IB Doesn't Like Panama Anymore [Interactive Brokers]

[galeno]

Don't forget the corporate bank accounts. IBKR allows 3. I suggest you have 3 bank accounts at different banks.

Here's my timeline so far:

1. Talked with lawyers to look at my specific situation and jurisdiction: $5k
2. Corp incorporation + directors service = $3600
3. Documents and signatures to open bank account and IBKR account = $1450

In my case physical documents need to be sent around, so everything adds up.

[galeno]

It's very important to keep the annual maintenence costs in mind. For our port we pay ER = 0.16%. DWT = 0.17%. Add the old Panamanian SA annual maintenence cost = 0.08%.

Try to keep it under 0.10%.

[pertheri]

For clarity, the cost of opening the BVI IBC is fixed around $3600 and takes less than a week.

The initial cost I had on lawyers were mostly due to my specific situation. I didn't want to YOLO open an IBC without understanding the implications or considering other alternatives.

I wanted to make sure that whatever I'm doing is sound from a legal point of view and follows all the required regulatory stuff from my country of residence related with offshore entities.

So yes, If you don't need the lawyers and know already what you are doing, I think you'd only need to pay for the incorporation and then get all the documents to open the bank account and IBKR account, so far that has been half of my total cost.

Still a work in progress.

[galeno]

Hang tough. Do you know what your annual costs will be to maintain the BVI IBC?

[pertheri]

Yes. Something around $2750. I'm using a director service, which increases the cost by $1500. Without it, it would be something like $1250.

[galeno]

$2750. That's not bad at all. Our attorney in Panama charged us $2100 per year. $300 per year for 3 directors and $1200 for the annual corporation and his fee.

Yes. Something around $2750. I'm using a director service, which increases the cost by $1500. Without it, it would be something like $1250.

[pertheri]

Hey folks, I applied to IBKR and they rejected my application even before getting the initial deposit without any explanations. Did you go through something similar when trying to apply for a corporate account? Does anyone here have a direct contact in IBKR?

[galeno]

I believe my friend has a direct contact. I'll DM him. And then DM you.

Hey folks, I applied to IBKR and they rejected my application even before getting the initial deposit without any explanations. Did you go through something similar when trying to apply for a corporate account? Does anyone here have a direct contact in IBKR?

[robw8]

hey @galeno,

I'm wondering if you could update us on how this is going for you. I'm embarking in the same process as you. We have a Panama SA and literally yesterday I found out IBKR does not accept Panama entities.

Have you come to a resolution? did BVI work? what are you using currently if not IBKR?

Best

Rob

[pertheri]

Quick update, I managed to open the account and sent some funds successfully. You just need a lot of patience.

[galeno]

The patience of Job!

Quick update, I managed to open the account and sent some funds successfully. You just need a lot of patience.

[galeno]

We just went direct with IBKR. It works fine without the associated costs of maintaining an SA (IBC).

But due to the success of @pertheri. We may try BVI again.

hey @galeno,

I'm wondering if you could update us on how this is going for you. I'm embarking in the same process as you. We have a Panama SA and literally yesterday I found out IBKR does not accept Panama entities.

Have you come to a resolution? did BVI work? what are you using currently if not IBKR?

Best

Rob

[robw8]

Thanks for the update guys!

@pertheri what firm did you go with in BVI? recommend?

[pertheri]

Trident Trust. Make sure your registered/directors/place of business address is not a PO Box.