Registering your company in El Salvador is the key to giving your business a formal structure. This step not only establishes legal obligations in El Salvador but also opens doors to a wealth of opportunities and rights for entrepreneurs who comply with Salvadoran regulations.

What is a Company in El Salvador?

A company is defined as a coordinated set of work, material assets, and intangible values, aimed at systematically offering goods or services to the public for profit. This is established under Article 553 Art. 5 n1, 54 of the Salvadoran Commercial Code (C.Com).

What is a business?

A company refers to the legal entity formed through a solemn contract between two or more individuals. This contract pools resources or industries with the goal of sharing the benefits derived from their business activities. This is outlined in Article 17 of the Salvadoran Commercial Code (C.Com).

Benefits of Registering Your Company in El Salvador

New Business Opportunities:

Registering your company in El Salvador enables access to formal business opportunities. Consumers and businesses prefer to engage with companies that offer not only competitive prices but also guarantees and quality. Legal registration in El Salvador protects both the buyer and the seller, safeguarding their respective rights in every transaction.

Formality and Credibility:

Having a trade registry in El Salvador conveys professionalism and seriousness to clients. By registering your company in El Salvador, you demonstrate compliance with Salvadoran legislation, ensuring structural and operational support for your business activities.

Entry to the Financial System:

Registering your company in El Salvador’s financial system, allows access to credit and economic support. This facilitates the efficient use of funds, ensuring that your business operates within a legal framework. A formalized financial structure not only strengthens your company’s foundation  in El Salvador but also builds trust among stakeholders.

Participation in Public Tenders:

Legal registration in El Salvador enables your company to compete for public and private contracts. This is particularly advantageous for businesses providing goods or services to other entities. To participate in tenders, your company must meet specific legal requirements, including formal incorporation within El Salvador’s legal framework.

Guarantee and Support in Transactions

Invoices issued by legally registered companies in El Salvador serve as official supporting documents for both the seller and buyer. These invoices are authorized by the State, ensuring compliance with rights and obligations for every transaction.