Sociedad por Acciones Simplificada (SAS)

The Sociedad por Acciones Simplificada (SAS) is by far the most widely used corporate vehicle in Colombia, accounting for over 90% of all new company registrations since its creation under Law 1258 of 2008. The SAS was designed specifically to simplify company formation and corporate governance in Colombia, eliminating many of the rigid requirements that made traditional structures like the SA and Ltda burdensome for entrepreneurs. A SAS can be formed by a single shareholder — whether an individual or a legal entity, Colombian or foreign — with no minimum capital requirement, no mandatory board of directors, and maximum flexibility in defining governance rules, share classes, and profit distribution through its bylaws. This makes it equally suitable for solo founders, startups, family businesses, and large corporate groups operating in Colombia.

Incorporation of a SAS is executed through a private document registered with the Cámara de Comercio (Chamber of Commerce), rather than requiring a public deed before a notary — a significant advantage in terms of cost and speed compared to other entity types. The founding document must include the company name, registered address, business purpose (which can be defined broadly as any lawful activity), capital structure, share distribution, and the appointment of a legal representative. While the process is streamlined, it must comply with the requirements of Law 1258, the Código de Comercio, and applicable regulations from the Superintendencia de Sociedades. Errors in the incorporation documents, capital structure, or governance provisions can create legal vulnerabilities that are costly to correct after formation.

At Legal Diligence Medellín, we have incorporated hundreds of SAS companies for both Colombian and foreign entrepreneurs. Our corporate lawyers draft customized bylaws that protect your interests, structure your capital appropriately, and ensure full compliance with Colombian corporate law. We handle the entire registration process with the Cámara de Comercio, obtain your company's NIT and RUT, and advise on post-incorporation obligations including tax registration, beneficial ownership reporting, and annual compliance requirements. Schedule a consultation to discuss your specific business needs and get a clear roadmap for your SAS formation.