Dominican Republic company structures: at a glance

Hawksford

Last updated: 17 September 2026 |

Americas | Dominican Republic

Options for registering companies in Dominican Republic

The Dominican Republic is a Caribbean state and one of the largest economies in the region. Its corporate framework supports locally incorporated companies, companies operating under the free zone regime and branches of foreign companies.

Commercial registrations are handled through the Registro Mercantil administered by the Chambers of Commerce and Production, while tax registration is managed by the Dirección General de Impuestos Internos (DGII). The Companies Law, the tax framework and the Free Zones Law provide the principal legal framework for the structures covered on this page.

Each structure differs in legal identity, tax obligations, capitalisation requirements and operational control, directly influencing how foreign companies enter and manage the market.

Dominican Republic offers international investors the following legal structures for establishing a local presence:

Limited liability company (Sociedad de responsabilidad limitada, SRL)

A limited liability company is a Dominican commercial company with separate legal personality and liability generally limited to quotaholders’ contributions.

An SRL is a Dominican commercial company with legal personality and liability limited to contributions. Unlike a branch, it exists separately from its quotaholders and may be foreign owned.
An SRL is commonly used for private trading, service and operating businesses in the Dominican Republic. DGII identifies SRL companies among legal persons subject to corporate filing.
An SRL is administered by one or more managers appointed under its by-laws and company law.
SRL profits are subject to income tax rules administered by DGII, with the general legal-person rate stated at 27%. Annual IR-2 filing obligations apply to legal persons in the Dominican Republic.
SRLs register through the Registro Mercantil and obtain RNC registration from DGII. The DGII process records legal representatives, shareholders, branches and tax duties for the company.
In contrast to a free zone company, an SRL does not receive the Law 8-90 free-zone exemption by default. Sector-specific licences remain required for regulated activities in the Dominican Republic.

Free zone company (Zona franca)

A free zone company is an authorised business operating under the Dominican free zone regime with special customs and tax treatment for approved activities.

A free zone company operates under the Dominican Republic free-zone regime and requires CNZFE authorisation. Compared to an ordinary SRL, it depends on special-regime approval.
A free zone company is commonly used for export-focused manufacturing, services and processing activities. Law 8-90 links the regime to production or services for external markets.
Free-zone status is tied to CNZFE authorisation and operation under the Law 8-90 regime.
DGII states that free zone operators and companies receive 100% exemption from income tax under Law 8-90. Local-market sales are subject to special tax rules where applicable.
Free zone companies remain subject to CNZFE oversight and DGII tax administration for applicable obligations. Exemption authorisations are processed through public authorities.
Unlike an ordinary SRL, a free zone company must remain within the authorised free-zone regime. Activities outside that scope lose the basis for special-regime treatment under Law 8-90.

Branch (Sucursal de sociedad extranjera)

A branch is the local registration of a foreign company in the Dominican Republic and remains legally connected to the overseas entity.

A branch is the Dominican registration of a foreign company for local operations. Unlike an SRL, it does not create a separate Dominican company or independent local ownership.
A branch is commonly used by foreign companies for direct operations in the Dominican Republic. Registro Mercantil materials recognise sociedades extranjeras as a registrable category.
No minimum capital requirement applies as a share-capital rule for a branch in the sources reviewed. The Registro Mercantil form allows foreign-company registration with or without capital.
A branch acts through the foreign company's authorised representatives and local registration records.
Branch income from Dominican activities is subject to DGII tax administration and legal-person filing rules. The general income tax rate for legal persons is stated at 27% by DGII.
Foreign companies register through the Registro Mercantil and obtain RNC registration with DGII. Official forms capture domicile, representatives, capital and operating records.
In contrast to an SRL, a branch does not ring-fence local liability through a separate Dominican company. Regulated sectors require licences from the competent authority in the Dominican Republic.

Comparison of the common types of companies in Dominican Republic

Key information	LLC (Sociedad de Responsabilidad Limitada)	Free zone company (Zona Franca)	Branch (Sucursal de Sociedad Extranjera)
Commonly used for	All purposes	Manufacturing / export trading	Specific projects
Minimum capitalisation	DOP 100,000	US$1000 (recommended)	N/A
Limited liability	Yes	Yes	No
Time to incorporate	4 weeks	4 weeks	6 weeks
Tax rate (CIT)	27%	0%, if certain conditions are met	27%
Resident management	No	No	No
Cost indication Includes Hawksford’s Fee	US$12,350	US$12,350	US$13,300

Any estimates published on Hawksford’s website set out indicative fees for entity formation, tax/VAT registration, a registered office address and estimated government filing fees. They do not include fees for additional services that may be required such as resident directors, licences for regulated activities, bank account setup, initial capital or other third-party charges. Actual setup costs can vary widely depending on the entity type, business activities, and structure. Terms and conditions apply. For a detailed, tailored quote, please contact us.

Updated on 17 September 2026

Information verified against the Registro Mercantil, Dirección General de Impuestos Internos (DGII) and Consejo Nacional de Zonas Francas de Exportación (CNZFE).