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Private Interest Foundations in Panama

A legal instrument inspired by the family foundations of Liechtenstein, created by Law No. 25 of June 12, 1995. An efficient alternative to wills for the disposition and protection of family assets.

Protect your assets with total control

A Private Interest Foundation is a legal instrument that allows the disposition of assets for determined purposes, either during the lifetime or after the death of the founder. Unlike a will, the foundation allows dividing the estate while maintaining full control and use during the founder's lifetime.

The beneficiaries and specific regulations may be kept in a private document, without needing to be part of the public registry. This guarantees maximum confidentiality in estate planning.

Unlike a corporation, the foundation's assets are not represented by shares. The founder designates the beneficiaries directly in the internal regulations.

Asset Protection

Assets legally separated from the founder, protected from creditors and contingencies.

Total Confidentiality

Beneficiaries and internal regulations in a private document, outside the public registry.

Alternative to Wills

Avoids the lengthy and costly judicial processes of estate succession.

Lifetime Control

The founder maintains full control of the assets and can modify the regulations.

Advantages of a Foundation in Panama

Panama offers a robust and confidential legal framework for the establishment of foundations, with unique benefits for estate planning.

Law No. 25 of 1995

Solid legal framework inspired by Liechtenstein's family foundations, with over 29 years of validity and established jurisprudence.

Quick Establishment

The foundation is established in approximately three (3) business days, with all legal procedures included.

Permitted Assets

May hold corporate shares, real estate and bank accounts. Cannot engage in commercial activities directly.

Governance and Administration

The foundation has a clear and flexible governance structure that ensures control and asset protection.

The Founder

Natural or legal person who establishes the foundation and defines its purposes. Our firm can act as founder (for a cost of US$100.00/person per year) to establish a Protector who holds full control.

The founder may reserve the right to revoke or modify the foundation at any time, thus maintaining full control over the assets during his/her lifetime.

Foundation Council

Administrative body in charge of managing the foundation's assets in accordance with the internal regulations established by the founder.

The Foundation Council acts in accordance with the instructions of the founder or the designated Protector, ensuring that the patrimonial objectives are fulfilled.

Resident Agent

The law requires every foundation to have a resident agent, which must be an attorney or law firm licensed in Panama. Young Law Firm acts as resident agent for its foundations.

  1. Custody of corporate documents
  2. Legal representation before authorities
  3. Compliance with governmental obligations

Annual Resident Agent Fee: US$150.00

Government Annual Fee: US$300.00 (since 2006)
Payment deadline: June 30 or December 31 depending on incorporation date.
Late fee: US$50.00

Establishment Costs

Full transparency in our fees. See the complete breakdown of the investment to establish your Private Interest Foundation.

Establishment

Description Amount
Government fees US$ 60.00
Notarial paper US$ 24.00
Notarial fees US$ 42.00
Miscellaneous expenses US$ 24.00
Government annual fee US$ 300.00
Resident Agent US$ 500.00
Total Expenses US$ 950.00
Attorney fees US$ 600.00
TOTAL US$ 1,550.00

Annual Maintenance

Description Amount
Government fees US$ 60.00
Notarial paper US$ 24.00
Notarial fees US$ 42.00
Government annual fee US$ 300.00
Resident Agent US$ 150.00
ANNUAL TOTAL US$ 576.00

Internal Regulations Drafting: US$150.00 per hour. Internal regulations are the private document that establishes the beneficiaries, rights and obligations of the foundation.

Protect your family assets

Establishment in 3 business days. Absolute confidentiality. We advise you every step of the way.

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