Forming an S.A.S. (Sociedad por Acciones Simplificada) in Colombia is the most efficient business structure for foreign entrepreneurs. This guide covers everything you need: requirements, step-by-step process, realistic 2026 costs, timeline, and post-incorporation obligations.
Why S.A.S. Is the Best Structure for Foreigners
Introduced in 2008 through Law 1258, the S.A.S. was specifically designed to simplify business formation. It outperforms other structures for expats, digital nomads, and foreign investors.
Flexibility in Governance
Unlike traditional S.A. companies that require formal shareholder meetings, the S.A.S. allows decision-making through actas (recorded decisions) without mandatory meetings. For foreign entrepreneurs managing operations across time zones, this flexibility is invaluable.
Simplified Formation
The S.A.S. formation process is significantly more streamlined than other corporate structures. The estatutos are less complex, registration with the Camara de Comercio is faster, and you'll receive your NIT and RUT promptly. The entire process typically takes 2-4 weeks.
No Minimum Capital Requirement
S.A.S. companies can theoretically be formed with minimal capitalization. This is particularly important for startups and digital businesses.
Single or Multiple Shareholders
The S.A.S. works whether you're the sole owner or bringing in multiple founders. You have complete freedom to structure shareholding and implement different classes of shares.
Requirements and Documents Needed
For Foreign Shareholders/Owners
- Valid Passport: Your original passport (not a photocopy)
- Visa Status Documentation: If you have a temporary or permanent resident visa
- Authentication/Apostille: Foreign documents may need to be apostilled
- Proof of Address: A utility bill, rental contract, or official letter
For the S.A.S. Entity
- Proposed Business Name: Have 3-5 alternative names ready
- Registered Office Address: A physical Colombian address
- Business Activity Description: Clear description of what your company will do
- CIIU Code: The Colombian industrial classification code
- Capital Social: Decide your initial capital amount
Step-by-Step Formation Process
Step 1: Draft the Estatutos (Bylaws)
Your estatutos must include: company name and domicile, purpose and business activities, capital social, shareholder information, governance rules, and details about the representante legal. Your attorney will typically draft these in 2-5 business days.
Step 2: Notarize the Estatutos
The estatutos must be signed before a notary public. This creates an official, legally binding document. Costs are typically 300,000-500,000 COP.
Step 3: Register with the Camara de Comercio
Submit the notarized estatutos, identification copies, registration form, and proof of address. Registration takes 5-7 business days and costs 600,000-1.2 million COP.
Step 4: Obtain NIT and RUT from DIAN
With your Camara de Comercio registration, apply for your NIT and RUT from DIAN. This is now often done automatically in cities like Cartagena and Santa Marta.
Step 5: Open a Corporate Bank Account
Most banks can open your account in 3-5 business days. Major banks like Bancolombia, BBVA, Davivienda, and Scotiabank accept S.A.S. entities.
Step 6: Register for VAT (IVA) if Applicable
Most commercial activities require IVA registration. This is typically done simultaneously with NIT assignment.
Costs Breakdown (2026 Estimates)
| Expense Item | Cost (COP) | Cost (USD) |
|---|---|---|
| Legal/Attorney Fees | 1,500,000 - 2,500,000 | $375 - $625 |
| Estatutos Drafting | 500,000 - 1,000,000 | $125 - $250 |
| Notarization Fees | 300,000 - 500,000 | $75 - $125 |
| Camara de Comercio Registration | 600,000 - 1,200,000 | $150 - $300 |
| NIT/RUT Assignment | Free | Free |
| Bank Account Opening | Free - 200,000 | Free - $50 |
| Initial Accounting Setup | 300,000 - 800,000 | $75 - $200 |
DIY Approach: 2.0 - 3.5 million COP ($500 - $875 USD)
Full Professional Service (recommended): 3.5 - 5.0 million COP ($875 - $1,250 USD)
Expected Timeline
| Phase | Timeline | Key Activity |
|---|---|---|
| Document Preparation | 3-5 business days | Drafting estatutos and gathering documents |
| Notarization | 1-2 business days | Signing before notary |
| Camara de Comercio | 5-7 business days | Submission and review |
| NIT/RUT Assignment | 2-3 business days | Automatic via Camara |
| Bank Account Opening | 3-5 business days | Account activation |
| Total | 2-4 weeks | Start to operational |
Post-Incorporation Obligations
Monthly Obligations
- Accounting Records: Maintain detailed records done by a licensed contador
- E-invoicing: Electronic invoices registered with DIAN
- Payroll Processing: Proper tax withholding and social security if you have employees
- VAT (IVA) Reporting: Monthly VAT returns if VAT-registered
Annual Obligations
- Annual Tax Return: File Form 210 with DIAN
- Financial Statements: File with Camara de Comercio
- Annual Registration Renewal: Pay renewal fee (200,000-500,000 COP)
Common Mistakes Foreigners Make
- Incorrect CIIU Code: Misclassifying business activities affects tax treatment
- Unstable Registered Address: Changing addresses later creates complications
- Skipping VAT Registration: Operating without required VAT registration causes back-taxes
- Poor Capital Documentation: Undocumented capital can trigger DIAN investigations
- Delaying Monthly Accounting: Colombia requires monthly records — not annual
- No Representante Legal: Non-residents need proper legal representative documentation
- Mixing Personal and Company Funds: Always maintain separation
- Ignoring Tax Status Changes: Review your classification annually
Need Expert Help with S.A.S. Formation?
Maia Legal & Accounting handles everything from estatutos drafting to NIT/RUT assignment and post-incorporation compliance.
Get Started with S.A.S. FormationFrequently Asked Questions
Can a foreigner form an S.A.S. in Colombia without being a resident?
Yes, foreigners can form an S.A.S. without being a resident. You need a valid passport, a Colombian RUT, and a legal representative or power of attorney. Having a visa simplifies the process significantly.
How long does it take to form an S.A.S. in Colombia?
The typical timeline is 2-4 weeks if all documents are prepared correctly. This includes drafting estatutos (3-5 days), Camara de Comercio registration (5-7 days), NIT/RUT assignment (2-3 days), and bank account opening (3-5 days).
What is the minimum capital required?
There is no legally mandated minimum capital for an S.A.S. in Colombia. You can theoretically form one with as little as 1 Colombian peso. Most companies are formed with 1-50 million COP depending on the business type.
What are the main costs?
Total formation costs range from 2-4 million COP ($500-$1,000 USD) for DIY. Full professional service runs 3.5-5 million COP ($875-$1,250 USD). This includes all registration fees, notarization, and legal assistance.
What are the monthly obligations after forming an S.A.S.?
Monthly obligations include maintaining accounting records, VAT reporting, DIAN e-invoicing compliance, and payroll processing if you have employees. Professional bookkeeping typically costs 300,000-800,000 COP per month.