Company registration in Spain
Gorgeous, sunny Spain is the fourth largest investment market in the EU. As one of the top economies in the EU with a highly strategic location, the country enjoys easy access to the European, North African, and South American markets. Simply put, Spain is one of the largest recipients of foreign investments in the entire world.
We couldn’t talk about the mesmerizing country of Spain without mentioning the abundant opportunities available in the tourism sector. Only a few other places exist that can boast of glittering beaches so close to rolling hills, making Spain a go-to holiday destination for many. The real-estate development and rental is another big player in the Spanish economy. Additionally, the telecommunication sector is another one of the many potential investment avenues in Spain with a staggering 60 million mobile phone lines.
If you’re considering setting up a business in Spain and taking advantage of their favourable business environment, enjoy incentives, avail reduced tax rates, and tap into the large market, CompyCo can help you out.
Our familiarity with Spain’s legal and business structures and countless contacts in the necessary sectors make us the ideal partners for you to register company in Spain. We’ll simplify the process of setting up your business by providing legal, financial, and HR-related advice to assist you along the way.
Forms Of Companies In Spain
- EI “Empresario Individual or Autónomo”—Sole Trader/Sole Proprietor
- SC “Sociedad Civil”—Partnership
- SL/SRL “Sociedad Limitada /Sociedad de Responsabilidad Limitada”—Limited Liability Company
- SA “Sociedad Anonima” —Public Limited Company
- SLNE “Sociedad Limitada Nueva Empresa”—New Enterprise Limited Company
- CB “Comunidad de Bienes”—Co-ownership
What is the difference between SL, SLNE, and SA companies in Spain?
In Spain, the three most common company forms are the SL, SLEN and SA. The main differences between the three are explained below.
SL is the Spanish LLC (Limited Liability Company) and offers the advantage of having a low mandatory initial share investment of EUR 3,005.06. This type of company registration in Spain must have between 1–50 shareholders.
SLNE is a special, simplified, and increasing popular Spanish form of LLC with unique requirements pertaining to the company denomination which must include the founder’s name and registration number as well as the abbreviation ‘SLNE’. In the beginning stages, the maximum number of shareholders is 5. The minimum investment is the same as in the case of SL, but, unlike SL, SLNE has a maximum share value of EUR 120,202.
SA is the Spanish equivalent of a PLC requiring a large share deposit in the beginning. This company form is suitable for large-scale international investors.
Fundamentals Of A Limited Liability Company
Corporate Tax in Spain | VAT in Spain |
|---|---|
25%, 21% or 22% | 21% |
Fundamentals of limited liability companies in Spain
| Limited liability company | sociedad limitada (S.L.) |
| Minimum Share capital | 1 EUR |
| Registered office required | Yes |
| Physical office required | No |
| Min. number of Shareholders | 1 |
| Min. number of Directors | 1 |
| Local directors required | No |
| Other requirements | All partners need to obtain tax number |
| Bank signatory must travel | Yes |
| Timescale for company formation | 3 weeks |
| Timescale for bank account opening | 7 day |
| Timescale for obtaining VAT number | 14 days |
| Statutory audit requirements | No |
| Shelf companies available | No |
Business set up process Spain
Regardless of where you live, you can start a business in Spain in just a few simple steps. With CompyCo’s ongoing support and guidance, you’ll be directed toward the best choices for your business based on your activities, country of origin, and specific needs.
When setting up a company in Spain, the general process includes:
Obtaining NIE for directors and shareholders
Requesting approval of a company name (3 options submitted to the Mercantile Register – rmc.es)
Opening a bank account and paying the share capital – in some cases this can be arranged remotely through our network
Signing the Deed of Incorporation in front of a Spanish notary and presenting the company statutes (possible via Power of Attorney)
Having the deed of incorporation stamped at the tax office
Submitting the documents to the Register and waiting for company formation (approx. 2 weeks)
After registration, obtaining a permanent CIF number from the tax office
Registering your company with Social Security
Activating your bank account by presenting the company documents to the bank
Through CompyCo’s trusted network of licensed professionals in Spain, you’ll have access to the right experts at every step, ensuring a seamless process while you stay focused on your business goals.
In case you are in rush with starting your business and you are looking to avoid the lengthy process of company registration in Spain, we can offer a shelf company. Those are compnaies that our licensed professionals formed in order to sell them. This can save a lot of time since you are avoiding the whole process of setting up a company in Spain by purchasing existing company.
Company registration fees in Spain may very. Purchasing a shelf company will cost between 1450 and 1750 EUR depending depending how old compnay you need. The older the company, higher is the price. This is only shelf company purchase price. Contact us for information about all fees involved. If registering a company in Spain which cost is around 2500 EUR shelf company purchase will be a bit higher. To find out exactly how much you will pay complete our online form in 2 minutes here.
The process of company registration in Spain may seem daunting for a foreign investor, but with the right experts by your side, it becomes much more manageable. From obtaining an NIE number and opening a corporate bank account to registering with Social Security, arranging legal assistance, and hiring top talent, CompyCo ensures the process runs smoothly.
Our close relationships with licensed lawyers, finance professionals, HR service providers, and other specialists familiar with the Spanish business landscape mean you’ll always have the right guidance at the right time. This network of experts will direct you toward best practices and help position your business for success in Spain.
At CompyCo, our priority is to make the process of company registration in Spain as hassle-free, cost-effective, and rewarding as possible. By partnering with us, you can rest assured your interests are protected every step of the way while you focus on growing your new venture.
Bank Account Opening
Once you’ve obtained the CIF and NIE codes for your business, the next step is opening a corporate bank account. While the process is generally straightforward, CompyCo makes it even simpler by guiding you through every stage.
Spain offers both local and international banking options. In many cases, we recommend choosing a bank where you already hold an account in another country, as this often streamlines approval. If this isn’t possible, we’ll connect you with banks most likely to approve your new corporate account. In some cases, certain online banks allow accounts to be opened remotely, meaning company registration in Spain can be handled without traveling.
Thanks to our valuable contacts in Spain’s financial institutions, you’ll have access to a wider range of banking options. Our experienced banking partners handle the paperwork, scheduling, and requirements on your behalf. While our goal is always to minimize travel, some banks may still require your in-person presence for signatures or a meeting.
For more information about opening a bank account, visit this page.
Accounting & Taxation
The accounting and taxation-related requirements to bear in mind are:
- To start trading in Spain, you must have the relevant accounting books and get them stamped at your nearest Mercantile Registry office before you commence any activity related to your business.
- The other two types of mandatory accounting books you require are a minutes book (“libro de actas”), which provides an overview of annual general meetings, and a personnel registration book (“libro de matricula”).
- The tax year is the calendar year in Spain, and the company tax return must occur within 25 days after June 1th.
- Spain has a standard corporate tax rate of 25% or 21% and 22% for income up to 50 000 EUR
- Spanish companies are issued VAT numbers with the format of the country code ES followed by a 9-digit number which ends with a letter.
How can you employ staff in Spain?
Spain’s labor market is highly regulated, with strict laws designed to protect employees. For foreign business owners, navigating these rules can feel overwhelming—especially when hiring outside your own jurisdiction.
With CompyCo, you gain access to a trusted network of licensed HR and legal professionals who understand Spain’s employment landscape inside out. We coordinate the process on your behalf, ensuring your company remains compliant while you focus on growing your business.
Through our experienced partners, we can assist with:
Registering your non-resident company as an employer.
Drafting compliant employment agreements.
Recruiting top talent suited to your business needs.
Managing payroll and other HR functions.
In some cases, if you only need to hire one employee remotely, we can explore solutions that may help you avoid setting up a local company—saving you time and resources.
At CompyCo, our role is to make HR processes in Spain straightforward and cost-effective by coordinating the right experts for your unique requirements.
Do you have any queries? Take a look at our HR services page for more information about our International HR services!