Countries › Dominican Republic › Guide › 4. Entities and setup › Choosing an entity in the Dominican Republic: S.R.L., S.A.S., S.A., E.I.R.L. or branch, compared on capital, owners, governance and cost

Choosing an entity in the Dominican Republic: S.R.L., S.A.S., S.A., E.I.R.L. or branch, compared on capital, owners, governance and cost

Argentina. For full detail on Argentina, go to The Argentine Thread.

Last verified: 2026-10-30 · Status: Changing

Most foreign investors choose between the S.R.L. (no minimum capital, up to 50 partners), the S.A.S. (RD$3 million authorized, flexible governance and share classes) and a branch. The S.A. (RD$30 million authorized) fits capital markets plans or laws that require it, and the E.I.R.L. works only for one natural person. All except the branch need two owners or a natural person owner, and the 1% tax on incorporation ends in 2027.

USD figures use the Banco Central de la República Dominicana spot reference selling rate of RD$60.9007 per US dollar for 29 October 2026, rounded to the cent.

Key facts

Limited liability forms used by investors	S.R.L., S.A.S., S.A., E.I.R.L. (one natural person), branch of a foreign company Ley 479-08 art. 3 and art. 11, as of 2026-10-30 · in force
Minimum capital, S.R.L.	None DOPLey 68-19 art. 3, as of 2026-10-30 · in force
Minimum authorized capital, S.A.S.	3000000 DOPLey 479-08 art. 369-6, as of 2026-10-30 · in force
Minimum authorized capital, S.A.	30000000 DOPLey 479-08 art. 160, as of 2026-10-30 · in force
Branch is a separate legal person	No Ley 479-08 art. 11 and art. 53, as of 2026-10-30 · in force
Rate used for USD conversions	60.9007 DOP per USDBanco Central spot reference selling rate, 29 October 2026, as of 2026-10-29 · in force

The rule

1. The law recognizes the general partnership, limited partnership, partnership limited by shares, S.R.L., S.A. and S.A.S., plus the accidental or participation company without legal personality, and it separately regulates the E.I.R.L. (art. 3).Ley 479-08, General de las Sociedades Comerciales y Empresas Individuales de Responsabilidad Limitada, as amended by Ley 31-11, art. 3, 2011-02-08 official text · verified 2026-10-30

2. Companies have full legal personality from registration in the Registro Mercantil, except accidental companies (art. 5). Those who act for a company before registration are jointly and without limit liable unless the company later takes over the obligations (art. 8).Ley 479-08, General de las Sociedades Comerciales y Empresas Individuales de Responsabilidad Limitada, as amended by Ley 31-11, art. 5 and art. 8, 2011-02-08 official text · verified 2026-10-30

3. Capital and par value may be stated in freely convertible foreign currency, converted at the rate published by the Banco Central (art. 24).Ley 479-08, General de las Sociedades Comerciales y Empresas Individuales de Responsabilidad Limitada, as amended by Ley 31-11, art. 24, 2011-02-08 official text · verified 2026-10-30

4. Courts can disregard legal personality when a company is used to defraud the law, breach public order or harm partners or third parties, on strong proof; the ruling applies only to that case and does not void the company (art. 12).Ley 479-08, General de las Sociedades Comerciales y Empresas Individuales de Responsabilidad Limitada, as amended by Ley 31-11, art. 12, 2011-02-08 official text · verified 2026-10-30

5. A foreign company is recognized once its legal existence is shown and is governed by its home law on existence and capacity, but must register in the Registro Mercantil if it sets up a branch or permanent establishment or trades habitually. Isolated acts, litigation and investing in shares or quotas do not require registration (art. 11).Ley 479-08, General de las Sociedades Comerciales y Empresas Individuales de Responsabilidad Limitada, as amended by Ley 31-11, art. 11, 2011-02-08 official text · verified 2026-10-30

6. Spouses may be partners together only in an S.A., S.A.S. or S.R.L. (art. 19).Ley 479-08, General de las Sociedades Comerciales y Empresas Individuales de Responsabilidad Limitada, as amended by Ley 31-11, art. 19, 2011-02-08 official text · verified 2026-10-30

7. The tax on incorporation and capital increases of 1% with a RD$1,000 floor is repealed from 2027, and in kind contributions will bear the transfer taxes for the asset type.
Cost to do it: On RD$3,000,000 the saving is RD$30,000 (about US$492.61); on RD$30,000,000 it is RD$300,000 (about US$4,926.05).Ley 30-26, art. 58, 2026-06-18 official text · verified 2026-10-30 · changed: Ley 30-26 of 18 June 2026, art. 58, repeals art. 10 of Ley 173-07 from 2027; DGII lists it for fiscal year 2027.

Feature	S.R.L.	S.A.S.	S.A.	E.I.R.L.	Branch
Owners	2 to 50 (art. 89, art. 93)	2 or more (art. 369-1)	2 or more (art. 154)	1 natural person (art. 450)	Foreign company (art. 11)
Minimum capital	None; quota at least RD$100 (Ley 68-19)	RD$3,000,000 authorized (art. 369-6)	RD$30,000,000 authorized (art. 160)	None stated (art. 455)	None stated
Paid at formation	100% (art. 92)	10% (art. 369-6)	10% (art. 164)	Declared capital (art. 455)	Not applicable
Management	Natural person managers (art. 100)	President; free design (art. 369-3)	Board of 3 or more (art. 208)	Natural person manager (art. 456)	Mandatary with power to represent (art. 53)
Statutory examiner	Optional (art. 130)	Optional (art. 369-8)	Mandatory (art. 241)	Not in the title	Home law
Transfers	3/4 consent for outsiders (art. 97)	Set by bylaws (art. 369-6)	Free unless bylaws restrict (art. 316)	Transferable (art. 463)	Not applicable
Public securities	No certificates (art. 91)	Not allowed (art. 156)	Allowed, supervised (art. 157)	No	Rules for foreign issuers (art. 11, paragraph IV)

Main vehicles for a foreign investor, from Ley 479-08 and its amendments.

Worked example

A foreign group with a wholly owned local business usually needs two holders, for example the parent and a second group company, in an S.R.L. or S.A.S.; the S.A.S. fits better if it wants share classes or plans an investor round. A contractor on one project may prefer a branch, but the parent then answers directly as the same legal person.

Step by step

Is the owner one natural person and is a simple business enough? Consider the E.I.R.L.
Do you want a separate legal person? If not, consider a branch.
Does a sector law require a particular form? It overrides the S.A.S. option.
Do you need share classes or investors? Use the S.A.S.; for a public offering use the S.A.
Otherwise the S.R.L. is the lowest capital option. Check the cost tables before signing.

Common traps

There is no one person company for a corporate parent: the S.R.L., S.A.S. and S.A. all need two owners at formation.
Capital in the bylaws drives the chamber fee band, so setting it high has a real cost.
Signing contracts before registration exposes the signers personally (art. 8).
For Argentine shareholders, documents, FX and tax on the Argentine side need separate review; see The Argentine Thread guide.

Sources

Sociedad de responsabilidad limitada (S.R.L.) in the Dominican Republic: two to 50 partners, no minimum capital since 2019, quotas paid in full at formation and a three quarters vote for outside transfers →

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