M Founder & Shareholder Visa

Establishing a business in Colombia represents one of the most reliable pathways to permanent residency for international investors and founders. Under Colombian immigration law (Resolution 5477 of 2022), the Migrant Visa (Type M) as a Partner or Shareholder (Article 75) stands out as an optimal mechanism: it grants work authorization tied to the company for up to 3 years and allows foreign nationals to accumulate the 5-year requirement to apply for Permanent Residency (Type R).

This article covers the scope, updated financial thresholds for 2026, foreign exchange registration requirements, and the two primary legal routes to secure this visa.

Financial Requirements & Minimum Investment (2026)

To qualify for the M Partner/Shareholder Visa, foreign applicants must prove an investment in the share capital of a Colombian company equivalent to at least 100 Monthly Legal Minimum Wages (SMLMV).

With the national monthly minimum wage set at COP $1,750,905 for the year 2026, the minimum required investment or share value registered in the applicant's name is COP $175,090,500.

Note on Annual Minimum Wage Adjustments:

Minimum wage in Colombia is adjusted annually on January 1st. While initial visa approvals assess the minimum wage active at the time of investment, immigration practice indicates that upon visa renewal or subsequent applications under the same corporate vehicle, the Visa Authority may require the share equity value to reflect the updated minimum wage threshold for that active year.

Legal Pathways for Application

Applicants can structure their investment through two distinct legal frameworks:

Option 1: Incorporation of a new Simplified Stock Company (S.A.S.)

Option 2: Equity investment in an existing, operating Colombian company

Option 1: Incorporating a New Company (S.A.S.)

This is the preferred option for foreign founders seeking complete operational control. Key steps and required documentation include:

1. Corporate Formation: Incorporating the S.A.S. before the Chamber of Commerce with paid-in capital allocated to the applicant equal to or exceeding COP $175,090,500 (for 2026). The law does not restrict having additional shareholders, provided the applicant independently meets the minimum equity threshold.
2. Foreign Direct Investment (FDI) Registration: Capital must be remitted into Colombia through authorized foreign exchange intermediaries and formally registered with the Central Bank (Banco de la República) using Form 4 (or the official exchange declaration) specifically designated for equity investment.
3. Required Supporting Documents:
   • Certificate of Existence and Legal Representation: Issued by the Chamber of Commerce (issued within 90 days of application).
   • Shareholding Certificate: Signed by a Certified Public Accountant (CPA) licensed in Colombia, detailing the equity structure.
   • Central Bank Foreign Investment Certificate: Official document confirming the registration of FDI directed into the company.
   • Corporate Bank Certificate & Initial Statement: Proving the initial deposit of foreign funds into the company's Colombian bank account.
   • Formal Application Letter: Addressed to the Ministry of Foreign Affairs detailing corporate tax ID (NIT), address, business scope, product/service offerings, and local hiring projections.

Option 2: Investing in an Existing Operating Company

When acquiring shares in an existing operating business, the evidentiary threshold increases significantly. The Ministry of Foreign Affairs assesses whether the entity is commercially active and fully compliant with corporate, labor, and tax obligations.

In addition to basic corporate and exchange registration records, the Ministry typically requests:

• Commercial lease agreements or proof of physical business premises.
• Active corporate website and product/services portfolio.
• Proof of payroll tax and social security contributions (PILA), labor contracts, and employee IDs.
• Corporate Income Tax returns and local business tax (ICA) filings.
• Sector-specific regulatory licenses or operating permits.

Critical Legal Considerations & FAQ

• Is legal due diligence necessary before acquiring shares in an existing entity?

  Yes. At Capital M Law, we strongly advise completing a comprehensive legal Due Diligence prior to committing funds. It is critical to verify the origin of shares (issuance vs. transfer), confirm compliance with tax and employment liabilities, and ensure the transaction qualifies for foreign investment registration under current immigration rules.

• What happens if the company is dissolved or closed?

  If the business vehicle used to obtain the visa enters dissolution or liquidation, the visa holder is legally obligated to report this change of circumstances to the Ministry of Foreign Affairs, triggering the early cancellation of the visa to prevent regulatory non-compliance penalties.

Strategic Legal Counsel

Navigating corporate formation, central bank compliance, and immigration procedures requires integrated legal execution. Capital M Law assists international entrepreneurs and investors through every stage of the process—from corporate structuring and Due Diligence to foreign exchange registration and visa filing.

Ready to structure your corporate investment and secure residency in Colombia? Contact Capital M Law today to schedule an executive consultation.