Are you entrepreneur?
Spain is still one of the most popular places for people to launch their own business start-up.
- Firstly decide which type of business entity best fits your requirements, usually as self-employment or Limited Company. Each one has a different set of legal and fiscal responsibilities.
- To start up your business as self-employment is a simple process. It mainly requires advising either The Tax Office and Social Security that you will be commencing a business activity. Also, you must comply with some formal requirements e.g. complete and submit quarterly and annual VAT returns, present quarterly returns on your profits to date and to maintain records of all your sales and business expenses.
- Setting up a business as a Limited Company requires a Public Notary to draft a corporate deed with articles of incorporation (statutes). However, costs are regulated by law for some cases (Royal Decree 13/2010), allowing you to set up your own business just in one day for only 100, including Notary and Companies House fees. Requirements are mainly to request a company name, to open a corporate bank account with 3k deposit as minimum required investment, to communicate your business activity and to request a NIF (Tax Corporate Number) to the Tax Office, and to apply to the Social Security (National Health Service) for an identification number, this is compulsory if you are hiring workers.
Your company will be required to keep accountancy books, submit companys Annual Accounts yearly and complete and submit quarterly and annual tax returns.
You are also liable to pay licenses and permits depending on the regional government where your company be based.
- Now you are ready to go ahead and succeed with your very own Spanish business.
- Always ask a professional for advice.
- At Corral&Alcaraz we set up your business free of charge, if you arrange one of our accounting and tax packages. Our lawyers, tax advisors and chartered accountants will be pleased to assist you.