This paper presents the first phase of a work in progress which aims at building a System Dynamics simulation model of the theory of the Peruvian economist Hernando De Soto. This theory proposes that the explanation for the fail of capitalism in Latin America should be looked in the informal sector of the region. The complete project will develop a full model for testing and complementing such a claim. This first phase presented here builds the platform for this endeavor; it briefly introduces the theory of De Soto and underlines its relevance and suitability for a System Dynamics approach; the article also connects the claims of the theory with the modeling language of System Dynamics, presenting the main structures of the simulation model and a further link with path dependence patterns. Finally, from this discussion, the article delineates the next steps to be taken.