10 steps to incorporating in Spain
Please find below information on the steps followed by our Firm to assist our Clients complete their Spanish business setup projects. The steps below mainly apply to a limited liability company (locally known as a Sociedad Limitada), but feel free to contact our team for information for other types of business entities.
- Before proceeding with an engagement, Healy Consultants Group PLC i) collects Know your Customers documents on the expected shareholders, directors and ultimate beneficial owners of the Spanish company and ii) kindly request our Clients to settle engagement fees (payable by instalments if necessary);
- Healy Consultants agrees with our Client i) the optimal type of structure for the planned business and ii) drafts the Power of Attorneys for our Client to sign, legalize and courier return;
- If none of the proposed foreign shareholders and directors have a Spanish fiscal number (NIE), these must be applied for before the preferred company name is reserved with the Spanish Central Mercantile Registry;
- Once the certificate of name availability is issued, our Client must open a capital account with a Spanish bank to which the share capital must be injected before the company incorporation application can be submitted. If required, Healy Consultants can supply our client with a temporary bank account immediately or we can assist open a new account with their preferred bank within 4 weeks;
- Following capital injection and issuance of the certificate of deposit by the bank, Healy Consultants attorneys draft and sign the company deed and articles of association before a Spanish Public Notary who will draft and sign the memorandum od association (escritura);
- Thereafter a complete quality incorporation application is submitted to the Central Mercantile Registry through CIRCE, the one stop shop Government agency also used for tax and employer registrations;
- After approval, the Central Mercantile Registry publishes the deed in the official gazette (BORME) and the tax authority (Agencia Tributaria) issues the company a provisional tax identification number (CIF);
- If our Client engages Healy Consultants to discharge their Spanish entity’s monthly accounting and payroll obligations, Healy Consultants will apply for the definitive CIF and submit form 036 to the tax authority. Our Client can only start trading after activation of the final CIF;
- Before our Client can hire employees in Spain, the local entity must obtain an employer number known as Código de Cuenta de Cotización (CCC) from the Spanish Social Security;
- After company setup completion, our team couriers our Client a complete company kit comprising all Spain corporate documents. If required, Healy Consultants can then assist our client to i) hire local staff in Spain ii) open a corporate bank account, iii) secure permanent office space or iv) secure regulatory licenses.
Frequently asked questions
Is a company secretary required for Spain company incorporation?No. A company secretary will not be required when our Clients incorporate a Spain company.
What are the minimum capital requirements when incorporating a company in Spain?When incorporating in Spain, €3,000 will be required for starting an LLC while €60,000 will be required for a PLC.
What Spain incorporation services can Healy Consultants offer my firm?As Spain incorporation service providers, Healy Consultants will assist our Clients with i) company registration ii) business license registration iii) immigration solutions iv) employment strategies v) business banking solutions and vi) office rental requirements.
How long does the incorporation process take?Spain company incorporation process will take 3 weeks for completion.
Are there any business restrictions for foreigners when incorporating in Spain?No. Foreigners incorporating in Spain face no restrictions as to the type of business activity they can perform.