Company registration in Spain

The Kingdom of Spain is a large European state, a member country of the European Union. Foreign investors will find favourable conditions for doing business here, as well as an excellent climate and a high standard of living.

The economy of Spain is considered one of the largest in the world; sectors such as metallurgy, engineering, food and chemical industries, and tourism are the most developed here. Further, innovative areas such as biotechnology, renewable energy sources, etc. have been developing quite rapidly recently. Foreign investments in this country are welcome and supported at the state level.

ADVANTAGES OF COMPANY REGISTRATION IN SPAIN

Spanish legislation offers special tax regimes and incentives for foreign investors engaged in specific activities. Other advantages of a company registering in Spain include the following:

easy access to the EU markets;
a stable economic and political environment;
flexible tax policy;
simple and fast business registration;
availability of double taxation agreements with more than 80 countries.

AVAILABLE TYPES OF BUSINESS ORGANISATION IN SPAIN

There are no restrictions for foreign citizens wishing to register a new company in Spain. They can choose one of the available types of business organisation, and the most popular among them are:

S.A. is a public joint stock company. The minimum authorised capital of 60,101 euros is required (25% must be paid at the registration stage), the number of shareholders is one or more;
S.L. or S.R.L. — a limited liability company. The minimum capital required for its establishment is 3,005 euros (the entire sum must be paid upon registration). The minimum number of shareholders is one, and the maximum is unlimited.
EI is a sole trader. Ideal for small businesses. Simple registration is its main advantage.
SC — partnership. At least two partners are required to register. Such an enterprise is not officially a legal entity.

For foreign companies that wish to enter the Spanish market, it is also possible to register a branch or a subsidiary here.

SPECIFICS OF COMPANY REGISTRATION IN SPAIN

Having a local registered office to open a company in Spain is optional. Regardless of the legal-organisational type of the future company, all documents must be submitted in Spanish, and a local notary must carry out all paperwork. Any Spanish company will need a local bank account, which requires lots of documents. Unlike many European countries, English is not widely spoken in Spain, so it will hardly be possible to register a company without knowing Spanish.

On average, registration of a new legal entity here takes 2 to 6 weeks. If a license is required for a given type of economic activity, this period may be extended. To avoid unnecessary difficulties, we recommend using the help of qualified COREDO specialists who thoroughly understand all the intricacies of Spanish law.

COREDO – EU Legal & Compliance Services Expert legal consulting, financial licensing (EMI, PSP, CASP under MiCA), and AML/CFT compliance across the European Union. Headquartered in Prague, we provide seamless regulatory solutions in Germany, Poland, Lithuania, and all 27 EU member states.

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