Incorporate a Company

Incorporate a Company

Posted by adm4yGog24 in Corporate Law 03 Dec 2013

If you are willing to invest or start your own business in Spain, you will find that currently Spanish Legislation is offering new opportunities and is encouraging new entrepreneurs. However, you may find that there are different legal requirements that you must submit before the opening of your business.

In our Law Firm, we count with high-qualified attorneys who will provide you with the right legal assistance to navigate all the stages when setting up your company. Whether national or international corporate clients, we provide legal guidance related to start your own business in Spain. In order to set up your company, you must fulfill the following requirements:

 

  • Issue at the Company Registry a Negative Certificate of Name where it is stated that the company name you have selected is not in used.
  • Issue your C.I.F. number or Fiscal Company Identification Number in the corresponding office of Treasury Department.
  • Open the corresponding Bank Account with the corresponding amount depending on the type of company incorporated or constituted.
  • Write down or outline the company statutes, which are required to issue the Deed of Incorporation before Notary public.
  • Fulfill the payment of Property Transfer Tax and Stamp Duties which are 1% of the initial company capital.
  • Issue the Company Registration at the Company Registry.
  • Registration of the company in the Social Security.

Each of the steps mentioned before require the submission of certain documents as well in order to be completed. Therefore, sorting out all this legal matters can be time consuming. Our attorneys can guide you through out this process and even appear on your behalf to fulfill certain requirements on the corresponding Offices or Authorities by means of a Power of Attorney.

The most common form is a Limited Liability Company followed by a Public Limited Company. The main elements of each of them are detailed next:

 

  • Limited Liability Company (Sociedad Limitada, S.L.)

A Limited Liability Company (S.L) is a commercial entity where the capital is divided into social shares of different or equal value to the partners. The key element when deciding to incorporate this type of company is that the liability of the members is limited only to the initial capital contributed by the shareholders.
This legal form has more advantages in relation to taxes. You just need a capital of 3000€. It is easy to transfer; just requires one director and one shareholder (both need a Spanish fiscal identity number); and it takes two weeks to be incorporated. It can be managed internationally. Major decisions can be agreed between shareholders for it is mostly intended as a few members board.

 

  • Public Limited Company (Sociedad Anónima, S.A.)

A Public Limited Company is a commercial entity where shareholder liability is generally limited to the amounts contributed to the company’s capital. Such capital is represented by shares that qualify as negotiable securities which may be listed on the stock exchanges.

 

This legal form requires a minimum capital of 60.000€. In order to incorporate a Public Limited Company, you need to fulfill a bank deposit corresponding to the 25% of the capital, opting for financing the remaining amount.

Please note that Taxes, Notary and Mercantile Registry fees are paid separately from our fees.

Establishing the right basis on your company can make the difference between success and future problems when incorporating a company or making major decisions related to it. Our attorneys understand the how laws may affect your business in Spain or abroad, thus contributing to the successful conclusion of your cases.

Our Law Firm is ready to contribute in your business. We offer our clients a wide range of legal solutions. Our group of attorneys is willing to give you a personalized service based on trust and responsibility. If you wish to be assessed by our legal staff, please contact us.

Post a comment