Blog posts

5 Helpful Rules for Doing Business in Colombia

5 Helpful Rules for Doing Business in Colombia

Expat Consulting, Lifestyle, Real Estate

A couple years ago I wrote THIS article about Doing Business in Colombia. Much of the information is still valid, but now I feel the need to add a little bit more to it from the additional years of experience I can now offer.

At the end of the day, Business in Colombia – Is Tricky! Here’s why…

How to Win at Doing Business in Colombia

Business in Colombia

I have always said to myself and others, that if I can learn how to navigate the tricky and tormented waters of Colombian business culture, I can compete anywhere in the world. Here are some of the basic skills that you will need to have to do business successfully – particularly in the land of the Paisa.

Ready to Move to Colombia? Avoid Costly Mistakes!

Visas, housing, healthcare, safety, and more—get the insider knowledge you need for a smooth transition! 📖✨
👉 Download the Ultimate https://coffeetraveler.gumroad.com/l/ExpatGuideColombiaExpat Guide Now!

 

5 Rules for Doing Business in Colombia

Rule #1: Shut Up and LISTEN!

business in Colombia

Don’t get me wrong—I still struggle with this. As Americans, we often follow the old saying: “If you can’t dazzle them with brilliance, baffle them with bullshit.” But that approach doesn’t work when doing business in Colombia.

I’ve learned the hard way that talking too much can hurt you, especially in Paisa business culture. In many situations, saying more won’t help—particularly when dealing with traditional, old-school business owners. Instead, success comes from listening carefully and being strategic with your words. Keep your responses concise and reserved, only speaking when you need to clarify or add essential details. Everything else? Keep it to yourself.

Why is this important? Because in Colombia, everything you say can and will be used against you. This ties back to the well-known local rule: “No dar papaya”—or in other words, don’t make yourself an easy target. The longer you spend in Colombia, the more you’ll understand just how valuable this mindset is.


This version improves readability, flow, and engagement while keeping it conversational. It also makes the “No Dar Papaya” concept stand out, which helps with SEO and cultural relevance. Let me know if you’d like any further tweaks!

Rule #2: Get Everything In Writing

I

I can’t stress this enough—Paisa business culture is unique. Paisas are smart, resourceful, and always looking for an advantage, whether it’s in a business deal, service agreement, or partnership. If you’re not careful, you could find yourself on the losing end. Here are a few hard-earned lessons to help you avoid costly mistakes.

1. Always Get Paid Upfront

When I ran PereiraCityGuide.com, I frequently sold articles to small businesses looking to reach foreign residents and visitors. Early on, I made the mistake of trusting verbal agreements. Business owners would say, “Go ahead and write the article, get it published, and I’ll pay you on X day.” More than once, I never saw the money.

This cost me hundreds of dollars in lost income. Now, I require 50-100% payment upfront—or at least 50% before delivery. Without a written contract, it’s just your word against theirs, and that rarely ends in your favor.

2. Use Written Contracts—Even for Small Deals

In Colombia, a verbal agreement often means nothing. Whenever possible, get it in writing. Even if you have to write it in a notebook, make sure both parties sign.

For example, I once did a website translation project where the client paid half upfront. However, the project stalled because they provided poor-quality content and delayed sending materials. Eventually, they never paid the remaining balance. Since I had nothing in writing outlining the conditions, I had no leverage to collect.

Whether it’s website design, translations, or service exchanges, having a written agreement—even a simple one—can save you from major headaches.

3. Beware of Shady Commission Deals

Commission-based sales agreements can get tricky. I had an agreement with a woman who promised 15% commissionfor any product I helped her sell. When I made a sale, she suddenly claimed that she only pays 10% under certain conditions. Eventually, she stopped responding altogether, claiming she was “too busy” to arrange payment. To this day, I’m still owed 21,000 COP that I’ll never see.

Unfortunately, some people will be “poca seria”—not very serious or reliable. Without a signed agreement or some kind of guarantee, getting paid can be a struggle.

Rule #3: People Will Lie to You About Almost Everything

It’s a raw fact of life in Colombia. People will say that they own companies and properties which aren’t theirs in order to get investment money, appear wealthy and create noise. If you are getting ready to work with a certain business to combine skills/services/products whatever – make sure you do due diligence. Get a lawyer and have them checked out.

I’m not kidding – people will lie to you about almost everything, so do your homework before you open the checkbook.

Rule #4: Don’t tell ANYONE about impending business deals

As an entrepreneur in Colombia, I’ve heard some wild stories—but one theme always stands out: people will steal your ideas, undercut your plans, or even sabotage your success.

Bragging about a new venture to a group of Colombians? At least one or two will start plotting against you.

Why does this happen? Jealousy and resentment. Making money here is tough, and unfortunately, some people would rather see you fail than celebrate your success.

🔑 Lesson learned: Unless your deal is 100% locked in—the contract is signed, and the ink is dry—keep it to yourself.

This version is more concise, engaging, and SEO-friendly, incorporating keywords like “entrepreneur in Colombia,” “business ideas,” “contracts,” and “protect your success.” It also improves readability and impact. Let me know if you’d like any tweaks!

 

Rule #5: Learn and Understand “Malicia Indígena”

In Colombia, the game of business is ruthless. If you’re not careful, people will take what’s yours and convince you it was theirs all along. This is what’s known as “Malicia Indígena”—a deeply ingrained, street-smart cunning that many Colombians use to gain the upper hand.

I have to give credit where it’s due—Colombians are brilliant negotiators. They can take the most innocent situation and flip it to their advantage. Why? Because they can—and they know they can get away with it.

Legal disputes here are long, bureaucratic nightmares that can drag on for years. Many Colombians understand this and exploit it to their benefit. I learned this the hard way when a well-known entrepreneur in Pereira stole my photography.

The Photography Scam: A Personal Lesson in Malicia Indígena

A high-profile local entrepreneur, known for her media charm and manipulative ways, convinced me to print and display my photography for an expo she organized under the guise of women’s empowerment. I agreed, thinking it would be great exposure.

When the event ended, I called the hotel where my photos were displayed to retrieve them—only to find out that she had already picked them up. To this day, I have no idea what happened to them.

I considered taking legal action, but a lawyer friend pointed out two major problems:

1️⃣ The difference between “dar” (give) and “entregar” (deliver)—a subtle but debatable distinction in legal terms.
2️⃣ The cost of a lawsuit outweighed the value of the stolen photos. And, of course, being a lawyer herself, she knew that.

The Takeaway: Protect Yourself

No written agreement, no proof—just another lesson in Malicia Indígena. Even your best friend could screw you over for $100 in a Colombian business deal.

🚨 Don’t be like me. Get everything in writing, no matter how much you trust the person. Otherwise, you might just watch your hard work disappear—right along with your money.

Final Thoughts: Doing Business in Colombia

Succeeding in Colombia’s business world isn’t impossible—but it’s far from easy. The people here are savvy negotiators, and the legal system is notoriously slow and unreliable. Ever wondered why some major corporations in Colombia have their own paramilitary groups? That’s a conversation for another day—but it speaks volumes about how business operates here.

That said, opportunities do exist. However, it takes years to understand them, leverage them strategically, and—most importantly—ensure you get paid.

🔹 Don’t cut corners.
🔹 Never rely on verbal agreements.
🔹 Find a trustworthy lawyer.
🔹 Always conduct due diligence.
🔹 Register your brand to protect your business.

With patience, strategy, and the right precautions, you can thrive in Colombia—but only if you play the game wisely.

Conclusion: Get Expert Guidance for Doing Business in Colombia

If you’re looking to start a business in Colombia and want guidance from someone who has been through it all, I’m here to help. I can connect you with a trusted lawyer who has been honest and loyal to my interests.

For a consulting fee, we’ll navigate the complexities of doing business in Colombia, helping you protect your investment and avoid costly mistakes.

💼 VIP Expat Lifestyle Tour: Want to skip the headaches of starting a business in Colombia? Our exclusive tourprovides firsthand insights, local connections, and expert advice to set you up for success.

📌 Get Insider Access on Patreon:
For just $5 per month—the price of a cup of coffee—you’ll gain access to:
In-depth reports
Investment analysis
Exclusive travel guides
Expat tips
Discounts on tours and consultations

💡 Join today and fast-track your success in Colombia!

Become a Patron!

About the author

Coffee Axis Adventures and Expat Lifestyles meet Wit and Wordpress! I have been writing my whole life in one form or another, and blogging since 2012. My career as a professional writer began in 2013 and this is what I have been doing ever since! My personal mission: Create love and appreciation for local brands, products and entrepreneurial projects of value and quality. Do my part to participate in and help create, a strong local economy that supports local people and their families!

3 Comments

  1. Joe Cregan
    August 5, 2019 at 11:09 pm
    Reply

    Absolutely 1,000% on point. Re: Rule #2, Example #3 (sales commissions) … me? I’d go FAR out of my way to undercut that hijue**** in their own business. It’s the only way (for me) to get some level of “satisfaction” after someone has even tried to screw me. “When in Rome . . . ” = VERY WELL written and completely true. Kick ass, take names, move on. You go girl!

Leave a Comment

Your email address will not be published. Required fields are marked *