How to Start a Business in Medellín, Colombia

Step-by-step legal guidance for foreign entrepreneurs: company formation (SAS), tax IDs, foreign-investment registration, and visas.

Your Legal Partner for Launching a Company in Colombia

At Nelson Ahumada Abogados y Asociados, we help international founders incorporate quickly and compliantly in Medellín. Foreigners can own 100% of a Colombian company with equal rights to establish and operate businesses — no local partner required.1

Bilingual Corporate Counsel Company Formation (SAS) Tax & Visa Coordination

Step-by-Step: Start Your Business in Medellín

  1. Choose the right legal structure (SAS) Colombia’s Simplified Stock Company (S.A.S.) offers limited liability, flexible governance, and separate legal personality — widely used by locals and foreigners.2
  2. Register your company with the Medellín Chamber of Commerce File bylaws/statutes, corporate data, and legal representative to obtain registration (virtual routes available).3
  3. Get your Tax ID: RUT and NIT (DIAN) All entities must register in the RUT to identify their tax obligations and obtain the NIT for operations and invoicing.4
  4. Register foreign investment with Banco de la República Legalize inbound funds (e.g., via “Declaración de cambio” – Form 4) to secure repatriation rights and compliance under exchange regulations.5
  5. Apply for the appropriate visa Business/investor categories are handled by Colombia’s Ministry of Foreign Affairs; requirements depend on activity and investment.6
  6. Stay compliant (tax, labor, corporate) Keep corporate books, file taxes, and maintain employer compliance; ProColombia’s legal/investment guides are a good reference.7
Schedule Consultation Call Now

What We Do for Foreign Entrepreneurs

Company Formation (SAS)

Draft bylaws, shareholder terms, capitalization, and fast registration with the Chamber of Commerce.

Tax & Compliance Setup

RUT/NIT, invoicing, accounting coordination, and ongoing corporate maintenance.

Foreign-Investment Recording

Form 4 filings and exchange-market channeling to protect repatriation rights.

Commercial Contracts

Supplier, services, distribution, employment, and NDAs in English/Spanish.

Labor & HR

Hiring models, labor compliance, and handbooks aligned with Colombian law.

Visas & Immigration

Investor/business visas and residency planning for founders and families.

Frequently Asked Questions

Can foreigners own 100% of a company in Colombia?

Yes. Foreign and domestic investors have equal rights to establish and own businesses in Colombia.1

Is the SAS the best option for startups?

Often yes — the SAS is designed for flexibility, limited liability, and fast incorporation, and is recognized in Colombian law.2

Do I need to record my foreign investment?

Yes. Recording with Banco de la República (e.g., Form 4) is key to compliance and future profit repatriation.5

Where do I get my company’s tax ID?

With DIAN: RUT registration assigns the NIT and defines your tax obligations.4

References

  1. Equal treatment / foreign ownership: Article 15 of Colombia’s Foreign Exchange Statute (Law 9 of 1991) and subsequent regs; see Garrigues summary and ProColombia legal guides. Garrigues · ProColombia
  2. SAS legal basis (Ley 1258 de 2008) and features: Ley 1258 (texto oficial) · SuperSociedades – Cartilla SAS
  3. Company registration, Medellín Chamber of Commerce (virtual options): Crear empresa · Registro mercantil
  4. RUT/NIT (DIAN) – inscripción y obligaciones: Inscripción y actualización RUT · Sobre el RUT
  5. Foreign investment registration (Banco de la República), “Declaración de cambio” Form 4: Registro de inversiones internacionales · Instructivo Formulario 4 (PDF)
  6. Visas (Min. Relaciones Exteriores) – Resolución 5477 de 2022 y Visa M Inversionista: Resolución 5477/2022 · Visa M Inversionista
  7. Compliance y guías para inversionistas: ProColombia Legal Guide 2025