This island is a natural home of trade, meaning that an increasing number of C-suite executives worldwide are looking at how to incorporate a company in the Dominican Republic. As the country grows wealthier, it is falling in line with international norms. Just like any other country, you will need local representation, which includes an auditor in the Dominican Republic.
Before you launch or move your business to the country it is crucial that you understand the local tax and accounting requirements, as they may differ from your home market. An auditor in Dominican Republiccan help you navigate these new waters and make sure that your business stays compliant under both local and international law overseen by the Ministry of Finance.
Partnering with a local specialist such as Biz Latin Hub means that you will have an experienced guide on your side as you enter the new market. We can set you up with an auditor in Dominican Republic or elsewhere in Latin America and the Caribbean, with our 18 dedicated local offices across the region.
Why invest in the Dominican Republic?
Located on the crossroads between the Eastern and Western Caribbean, the Dominican Republic is a trade link between the large markets of Central, South, and North America for trade and transport.
The country shares a border with Haiti, is close to the US hub Miami and other developing Central American economies, offering wide trade opportunities.
The Dominican Republic also benefits from a free flow of goods and services as a member of CARICOM and DR-CAFTA. The CARICOM is made up of 15 member countries and an additional five associate members based in the region, and aims to develop regional economic integration and deepen trade ties.
The CAFTA comprises the United States, Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua, and is the United States’ third-largest export market in Latin America.
Businesses setting up in the Dominican Republic can explore their trade opportunities with minimal barriers to trade among fellow members of these groups. They may also explore their prospects further afield in the developing, highly accessible Southern American markets.
Why does a company need an auditor in the Dominican Republic?
Local expertise is crucial for foreign investors to navigate the complexities of doing business in a new country. Financial regulations in the Dominican Republic, for example, can be particularly intricate, requiring several months or even years to fully comprehend.
As a precaution against potential issues, utilizing the services of local specialists is highly recommended. The two most common legal entity (company) structures in the Dominican Republic are a Corporation/Joint Stock Company (Sociedad Anónima – S.A) or a Limited Liability Company (Sociedad de Responsabilidad Limitada – S.R.L).
An auditor in the Dominican Republic is a legal necessity for companies that are considered to have a significant presence in the country.
This is defined locally as holding capital equal to or greater in value than 100 times the monthly minimum wage. It is also important to note that anyone with a contract to do business with the state valued at RD$50,000 or above must also be externally audited. Remember that accounting records must be kept in Spanish.
What is the role of an auditor in Dominican Republic?
The auditor is there to check that the company is conducting its business appropriately to aid financial transparency. That means that they may not be an employee of the company, nor may they be connected to the company in any way. This allows them to be impartial and independent when conducting the audit.
What qualities does an auditor need?
When looking for an auditor in Dominican Republic, there are certain factors to keep in mind, including:
- Experience: Look for an auditor that has experience working with foreign investors and in your industry.
- Reputation: Check online reviews and feedback to assess the quality of service you can expect.
- Language: Ensure that the auditor you work with is fluent in a language you are comfortable communicating in.
- Communication: If you will be spending extended periods outside of Dominican Republic, choose a lawyer or firm that is proficient in using online tools for easy management and reporting.
FAQs on an auditor in Dominican Republic
It is important to have an experienced auditor in the Dominican Republic to ensure that your company is compliant with the country’s financial rules.
An auditor in the Dominican Republic is a legal necessity for companies that are considered to have a significant presence in the country. This is defined locally as holding capital equal to or greater in value than 100 times the monthly minimum wage.
It is also important to note that anyone with a contract to do business with the state valued at RD$50,000 or above must also be externally audited.
You do not need one by law, but you may find it beneficial to undergo an auditing process in order to demonstrate reliability, company health and transparency.
When looking for an auditor in the Dominican Republic, there are certain factors to keep in mind, including:
Experience: Look for an auditor that has experience working with foreign investors and in your industry.
Reputation: Check online reviews and feedback to assess the quality of service you can expect.
Language: Ensure that the auditor you work with is fluent in a language you are comfortable communicating in.
Communication: If you will be spending extended periods outside of the Dominican Republic, choose a lawyer or firm that is proficient in using online tools for easy management and reporting.
It is important to note that accounting records must be kept in Spanish.
Biz Latin Hub can provide you with an auditor in the Dominican Republic
Starting a company in Dominican Republic requires the support of a qualified financial team from the outset to ensure that your business complies with local laws and is well-regarded by the authorities.
Without this, even a well-planned business may struggle to thrive. At Biz Latin Hub, we have a team of locally-based specialists who possess a comprehensive understanding of the Dominican business environment, including its laws and complications.
We are well-equipped to assist foreign companies looking to conduct commercial activity in the region with all accounting, taxation, and financial matters.
If you’re interested in learning more about the Dominican economy, the opportunities for starting a company there, and need an auditor in the Dominican Republic, please contact us today.
