Generally, in countries operating under civil law, S.A. Designates a corporation. S.A. Literally translates into Sociedad Anonima or anonymous society. In English, it is commonly known as a public limited company, and is different from limited liability companies and partnerships.

Advantages of establishing an entity such as Sociedad Anonima in Panama are clear with a little reading. Panama permits the ownership of bearer share corporations. A bearer share corporation allows a person to own the corporation with out having to acknowledge ownership.

A Panama S.A. corporation, or IBC (International Business Company), is a legal entity that is incorporated in a tax haven.  With the exception of a small annual fee, the tax haven is free of local taxes. The IBC cannot do business in Panama, or it will be taxed, and that would defeat the purpose of creating the IBC in the first place for privacy reasons.

A Panama corporation can be used for all sorts of reasons, with privacy a major deciding factor. Incorporating in Panama while conducting business elsewhere creates many possibilities for the business minded individual who desires protection of his or her assets.  Offshore companies can be used for owning real estate an land, operating businesses, owning bank accounts, ownership of intellectual property, franchising and licensing, e-commerce business and ways to save on taxes. It is really up to your imagination as to how you can benefit from an offshore company!