Foreign Investment in Colombia
In Colombia there is the principle of equality for foreign and national investment, in which there can be no discrimination or preferential treatment towards any of them, however, there are economic sectors in which it is restricted basically by national security and the provision of waste not produced in the country.
The constitution of SAS (simplified stock companies) is the preferred corporate form, given its advantages; such as the formation by one or more natural or legal persons and in which the employer is not forced to create a board of directors and the freedom to establish its operation.
Foreign investors also make use of the SAS as an investment vehicle through the constitution of SAS subsidiaries, but they also open companies as a foreign branch, in which they can use the experience and financial strength of the parent company and in the mining sector energy, gain access to advantages that the exchange regime provides for them.
There are other types of companies that are formed as investment vehicles, but we will focus on the description of the most used.
It owns shares with freedom of negotiation.
It allows to set up new companies or be part of them.
Under article 22 of Law 80 of 1993, the branch is allowed to prove the experience and financial capacity of the foreign company.
Exchange advantages on sales in foreign currency for the energy mining sector.