How to Create a SAS in Ecuador
A comprehensive guide to understanding and establishing a Sociedad por Acciones Simplificada (Simplified Stock Corporation) in Ecuador.
Created by a team combining legal expertise with entrepreneurial experience to help you understand the process clearly and make informed decisions.
About the Authors
This guide is maintained by professionals who combine legal expertise with real-world entrepreneurial experience.
What is a SAS?
A Sociedad por Acciones Simplificada (SAS) is a modern corporate structure created in Ecuador specifically for entrepreneurs and startups seeking agility and flexibility.
The SAS was introduced to address the complexities and costs of traditional limited liability companies, making it easier for individuals and small teams to formally establish their businesses.
Key Characteristics
Fast Formation
Can be established in days rather than weeks or months
Limited Liability
Shareholders only liable up to their contribution amount
Flexible Management
Fewer formalities than traditional corporate structures
Single Shareholder
No need for partners to establish the company
No Minimum Capital
No mandatory minimum capital requirements
Digital Process
Most procedures can be completed online
Requirements to Create a SAS
The basic requirements depend on whether you're an Ecuadorian national or foreign resident.
For Ecuadorian Nationals
- Valid national identity card (cédula)
- Current voting certificate
- Basic business information (name, activity)
- Email address for official notifications
For Foreign Residents
- Valid passport
- Residence visa (if applicable)
- Basic business information
- Email address for notifications
Note for Foreign Nationals
Foreign nationals without Ecuadorian residency can establish a SAS in Ecuador. The process includes additional steps for obtaining a Tax ID (RUC) and may require a legal representative in certain cases.
The Formation Process
Understanding each step helps you prepare properly and know what to expect throughout the process.
Name Reservation
1-2 business daysThe company name must be unique and reserved with the Superintendency of Companies. This involves checking availability and filing the reservation request. The name is reserved for 30 days.
Key Points:
- •Name must be unique in Ecuador
- •Cannot include restricted words without authorization
- •Reservation valid for 30 days
Drafting Corporate Documents
1-2 business daysThe company bylaws (estatutos) must be drafted, including shareholder information, corporate purpose, capital structure, and governance rules. These documents establish how the company will operate.
Key Points:
- •Bylaws define company structure and operations
- •Must specify corporate purpose and activities
- •Include capital contribution details
Registration with Superintendency
1-2 business daysSubmit all documentation to the Superintendency of Companies for official registration. This includes the bylaws, shareholder information, and incorporation act.
Key Points:
- •Documents submitted to Superintendency portal
- •Review and approval by government officials
- •Company officially incorporated upon approval
Tax Registration (RUC)
1 business dayRegister the company with the Internal Revenue Service (SRI) to obtain a Tax ID (RUC). This is required to issue invoices and fulfill tax obligations.
Key Points:
- •RUC is the company's tax identification number
- •Required to operate legally and issue invoices
- •Enables access to government systems
Total Timeline
The complete process typically takes 4-7 business days when all documents are in order. Experienced professionals can often expedite this to 2-3 days.
Questions About Costs?
The cost to create a SAS varies based on your specific needs and situation. We offer transparent pricing and can provide a detailed quote based on your requirements.
Contact UsFrequently Asked Questions
Common questions about creating and operating a SAS in Ecuador.
Can foreigners without residency create a SAS?
Yes. Foreign nationals without Ecuadorian residency can create a SAS. They will need a legal representative in Ecuador and must complete additional steps to obtain a foreign investor RUC (Tax ID).
Is there a minimum capital requirement?
No. Unlike traditional corporations, the SAS has no minimum capital requirement. You can start with any amount that makes sense for your business.
How many shareholders are required?
A SAS can be formed with a single shareholder. There is no requirement for multiple partners, making it ideal for solo entrepreneurs.
What's the difference between a SAS and a traditional company?
The SAS offers simplified formation, fewer formalities, more flexible management structure, and lower costs compared to traditional corporations (S.A.) or limited liability companies (Cia. Ltda.).
Can I change the company structure later?
Yes. A SAS can be transformed into other corporate structures if your business needs change. The transformation process requires approval by shareholders and registration with the Superintendency.
What ongoing obligations does a SAS have?
Main obligations include filing annual financial statements with the Superintendency, maintaining updated shareholder records, fulfilling tax obligations (monthly VAT and annual income tax), and holding annual shareholder meetings.
Can a SAS have foreign shareholders?
Yes. A SAS can have both Ecuadorian and foreign shareholders. Foreign shareholders must obtain a foreign investor RUC (Tax ID) to participate.
How long does the name reservation last?
The company name reservation is valid for 30 days. If you don't complete the incorporation within this period, you'll need to reserve the name again.
Can I operate internationally with a SAS?
Yes. A SAS is a fully recognized legal entity that can engage in international trade, open foreign bank accounts, and enter contracts with international parties.
What happens if I don't file required documents?
Failure to file annual financial statements can result in fines from the Superintendency. Repeated non-compliance may lead to dissolution of the company. Tax non-compliance results in penalties from the SRI.
Need Help Creating Your SAS?
Our team combines legal expertise with entrepreneurial experience to guide you through the process efficiently. We handle all paperwork and procedures so you can focus on building your business.
Contact Us for Assistance