Businesses that operate gaming or gambling units must obtain a gaming or gambling license in Panama. The Gaming Control Board, operating under the Panamanian Government, is the agency responsible for the control and licensing of these businesses. Our team that can help you open a company in Panama will also assist with the proper licensing for gambling or gaming businesses.
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How to obtain a gaming/gambling license in Panama
Games of luck and chance, casinos, and slot machines, online gaming, gambling, and betting are subject to regulation in Panama. The country enforces a responsible gaming program that focuses on proper control and licensing for legal entities that offer these types of services to clients, along with addiction prevention and education programmes.
The following types of activities are subject to regulation and proper licensing and are under the control of the Gaming Control Board:
- Caisons and Type A slot machines;
- Sports event betting agencies;
- Bingo rooms;
- Online gambling and gaming in Panama;
- Thoroughbred horse racing;
- Games of luck and chance, and others.
Business owners apply for and obtain a gaming/gambling license in Panama based on the activities they engage in or the types of games they offer to paying customers.
A gambling license in Panama for online gambling will not cover activities such as type A slot machines. This is why we recommend discussing particular licensing requirements with our local team of experts in company formation in Panama. We can help you determine if you must apply for a gambling or a gaming license in Panama.
An important issue to keep in mind for those applying for a gaming or gambling license in Panama is that certain licensing costs are mandatory. Our team lists some of these below:
- A $40,000 initial fee is in place;
- A $20,000 renewal fee is mandatory in some cases;
- A processing fee may also apply. Please keep in mind that these fees can be subject to change and to not include all the costs associated with opening a gaming or gambling company in Panama.
Gaming or gambling company formation in Panama
Company formation in Panama is the same for a gaming/gambling business as for other types of companies, up until the licensing phase. What this means for investors is that they can rely on the assistance provided by our local team of incorporation experts throughout the business setup stages.
The following decisions and steps are essential for company creation in this jurisdiction:
- Type of company selection: the limited liability company, the corporation, and the International Business Company are popular choices. The latter is commonly used by foreign investors who will not be offering their services or products to Panamanian clients, but to international ones;
- Incorporation documents drafting: the Articles of Association and the Memorandum for the new legal entity;
- Registration: the Public Registry of Panama receives and processes the company formation documents;
- Licensing: as mentioned throughout this article, it is mandatory to obtain a gaming/gambling license in Panama.
Laws governing gaming/gambling companies in Panama
A series of Resolutions issued by the Gaming Control Board (Junta de Control de Juegos) outline the legal requirements for companies that apply for a gambling license in Panama.
Some examples of resolutions include Resolution No. 18 of November 8, 2019, Resolution No. 11 of March 6, 2020, Resolution No. MEF-RES-2021-2425 of November 15, 2021, Resolution No.28 of November 11, 2022. These are issued to add or modify previously included articles and are relevant to those looking to obtain a gaming license in Panama. Our lawyers in Panama can give you complete information about the rulings and regulations that govern casinos, gambling, and gaming on the internet, and other similar activities.
Our team that can help you with Panama company formation for a gaming or gambling company can also give you more details about the general rules issued by the Gaming Control Board. Contact us for details.