28
Jan

The Dominican Republic is a country open to foreign investment and, above all, it facilitates the establishment of business entities in the country by foreign nationals; so much so, that there are several laws that grant benefits for that purpose. Some examples are Law No. 16-95, 171-07, among others which grant benefits to any foreign national who can prove to be under one of the following categories:

A) Investor.
B) Retired / Pensioned.
C) And Rentier.

Additionally, it is very common and advisable that this investment, business or rental income you may receive, be made transparent to the country. This can be achieved by means of the transportation of a commercial corporation, which can present itself in different forms, for example:

1. Establishing or creating a company or commercial corporation from the ground up in the country.
2. Establishing a branch of a foreign commercial company.
3. Acquiring shares in an already existing commercial company in the Dominican Republic.

Given that we make it possible for foreign nations to conduct commercial activities in the country, we are commonly asked the following questions:

Can foreign nationals create, establish or become a partner of a company in the Dominican Republic?

Yes, they can. The law of commercial companies in the Dominican Republic does not stipulate any kind of limitation, variation or special requirement to partners or shareholders of a Dominican company based on nationality. Citizens and foreign nationals receive the same treatment in the process of establishing, creating or purchasing shares in a Dominican company.

The only requirement is that the foreigner, regardless of their nationality, has a valid and current passport.

To this end, you would need to provide your information, along with a copy of your passport. The information you would be asked to provide is the following:

• Full Name.
• Identity document Number. The valid document would be a passport for foreign nationals. However, if you have obtained residence and a state ID card in the country (known in Spanish as Cédula), you would provide that instead.
• Marital status.
• Registered address.
• Profession or occupation.

Another recurring question we are asked is: “Can all the partners, shareholders, managers and president be foreign nationals in a company based in the Dominican Republic?”

Yes, they can, and the aforementioned requirements apply here as well.

For foreign nationals, does it take more or less time to establish or create a company?

The time this process takes is the same for everyone. The Chamber of Commerce does not conduct additional verification on foreign nationals. As a result, deadlines are the same for everyone.

Do I have an immigration status if I am a partner, associate, manager or president of a commercial company in the Dominican Republic?

You do not. Being part of a Dominican company does not provide you with immigration status in the country, nor grants you authorization to conduct business and commercial transactions. Therefore, if you are a partner or shareholder of a Dominican company as a foreign national, you should consider the following questions:

What immigration status should I have in order to conduct business and commercial activities in the Dominican Republic?

The first thing that should be noted is that the Dominican Republic is quite open to the entry of tourists. There is an extensive list of countries from which individuals may enter the Dominican Republic with a tourist card (which can be acquired at the airport) or without a visa. You can see the list of countries here, to determine if your country is one of them.

As a result of how open the country is to tourists, you will be able to enter with ease and:

1. Go sightseeing.
2. Starting or being part of a company or commercial corporation.
3. Buying or selling movable and immovable property.
4. Opening bank accounts.
5. Among others.

By having a passport, you are able to conduct all of the transactions listed above. However, it is clear that if you wish to conduct business in the country, you would need to fall under an appropriate category.

Something very important to keep in mind is that if you enter the country as a tourist, your time of stay cannot exceed thirty (30) or sixty (60) days. This is of utmost importance if you desire to:

1. Enter the country regularly.
2. Stay longer than that time.
3. Reside in the country.

If that is the case, you would need to consider obtaining an “immigration status in the Dominican Republic,” in accordance with the Immigration Law of the Dominican Republic, No. 285-04.

When it comes to the business category, the law establishes that you can obtain a business visa with multiple entries. Click here and you will be able to find the necessary information and especially the practicality that this type of category provides, which in summary is:

1. It grants you a category that allows you to conduct business and commercial activities in the Dominican Republic.
2. It grants you an immigration status in the country.
3. You will be able to enter and leave the Dominican Republic without any disruption.

When it comes to the formal residence with the purpose of residing in the Dominican Republic, you would need one of the visa and residence types established by the Dominican Migration Law. In the article Requirements to reside in the Dominican Republic, you will be able to see how to start and what are the requirements to obtain what is needed.

In conclusion, we only need to reiterate that in principle, the Dominican Republic allows you to do many things after entering the country without a specific category. However, you need to complete the subsequent steps to ensure that your transaction or commercial activity has no limitations or setbacks in the future.

What are the possible limitations?

• If you violate the established time of your stay or category with which you entered the Dominican Republic, the appropriate authorities and entities may limit or even prevent your entry to the country.

• If you are interested in conducting commercial transactions and commerce in general, we strongly suggest you pursue an immigration status that fits your condition and reality; thus avoiding limitations and risks in every sense of the word.