Legal requirements to start a business in Colombia

If you want to set up a company in Colombia, there are a series of legal requirements that you must fully comply with. In this article we will explain what they are and how important they are for any type of organization. Pay attention.

 

Know the importance of bookkeeping in a company.

 

Sanitary aspect

All physical businesses have the obligation to comply with the sanitary conditions set out in Law 9 of 1979. Essential elements such as adequate water supply, maintenance of the facilities or the taking of pertinent sanitary measures according to the workspace are aspects that have to be taken into consideration when creating a business.

It is relevant to point out that health policies play an important role in any organization, since its main objective is to protect the physical integrity of all the members of the company from any internal threat.

For example, that an employee in charge of preserving the operation of the power line does not suffer an accident in the eyes by not wearing the visor.

 

The current commercial registration

All companies set up in Colombian territory are obliged to register within a period of no more than one month from the beginning of their economic activities.

To obtain the registration, you must go to the Chamber of Commerce that operates in your zone and make use of the Unique Business Registry (RUES) to request it. It is advisable to use a name for the company that does not exist in the commercial register so as not to deal with legal inconveniences.

So that you can check that the name you want to assign is not already being used by another organization, you can find out here.

 

Tax Registry

If you want to set up a company in Colombia, it is essential that you register it with the government tax collecting body (DIAN); in order to comply with the respective tax obligations.

To do this, you must go in person to the DIAN (Tax Office) headquarters represented in the city where you want to set up the company. You need to take the legal documents that verify that it really exists in the country (RUES) and the legal entity will proceed to register it in the Tax Information Registry (RIT).

It is important to note that the tax to pay varies depending on the size and type of work carried out by each organization. Those companies dedicated to industrial production must pay a tax of 0.2% to 0.7% of net profits, while companies that are in charge of carrying out commercial or service operations will be 0.2% to 1% of the total profit.

Remember also that the RIT expires after a period of time, so it is mandatory that you update it so that you can demonstrate to DIAN that the company continues to maintain commercial operations in the country.

 

Sayco & Acinpro certificate

If within the company you will reproduce music that is protected by copyright, you will have to pay an additional cost for the rights of said songs to OSA (Sayco & Acinpro Organization).

For more information, you can visit the relevant website to find out about the fees to pay in relation to copyright.

 

Compliance with labor legislation

You must ensure that the policies you introduce in the company do not contradict those established in the labor legal framework. For example, that you do not offer the same benefits to certain employees only because of their racial, sexual, or religious condition, which is punishable by law.

In the same way, you must comply with the payment of the salaries.

 

Land use

Before starting with the operation of the company, you must verify that the geographical space is suitable for the economic activities that you intend to carry out according to the Land Use Plan.

Several factors must be taken into account, for example, if potentially toxic chemicals are used within the company, it is not convenient for it to be located in a geographical space close to houses or residential complexes.

If you want more information regarding the use of geographic spaces, visit this web page.

 

Know the reasons for bookkeeping your company.

 

As you can see, you must comply with each of the previously presented requirements if you want to materialize the set up of your company in Colombia. Otherwise, you can file problems with the corresponding government authorities and that will prevent you from successfully meeting your business objective.