How to Set Up a Company in Ecuador (2026): 8 Steps

By Easyco Updated September 30, 2026

To set up a company in Ecuador in 2026, you choose a company type (we recommend the Sociedad por Acciones Simplificada, or SAS), appoint a legal representative and sign a power of attorney, reserve the company name with the Superintendencia de Compañías, Valores y Seguros (SCVS), file the constitutive documents, inscribe the company (SAS with the SCVS Registro de Sociedades; Cía. Ltda. and S.A. also go through the Registro Mercantil), obtain your RUC with the Servicio de Rentas Internas (SRI), complete municipal habilitation where required, and open a corporate bank account. Foreigners can own 100% of the company for ordinary commercial activities, and the whole process can be done remotely through a power of attorney. With Easyco, it takes 1–2 months, counted from when all required documents are received and submitted to the Ecuadorian authorities. Contact us for a quote.

Prefer to have it done for you? Easyco handles company formation in Ecuador for foreign founders from start to finish. Not sure which structure fits? Compare the types of companies in Ecuador.

EASYCO - COMPANY REGISTRATION IN ECUADOR

Ecuador is one of the few countries in South America with a strong service-based economy. It ranks among the larger economies in Latin America, with a GDP on the order of USD 100 billion according to the World Bank. In recent years the government has worked to make company registration clearer and more accessible, including electronic filing routes for the SAS.

How to form a SAS in Ecuador

The Sociedad por Acciones Simplificada (SAS) is the streamlined route we recommend for most foreign founders. Per the SCVS:

One or more shareholders (individuals or companies)
No legal minimum capital (in practice Easyco typically suggests about USD 400, paid at incorporation)
Private constitutive act or contract (escritura pública only if contributed assets require it)
Inscription with the SCVS Registro de Sociedades — not the Registro Mercantil
Electronic, semi-electronic, or in-person filing; the official SCVS trámite has no SCVS fee

For a SAS, skip the Mercantile Registry step below. Cía. Ltda. and S.A. follow the traditional path that includes the Registro Mercantil.

How to set up a company in Ecuador: 8 steps

1. Choose the correct type of company

The right structure depends on ownership, capital and the nature of the business. These are the main types of companies in Ecuador:

Simplified Stock Company (SAS) — recommended for foreign founders. A Sociedad por Acciones Simplificada can be formed by one or more shareholders, with no legal minimum capital. It is registered with the SCVS (Registro de Sociedades), not with the Registro Mercantil. Constitution can be electronic, semi-electronic, or in person. In practice Easyco typically suggests about USD 400 of capital, paid at incorporation.
Limited Liability Company (Cía. Ltda.): A Compañía de Responsabilidad Limitada may be formed by one to fifteen partners (Ley de Compañías reform, R.O. Suplemento 269, 15-III-2023). Liability is limited to each partner’s contributions. Capital is divided into participaciones (ownership interests), not freely transferable shares. The legal minimum capital is USD 400, with at least 50% paid in at incorporation and the rest within 12 months. It needs appointed administrators, typically including a legal representative (often a manager and/or president).
Corporation (S.A.): A sociedad anónima may be formed by one or more shareholders under the 2023 reforms, with no maximum. Capital is divided into shares. The legal minimum capital is USD 800, with at least 25% paid in at incorporation.
Foreign branch (Sucursal): Lets an existing foreign company operate in Ecuador without forming a new Ecuadorian company. Foreign corporate documents must be legalized or apostilled, and the parent company’s existence must be evidenced as required by the SCVS. A local legal representative is appointed through a power of attorney. Capital assigned to the branch is typically at least USD 2,000.

2. Appoint a legal representative and sign the power of attorney

Every company needs a legal representative in Ecuador. Easyco can assign the legal representative for your company as a service.

You don’t need to travel to Ecuador. The shareholders sign a Power of Attorney (PoA) from abroad, which allows the legal representative to carry out every step locally on their behalf. Foreign shareholders will need some additional documentation.

Documents issued abroad must be legalized or apostilled (as applicable), and, depending on the filing route, original hard copies may need to be sent to Ecuador. Documents that are not in Spanish need a translation to be accepted by the local agencies. We guide you through every document.

3. Check and reserve the company name with the SCVS

Check availability of the desired company name and reserve it with the Superintendencia de Compañías, Valores y Seguros (SCVS). The company name in Ecuador does not have to match the brand or product name you use in the market.

4. Draft the constitutive documents and bylaws

The constitutive act or articles of incorporation and the bylaws are the backbone of the company. They typically cover:

Company name
Legal representative information
Capital information
Company activities
Registered / legal address (a physical registered address in Ecuador is required)
Management structure
Dissolution and liquidation rules
Other general provisions

Easyco’s corporate team prepares these documents so they meet SCVS requirements for your chosen type.

5. Inscribe the company with the SCVS (and Registro Mercantil when required)

The SCVS regulates and supervises companies in Ecuador. Once registration is complete, the company is assigned its registration identifiers and company data is published on the SCVS portal.

SAS: legal existence begins with inscription in the SCVS Registro de Sociedades. A SAS does not register with the Registro Mercantil.

Cía. Ltda. and S.A.: after SCVS steps, the company must also be registered at the Mercantile Registry Office (Registro Mercantil) in the province where it is constituted. The registry issues a registration number that confirms the company legally exists under the traditional path.

6. Obtain the Tax Identification Number (RUC)

Once the company is inscribed, apply for the RUC (Registro Único de Contribuyentes) with the Servicio de Rentas Internas (SRI). Once the supporting documents are in order, the SRI issues the RUC.

7. Pay the commercial patent and obtain municipal habilitation

Pay for the commercial patent at the local municipality to obtain the tasa de habilitación, which allows an office or commercial space to operate when it complies with local safety and zoning rules. Exact requirements vary by city and activity.

8. Open a corporate bank account

To start operating, the company needs a corporate bank account in Ecuador. Each bank offers different account types and benefits. We recommend a bank with sensible pricing for international transactions. Some banks apply extra checks to companies with foreign shareholders, so choosing the right bank matters for when you can start operating. Easyco can help you open the account.

How long does company formation in Ecuador take?

With Easyco, setting up a company in Ecuador takes 1–2 months. That covers incorporation, government filings and the RUC, counted from when all required documents are received and submitted to the Ecuadorian authorities.

FAQ: how to register a business in Ecuador

Can foreigners register a business in Ecuador?

Yes. Foreign individuals and companies can be shareholders or partners, and foreigners can own 100% of an Ecuadorian company for ordinary commercial activities (regulated sectors such as insurance or securities have special rules).

Do I need to travel to Ecuador?

No. The whole process can be done remotely through a power of attorney, and your legal representative handles the local steps for you.

Is there a minimum capital?

For a SAS there is no legal minimum; in practice Easyco typically suggests about USD 400, paid at incorporation. A Cía. Ltda. has a legal minimum of USD 400; a sociedad anónima has a legal minimum of USD 800.

Can one person own a company in Ecuador?

Yes. A SAS can have a single shareholder. Under the 2023 Ley de Compañías reforms (R.O. Suplemento 269), a Cía. Ltda. and a sociedad anónima may also be formed by a single owner.

How much does company formation in Ecuador cost?

It depends on the company type and the services you need. Contact us for a quote.

Do I need a registered address in Ecuador?

Yes. A physical registered address in Ecuador is required.

What is the VAT rate in Ecuador?

The general VAT (IVA) rate is currently 15% for most goods and services (0% and 5% apply to specific cases). Always confirm the current rate on the SRI site.

Company formation in Ecuador with Easyco

Ecuador continues to attract founders who want a clear corporate structure in the Andean region. To make sure you register your company the right way, get in touch: our team will keep you aligned with Ecuadorian company and tax rules.

At Easyco, we make company formation in Ecuador easy. Our corporate experts help companies and individuals register their business in Ecuador, fully remotely and hassle-free. It takes 1–2 months once all required documents are received and submitted to the Ecuadorian authorities. Contact us for a quote.

Start your company in Ecuador today!

Easyco also provides additional services to keep your company compliant: