Opening a corporate bank account in Paraguay is vital when incorporating a company in one of the most attractive economies for doing business in Latin America.
Paraguay has experienced remarkable economic growth, with a consistent 4.5% annual growth rate in recent decades. Fiscal and debt adjustments have contributed to the country’s prosperity and a strong GDP.
Find out about how to open a corporate bank account in Paraguay while expanding your company in the region.
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Why open a corporate bank account in Paraguay
While Paraguay boasts a stable economy, opening a corporate bank account in the country is a crucial measure to safeguard your assets from foreign currency devaluation. It’s also the quickest and most secure way to manage your business’s financial records before local authorities. Furthermore, those who open a corporate bank account in Paraguay can benefit from advantages offered by Mercosur for Micro, Small, and Medium Enterprises (MSMEs) and foreign entrepreneurs investing in the region. Paraguay’s banks are renowned for their efficiency and reliability of services.
Requirements to open a corporate bank account in Paraguay
Financial institutions have some autonomy to set their customer admission policies, but there are standard requirements imposed by the Banking Law and the Central Bank of Paraguay. These include documents like the Single Service Contract, ID copies, municipal patent copies, bylaws, assembly minutes, powers of attorney, and shareholder registration cards. Financial entities may require a deposit for opening a corporate bank account.
Some of the documents required to open a corporate bank account in Paraguay are:
- Single Service Contract.
- Natural person link request.
- Authenticated photocopy of the signatories Identity card.
- Authenticated photocopy of R.U.C.
- Authenticated photocopy of the current municipal patent.
- Authenticated copy of bylaws.
- Authenticated copy of the last assembly minutes.
- Authenticated copy of powers.
- Shareholders’ signature registration card.
- Assets manifestation.
- Deposit established by each financial entity for opening a corporate bank account.
Partnering with Local Experts for Business Expansion
Expanding a business in Paraguay involves overcoming language barriers, tax regulations, cultural nuances, and hiring local staff. Working with a trusted local partner ensures compliance with local legislation and contributes to the success of your business.
Common Questions when opening a corporate bank account in Paraguay
Based on our extensive experience these are the common questions and doubts from our clients when looking to open a company bank account in Paraguay
No. However, you can open a bank account from abroad with the support of a local attorney empowered through a power of attorney (POA).
The following documents are required to open the company bank account:
– Copy of the articles of incorporation of the company;
– Certificate of the good standing of the company;
– Commercial license (where applicable)
– Bank reference letter, If the company doesn’t have a bank reference letter, the shareholders of the company will need to provide it;
– Evidence of income can be proven through a copy of the income tax declaration of the shareholders. Passport copy of all shareholders and members of the company. Letter of authorization from the shareholders or owners of the company
Any member of the company that is authorized by company shareholders can have access to the bank account.
We recommend the following banks for foreign companies: Banco Itau and Sudameris
Companies choose to open bank accounts in Paraguay due to economic and political stability; the ability to hold currency in US Dollars, the territorial taxation system, and banking privacy.
Paraguay bank secrecy is a commitment to the bank’s policies and confidentiality of financial information.
Opening a corporate bank account in Paraguay with expert advice
Business owners should think carefully about which financial entity is the most appropriate before opening a corporate bank account. Avoid penalties or sanctions from local institutions and generate success for your business in Paraguay by seeking a trusted corporate secretarial services provider to support your company formation needs, including opening corporate accounts.
Expand to Paraguay through Biz Latin Hub. Our team of local and expatriate professionals has the depth of knowledge and experience to enable foreign companies in Paraguay through providing a full range of market entry and back-office services. This includes market entry strategy, trade law advice and support, company formation, ongoing commercial representation, hiring, visa processing, and due diligence activities.
Get in touch with us to start your international business adventure now.
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The information provided here within should not be construed as formal guidance or advice. Please consult a professional for your specific situation. Information provided is for informative purposes only and may not capture all pertinent laws, standards, and best practices. The regulatory landscape is continually evolving; information mentioned may be outdated and/or could undergo changes. The interpretations presented are not official. Some sections are based on the interpretations or views of relevant authorities, but we cannot ensure that these perspectives will be supported in all professional settings.