The process of setting up a business in Spain
Congratulations on considering Spain as the new home for your business. Each year, more and more small business owners and entrepreneurs are choosing this, as their country of choice, to begin their business. The thriving economy and business environment make this an excellent choice when choosing to set up company in Spain and our team of legal professionals are ready to help. Lusa legal is an international law firm that specializes in assisting entrepreneurs and business owners who are looking to start business in Spain. Allow our experts to guide you in your business endeavours.
How to set up a company in Spain?
There are 7 important steps that must first be taken for your company formation in Spain:
- What type of company will you be starting?
It is important to decide whether the business you are starting will be:
- a private limited liability company or
- a public limited liability company.
The main determining factor between these three types of businesses is the amount of mandatory capital required for start-up and the type taxes that will have to be paid (either income tax or corporate taxes).
- Obtain an NIE Number
The next step, which is imperative, when setting up business in Spain is obtaining a NIE number (or Numero de Identidad de extranjero). This number is an identification number for foreigners and can easily be obtained via the immigration office. This process usually takes 3 to 5 business days.
- Decide on a Company Name
Setting up company in Spain will also depend on choosing a name for your business. A list of your top three name choices must be given to the corporate register of Spain from which they will be reviewed and checked for their availability. This is usually a quick process which only takes 2 business days to complete.
- Open a Spanish Bank Account
Having a Spanish bank account is a must when you establish llc company Spain. Although one is easily attainable for any type of business once you have received your NIE number, there are some financial investments that must be made if your company is a Limited Liability Company. There is a 3,000 euro required deposit that must be made into your newly formed account.
- Choose a Shareholder and Corporate Director
Setting up a business in Spain is also dependent on having decided, who the shareholder of your company and determine who will have the title of Corporate director. A Corporate director, working within your structure, is required under Spanish legislation.
- Take all Appropriate Documentation to a Notary
Once the above steps have been completed you will have collected three important documents:
- The NIE documentation
- A certificate from the bank, proving that a proper business account has been set up and
- The certification providing the information on the business’s Corporate director
In order to start llc company in Spain, these three pieces of information must be taken a notary who will register the company and sign the deed. This entire process can be a lengthy one, taking up to three weeks to complete.
- Visit the Tax Agency
The final stage when looking into how to set up a business in Spain is the visit to the Tax Agency. Here you will receive the company’s Tax Identification Number and you will be ready to begin business.
Setting up a business in Spain with us
Although determining how to set up a company in Spain may initially feel like a daunting task, the steps and stages are really very easy when you have the right help from an inside source. At Lusa Legal we have the skills and qualifications to assist any foreign business owner in answering all of their questions and providing the most up-to-date and accurate information on company formation in Spain and more specifically, company formation in Barcelona. We welcome your inquiries, call us now: +34 607 29 44 28.