[vc_row][vc_column][vc_column_text]The process of forming a company in Spain is a difficult task, not because of its complexity, but because of the laborious process involved in formalizing the constitution.
When deciding to create a company, the following factors must be taken into account, among others: the definition of the activity to be developed, the global and long term planning, the risk assessment, the financial capacity, the viability of the business, the market study, etc… All these aspects should be included in a document called a Business Plan.
What kind of company can I form?
The most common types of companies in Spain are the Public Limited Company and Limited Liability Company, because they limit the liability of the partners to the amount they have invested.
What are the steps to form a company?
1. You need a NIE
Before you can start the process of setting up a business in Spain, all resident and non-resident foreigners with financial affairs in Spain must have a foreigner’s tax identification number or NIE..
2. Registro Mercantil Central
The first step in setting up your company will be to obtain a certificate from The Mercantile Registry to verify that the company name you want to use is not already taken, so you can choose it for your new company. You can do this by yourself through www.rmc.es.
3. Agencia Estatal de la Administracion Tributaria
Next step is to apply for your C.I.F (tax identification code). Be sure to do this step in the appropriate office of the Hacienda, which will be the one that belongs to your post code address. You will get the tax number immediately
4. The bank
Once you have obtained the tax code and the certificate of no-name coincidence (see point one), a deposit with the minimum authorised share capital – has to be paid into a Spanish bank account. Evidence of payment can be obtained in the form of a bank certificate for delivery to the notary or lawyer showing the act of incorporation of the company.
5. The notary
Now, with the three previous documents, you can visit a notary to apply to be appointed as the company founding director (administrator), as well as prepare the company constitution.
6. AEAT / Generalitat
With the original deed of incorporation obtained from the notary, you should then go to the Local Government Tax Authority (or AEAT) to register the deed.
7. Registro Mercantil
The deed has to be taken to the Registro Mercantil where it will be registered. It should take no less than 15 days until it is registered and original documents are returned. When you collect the original deed it will bear a certificate from the Mercantile Registry that the company is already registered.
8. Agencia Estatal de la Administracion Tributaria
The next step to register your trading company involves another visit to the tax office. This time it is to obtain the permanent Corporate Tax Identification Number (CIF) at the Hacienda after the completion of the incorporation process..
9. Tesoreria General de la Seguridad Social
The last step of the registration process as the company’s director is for social security and occupational accident insurance purposes.
You will have to comply with certain procedural formalities at the local office of the Ministry of Labour and Social Affairs (or TGSS).
How can Lexidy help?
At Lexidy we can help you throughout the process of forming a company and make the whole process faster and simpler for you. Get in contact for a free consultation![/vc_column_text][/vc_column][/vc_row][vc_row]