The Organic Law on National Solidarity was published in the Official Registry on 10 June 2025, a rule that, among other things, introduces significant reforms to the Companies Act.
This law was published in the Official Register Supplement 56 of 10 June 2025 and, among other provisions, incorporates reforms to the Companies Act that include new prohibitions for the S.A.S., as well as the creation of a new type of company: the sports company.
Until before the reform, there were already legal limits that prevented the S.A.S. from carrying out activities in financial, insurance, stock market and other regulated activities. With this new legal provision, these restrictions are reaffirmed and expanded, including explicitly their participation in activities related to strategic, mining or related sectors.
As for the strategic sectors, the constitutional framework defines them precisely in article 313 of the Constitution of Ecuador, which states that they are those sectors which by their nature are of national interest and on which the State reserves control, planning and regulation. These are:
- Energy in all its forms
- Telecommunications
- Non-renewable natural resources
- Transport and refining of hydrocarbons
- Biodiversity and genetic heritage
- Radio spectre
- Water
- And any other that determines the law
Therefore, an S.A.S. cannot operate in mining activities or in any of these strategic sectors.
Since its implementation in 2020 in the Companies Act, the Societies for Simplified Actions (S.A.S.) have been consolidated as an agile and efficient vehicle for the formation of companies in Ecuador. This type of company has been widely adopted by both foreign investors and local entrepreneurs and professionals from different industries. Its main advantages include the absence of an income limit, the possibility of being constituted by unilateral act, and a rapid processing that allows it to be formalized within 24 to 48 working hours.
According to data from the Superintendency of Companies, in 2024 there were 19,607 new companies in Ecuador, of which 88.7% were S.A.S. As far as 2025 is concerned, 90.8% of formed companies have also opted for this scheme. These official statistics can be consulted directly at the Company Superintendence Information Portal.
Anonymous Sports Society: a new legal figure
In addition, the law incorporates a new legal figure: the creation of a Anonymous sports company. This figure will allow profit-making sports organizations to form as companies, but only to develop activities in a single sports discipline. They shall be part of the Ecuadorian sports system and shall be governed by the Law on Sport and the Law on Companies.
Its creation seeks to guarantee the financial integrity of clubs and prevent them from being used as a facade for illegal activities such as asset laundering or crime financing.
