.