For digital nomads and entrepreneurs seeking to optimize their tax situation in 2025, understanding the nuances of business registration in Aruba is crucial. Many are frustrated by the complexity and rigidity of tax systems worldwide, especially when it comes to finding a simple, individual business status that allows for flexible invoicing and minimal bureaucracy. If you’re considering Aruba as your next base, here’s a data-driven breakdown of what you need to know about sole proprietorship status and your options for operating as an independent entrepreneur.
Availability of Sole Proprietorship Status in Aruba: What the Data Shows
Unlike some countries that offer a straightforward sole proprietorship or micro-entrepreneur regime, Aruba does not provide a legal status that allows individuals to invoice clients as private persons without forming a separate business entity. According to official sources from the Government of Aruba and the Aruba Chamber of Commerce, there is no equivalent to France’s “auto-entrepreneur” or Guatemala’s “pequeño contribuyente” status.
| Country | Sole Proprietorship Status Available? | Special Individual Regime? | Business Registration Required? |
|---|---|---|---|
| Aruba | No | No | Yes |
Case Example: Registering as an Entrepreneur in Aruba
Suppose you’re a freelance web developer relocating to Aruba in 2025. You cannot simply invoice clients as an individual. Instead, you must formally register a business entity—typically an eenmanszaak (sole proprietorship business)—with the Aruba Chamber of Commerce. This process is mandatory for all entrepreneurs, regardless of business size or turnover.
Key Conditions and Requirements for Entrepreneurs in Aruba
- No Individual Invoicing Without Registration: All business activities require formal registration as a business entity.
- Business Entity Options: The most common route is the eenmanszaak, which is a sole proprietorship business, not a personal tax status.
- No Simplified or Micro-Entrepreneur Regime: Aruba does not offer a simplified tax regime for small-scale or micro-entrepreneurs in 2025.
- Compliance Obligations: All registered businesses must comply with Aruba’s business and tax regulations, including registration with the Chamber of Commerce and the tax authorities.
Pro Tip: Navigating Aruba’s Business Registration Process
- Visit the Aruba Chamber of Commerce website for step-by-step guidance on registering an eenmanszaak.
- Prepare the required documentation, including identification, business plan, and proof of address.
- Register your business entity and obtain your Chamber of Commerce number.
- Register with the tax authorities via Impuesto Aruba to ensure compliance with local tax obligations.
Summary: What International Entrepreneurs Need to Know in 2025
Aruba’s regulatory environment in 2025 does not accommodate a true sole proprietorship status for individuals wishing to invoice without a formal business entity. All entrepreneurs—regardless of their business model or turnover—must register a business entity and comply with the associated regulations. While this may feel restrictive compared to more flexible regimes elsewhere, understanding these requirements upfront can help you avoid costly missteps and optimize your tax position within the legal framework.
For further details and official guidance, consult these resources: