Menu
Expat.com

Tourism business in tue Dominican Republic

Last activity 27 September 2015 by planner

Post new topic

JuliaLilly

Hello,

my friend and I are planning to sell holiday packages to  travel agencies in different countries. The destination will be mainly Punta Cana. Does anybody know whether we also have to register  a business in the Dominican Republic for that or is it enough to be registered in Germany, which is our home country? We want to stay in the DR to pick up the tourists and show them around, also offering trips to other Dominican towns.

I have already lived in the DR and know the country, language and culture very well already...

We would be happy about any advice.

Thanks and many greetings,

Julia

planner

Welcome to the forums. YES you need to register here as an  inbound tour operator, there are a bunch of hoops you need to jump thru. It is not easy.  You also need to be registered as an excursion operator if you will offer excursions and that includes trips to "other towns".  The insurance requirements are huge and there are laws about needing local "tour guides" on excursions.   

You are going to need good legal advice on this one! And I hope you have deep pockets as this will require money to set up and operate.

Bob K

Welcome, Planner's response is right on,  Setting up here will be  difficult and $$$$.

Have you been here yourself?

Bob K

JuliaLilly

Hello!

Thank you a lot for your quick response.

Do you know about how much money we would have to spend for the set up of the business?
Could you maybe tell me more about the laws about needing local tour guides? Does the government decide who is allowed to be a tour guide and is it harder for foreigners to get the permission? Do you know which institution we have to contact to register as an inbound tour operator?

Thanks and many greetings,

Julia

JuliaLilly

Hello Bob,

thanks for your quick response.

Yes, I lived in the DR for one year...

Do you know about how much money the business set up and registration will cost?

Thanks and many greetings,

Julia

planner

Ok,  so the gov't regulates who can be a tour guide, first you need to be a citizen and then take the course. IT is meant for local people not foreigners so you will need to hire them

Incorporation  -  minimum  1,500 US for this type of company.  registrations, certifications etc etc count on  5 to 10  thousand US.   Insurance -  no idea but expensive, set up bank accounts, hire staff, etc etc.  The labor code is very clear  that you need to  have 80% of your staff and your payroll  (owners excepted)  be Dominicans!   Then you need an office,  vehicles, or contracts with others for transportation, then you need clients....... marketing expenses etc etc.

IF you have never run your own business then this is NOT the place to learn.  I suggest you get a job with another company,  learn the ropes and THEN open your own if you are still so inclined!   

It is really hard anywhere to open and run a successful tourism company.  It is doubly or triply hard here!   It will be expensive and very time consuming!   I say this from experience helping open several of these companies over the years.

ranseth

Bob and Planner are both spot on. In the U.S., where I practiced law ions ago, setting up a corporation was not an expensive process not was it too time consuming..

I have a friend on the north coast trying to go through the same process right now and he has been at it for months and he's already spent $6,000.00 and he is still not set up.

Starting a business here requires a reputable attorney, money up front and a lot of patience. Things do not not move at the speed we are used to in the United States or Germany, as I'm sure you know.

Bob K

ranseth welcome to the forum.  AND you are so correct in your post info.

Thanks

Bob K

planner

Welcome to the forums.  I hope your friend hasn't spent that much on just incorporating, that is a huge amount if it is.

Articles to help you in your expat project in Dominican Republic

All of the Dominican Republic's guide articles