Company formation
Opening a company in Paraguay as a foreign founder
Paraguay lets a non-resident own a company outright. The process has a few more steps than for a resident — mainly around your legal representative and your documentation — but it does not require you to relocate.
Entity types: EAS, SRL and SA
The EAS (Empresa por Acciones Simplificada) is the entity most foreign founders use: it allows a single shareholder of any nationality, is opened through SUACE (the government's unified formation system) rather than a notarial deed, and has no legal minimum capital.
An SRL (limited liability company) needs at least two partners and is the traditional route when there is more than one founder. An SA (corporation) suits a larger or more formal ownership structure, with a heavier setup. For a single founder or a small founding team, the EAS is usually the fastest and simplest.
What a foreign founder needs that a resident does not
A company with a non-resident shareholder needs a legal representative domiciled in Paraguay to handle filings with the DNIT (the tax authority) — this can be an accountant, a lawyer or a local partner, and does not need to be an owner of the company.
Foreign shareholders typically need identification documents apostilled or legalised through the Paraguayan consulate in their country, plus, for a corporate shareholder, the parent company's incorporation documents translated and legalised the same way. Incomplete consular documentation is the single most common reason a foreign-owned formation takes longer than expected.
RUC registration and what comes right after
Once the company is formed, it registers a RUC (tax ID) with the DNIT — this is what lets it invoice, open a bank account and hire. A completed application is typically processed in a matter of business days, though we always confirm current processing times with you rather than quote a fixed promise.
From the month of registration, the company has monthly and annual filing obligations — VAT if it sells locally, an annual corporate income tax return, and payroll registration once it hires anyone. Most foreign founders set up monthly bookkeeping from day one rather than waiting for the first filing deadline to arrive.
Frequently asked questions
Can a foreigner own 100% of a company in Paraguay?
Yes. An EAS allows a single shareholder of any nationality with no local co-owner required. It does need a legal representative domiciled in Paraguay for filings with the DNIT — that role does not need to be a shareholder.
Do I need to travel to Paraguay to open the company?
Often not, if your documentation is in order and a local legal representative is in place; the exact requirement depends on how the founding documents are structured. We confirm what your specific case needs before you start, rather than assume.
How long does formation and RUC registration take?
It depends mainly on how quickly your consular documentation comes through, since that is usually the longest step. Once your documents are complete, the formation and RUC steps themselves are comparatively fast — we give you a specific timeline once we see your case.
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