{"id":11542,"date":"2022-08-12T10:21:00","date_gmt":"2022-08-12T09:21:00","guid":{"rendered":"https:\/\/firmalex.com\/?p=11542"},"modified":"2022-09-15T13:09:39","modified_gmt":"2022-09-15T12:09:39","slug":"how-to-start-a-business-in-spain-as-a-foreigner-the-setup-process","status":"publish","type":"post","link":"https:\/\/firmalex.com\/en\/2022\/08\/12\/how-to-start-a-business-in-spain-as-a-foreigner-the-setup-process\/","title":{"rendered":"How to start a business in Spain as a foreigner: The setup process"},"content":{"rendered":"\n

This article is part of our guide How to start a business in Spain as a foreigner<\/a> which you will find in our Starting a Business in Spain<\/a> section.<\/p><\/blockquote>\n\n\n\n

Establishing the shareholders of the company<\/strong><\/h4>\n\n\n\n

At this point, it is necessary to decide how many and who will be the shareholders of the company. In addition, determining who will be the director of the company is a necessary step.<\/p>\n\n\n\n

In this regard, there are two different types of directors.<\/p>\n\n\n\n

First, there is the corporate director (“mercantile director”). He\/she does not need to have a salary or a work permit, and once a year he\/she has to sign the annual accounts of the company. Having this type of director implies that he will also have to have a worker under his structure, as required by Spanish law.<\/p>\n\n\n\n

But what many companies actually do is to have a director with both corporate and labor functions, thus eliminating the need to have an employee.<\/p>\n\n\n\n

Once this is decided, you just have to create the shareholders’ agreement, defining each shareholder and the percentage of participation that each one has. This is one of the most crucial steps in the process, as you need to foresee any future possibilities to avoid problems later on. That is why we strongly recommend to count on a commercial lawyer. <\/p>\n\n\n\n

Going to the notary to sign the public deed<\/strong><\/h4>\n\n\n\n

With all the documents mentioned above (NIE number, the bank certificate and the certificate of the Commercial Registry), you must now go to the notary to sign the public deed of incorporation. There you will establish who are the investors\/shareholders and the administrator.<\/p>\n\n\n\n

In addition, you will have to enter an address. <\/p>\n\n\n\n

You will also have to clearly define what the activity of the company is. Our advice is to be as open as possible: enter all the activities related to what you are going to do. This is a crucial step. Why? Because it will avoid the need to go to the notary again in the future if you expand your business or pivot the main activity.<\/p>\n\n\n\n

Next, the notary will register the company in the Commercial Registry. This process can take up to 3 weeks. However, from the day we sign the company incorporation at the notary’s office, you will be given a provisional VAT number, with which you can start your activity.<\/p>\n\n\n\n

Going to the Tax Office<\/strong><\/h4>\n\n\n\n

Now that you have obtained the deed from the notary, you will have to go to the Tax Agency:<\/p>\n\n\n\n