What is in the company deeds?

Company deeds are regulated by law and must include at least the following: 1. The identity of all shareholders/associates. 2. The type of designated company (limited (sociedad limited SL), public (sociedad anónima SA), etc). 3. The contribution of each shareholder and the number of participating shares received in exchange. 4. The identity of the person or people who are responsible for the company administration and its representation. 5. The company statutes (see below).

What about the company statutes?

In companies set up with capital, the statutes must include at least the following: - The company name. - Its business purpose and all its activities. - Its legal address. - Its set-up capital, the shares this is divided into, their nominal value and sequential numbering. Requirements for this are different depending on the type of company as follows: - Limited Responsibility company – the statutes must state the number of participations that the capital is divided into, their nominal value, correlative numbering and if they are not equal, the rights that each numbering gives to shareholders/associates and the number or extent of them. - Public company – the statutes must state the type of share and their series (if applicable); and the nominal value required to buy as well as how to do this and the deadline for purchase. - Limited share partnership – known as a sociedad comanditaria in Spanish, the statutes must also state the identity of collective shareholders. - How the company is administrated, the number of administrators (or the minimum and maximum number), as well as how long an administrator holds the post and how they are paid (if applicable). - How agreements are debating and reached by the company’s board.

Setting up a company in Spain

Setting up a company in Spain is straightforward, but as with everything involving paperwork, the process can be challenging if you don’t understand the system or the language.

At Costaluz Lawyers, we are experts in helping foreigners navigate Spanish bureaucracy and our expertise saves you time, money and stress. Discover how we can help you set your company in Spain

What we can do for you?

Deciding what sort of company to set up, how and when is just as important as the actual paperwork itself. That’s why at Costaluz Lawyers, we first listen to your business plans and then offer expert and considered advice on:

The best legal status for your business – this could be a company, or it may be more advisable for you to be self-employed.

The procedure and timescale – once you have decided on the legal format for your company, we assist you every step of the way in setting it up. We organise the paperwork, translate documentation for you if necessary, arrange and accompany you to the appointment at the notary and ensure the company is fully registered.

The financial implications – all successful businesses start with solid financials and we offer information and advice on the financial possibilities when setting up a company in Spain.

Tax and accounts liabilities – companies in Spain must adhere to specific tax regulations and are required to follow strict accounting rules. We can advise on these and help you with your quarterly and annual tax returns and accounts.

Public financial aid and subsidies – when you set up a company in Spain, you may qualify for financial help in the form of grants and subsidies from the central and regional governments. Local aid is also available. Our expert team can give you up-to-date information on what is available and help you apply.

Obligations as an employer – if your company needs employees, we advise you on the correct way to go about hiring people and their employment contracts plus offer general information about Spanish employment law.

We pride ourselves on customer services we offer our clients. Get in touch now to find out how we can help you set up a business in Spain.

Why Costaluz Lawyers

Setting up a company in Spain and then running a business successfully means knowing about Spanish business culture, both at national and local levels, and understanding laws. Having a Spanish team of professionals at your side will make a real difference to the success of your business.

It also means that you can concentrate on what you do best – creating and nurturing your business – and rest assured that we are running the rest for you.

Zero worry and stress

Putting the legal side of things into our expert hands means you can stop worrying about whether your company is compliant with rules and regulations. We take care of all that for you meaning zero worry and stress for you on that account.

We also offer an exclusive package giving you permanent assistance and support throughout the life of your company. Contact us for more information about our Business Program that puts the best professionals by your side from the very beginning.

Our Program assists you with all aspects of your company from setting up and taxes to marketing and human resources. Our team helps you by taking the burden off your shoulders and shares your desire to see your business succeed and grow in Spain.

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10 things you need to know about setting up a company in Spain

As is common in most countries, company law in Spain is very specific and although you may find some aspects familiar, others are unique to Spain. The following list provides information on the basics of requirements for companies.

Number of shareholders/associates

Companies in Spain with capital require a minimum of two people as shareholders. You can also set up a one-person company.

Company deeds

The company deeds are public and signed in the presence of the notary. All founding shareholders/associates (individuals or companies) must sign them.

What is in the deeds

Company deeds are regulated by law and must include at least the following:

The identity of all shareholders/associates.
The type of designated company (limited (sociedad limited SL), public (sociedad anónima SA), etc).
The contribution of each shareholder and the number of participating shares received in exchange.
The identity of the person or people who are responsible for the company administration and its representation.
The company statutes (see below).

Company statutes

In companies set up with capital, the statutes must include at least the following:

The company name.
Its business purpose and all its activities.
Its legal address.
Its set-up capital, the shares this is divided into, their nominal value and sequential numbering. Requirements for this are different depending on the type of company as follows:

Limited Responsibility company – the statutes must state the number of participations that the capital is divided into, their nominal value, correlative numbering and if they are not equal, the rights that each numbering gives to shareholders/associates and the number or extent of them.
Public company – the statutes must state the type of share and their series (if applicable); and the nominal value required to buy as well as how to do this and the deadline for purchase.
Limited share partnership – known as a sociedad comanditaria in Spanish, the statutes must also state the identity of collective shareholders.
How the company is administrated, the number of administrators (or the minimum and maximum number), as well as how long an administrator holds the post and how they are paid (if applicable).
How agreements are debating and reached by the company’s board.

Company registration

When you set up a company in Spain you must register it at the Company Registry (Registro Mercantil).

When business activity starts

Unless otherwise stated in the statutes, business operations start from the date of signing the company title deeds. The statutes may not set a date prior to the signing of the deeds unless it is a company conversion.

Company lifespan

Unless the statutes state otherwise, the company has no defined lifespan.

Length of tax year

Each tax year ends on 31 December annually.

Transfer of shares

Until the company is registered (or an agreement of increased capital registered), shares may not be transferred or handed over.

Length of time to set up a company in Spain

Around 13 working days from start to finish.

Take advantage of the Costaluz Lawyers Business Program

Now that you’ve read the information, you might find the paperwork and legalities behind setting up a company daunting. Why not save yourself time, stress and money by allowing our expert team to take care of all for you?

Costaluz Lawyers will be by your side from the very beginning to ensure you establish the company that suits your business best and make sure every legal requirement is fulfilled. Get in touch to find out how our Business Program can help make your business venture in Spain a success.