Most Common Types of Companies in Paraguay

In recent years, Paraguay has been attracting investors, business owners, and new companies interested in the South American market. Thanks to being one of the founding members of MERCOSUR, it has access to alliances and special regulations that benefit commerce with neighboring countries like Argentina, Uruguay, and Brazil.

One of the first and most important steps when registering a company in Paraguay is to choose which type of legal structure suits and fits best with your needs, the number of shareholders you will have, as well as plans and goals for the future. In this article, you can learn about Paraguay’s most popular and used types of companies, their requirements, and how to incorporate a company.

What are the most popular types of legal entities in Paraguay? How to incorporate a company in Paraguay? What is an ‘EAS’? Which is the right type of legal structure for my business?


‘Empresa por Acciones Simplificadas’ or Simplified Shares Company (EAS)

The Simplified Shares Company or ‘EAS’ is a new type of legal structure in Paraguay created to simplify traditional processes and allow entrepreneurs to start a business with only one shareholder.

  • Only one shareholder is required at the moment of registration. Nonetheless, more can be added in the future

  • The capital of the company is divided into shares

  • The shareholders and/or members of the society have limited liability

  • The minimum capital required is 1 Paraguayan Guarani or USD 0,00014

  • In this type of company, the Board of Directors is optional, but it needs to have a local legal representative

‘Sociedad en Responsabilidad Limitada’ or Limited Liability Company (SRL)

The name of the company must end with the abbreviation ‘SR de L’ to identify what type of company it is.

  • At the moment of incorporation, at least 2 shareholders are required

  • The maximum number of shareholders an ‘SRL’ can have is 25

  • The capital is divided into shares worth 1,000 Paraguayan Guaranis or a multiple

  • The shareholders have limited liability over the assets of the company

  • At the moment of the incorporation, 50% of the company’s capital must be paid

‘Sociedad Anónima’ or Corporation (SA)

This is the most common type for big companies that want to have an unlimited number of shareholders and transfer or sell their shares without a problem, and because it gives flexibility with the selling and transfer of shares.

  • At the moment of registration, a Corporation or ‘SA’ must have a minimum of 2 shareholders

  • There is no limit on the maximum number of shareholders it can have

  • The company can sell or transfer its shares freely

  • The shareholders have limited liability and can be foreign

  • There is no minimum capital required at the moment of incorporation. However, if commercial activities involve the exportation of goods, then it is USD 10,000

How to register a company in Paraguay?

Registering a company in Paraguay is easier and faster in comparison with other countries

  1. Select the right type of business structure

  2. Check the availability of the name

  3. Elaboration and signature of the Power of Attorney

  4. Drafting and notarization of the bylaws

  5. Submission of the documentation to the local centralized platform (SUACE)

  6. Publication in the Paraguayan Official Gazette

  7. Obtain a Tax ID Number or ‘RUC’

  8. Obtain the statutory books

  9. Apply to the local Municipality for the verification and assessment of licenses and permits

  10. Submit an application for registration at the Social Security Institute and to the Ministry of Justice and Labor

  11. Open a corporate bank account

Do you want to register a company in Paraguay?

In general, Paraguay is the perfect country to register a business because it is a country that is constantly in expansion and growth. To make sure you register your company in Paraguay in the right way, you can get in touch with us, and our team of experts is going to make sure your registration complies with all Paraguayan laws.

At Easyco, we make company formation in Paraguay easy; our team of corporate experts has vast experience helping companies and individuals register their business in Paraguay, with a proven track record of success across all of our services. Easyco aims to tackle the complex company formation processes across LATAM and makes business registration easy by providing a hassle-free online company registration experience. Start your company in Paraguay today!

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