We provide our compliance services to investors in remote company formation in Spain: Thereby we support you from the registration of the commercial register over the procurement of the tax ID up to the opening of the account.
Since the beginning of the epidemic in 2020, CLEVANA has coordinated with a number of Spanish tax offices, law firms, and European online banking institutions to find viable ways for expeditious and compliant remote company formations, so that we can now offer you a reliable remote company formation and account opening service.
Why should a company be established in Spain?
Being the fourth most populous country in the European Union, Spain has been a crucial market for companies and individual investors. However, the Spanish construction and tourism industries are well developed, and the automotive industry is also developing well, second only to Germany and France. Also, the Spanish new energy industry has been growing rapidly under the EU’s carbon neutrality policy.
Over the past few years, Spain has also become a target market for many individual investors, especially commercial investors and cross-border e-commerce investors. Moreover, this is due to the renewed increasing purchasing power of the Spanish market and the introduction by the government of a favorable tax policy.
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What should be considered when setting up a company in Spain?
Choice of legal form
The most common form of company in Spain is the limited liability company (S.R.L. or S.L.). It consists of one or more shareholders whose liability is limited to their capital contribution. Shareholders can be natural persons or companies. The Spanish limited liability company offers a high degree of flexibility and relatively few restrictions. Combined with the low minimum capital requirements and the possibility of not having to hire employees, this makes it ideal for foreign investors.
Tax numbers for foreigners (NIE)
Spanish joint stock companies are required to appoint at least one managing director to represent the company externally and to manage its business. The managing director may consist of one or more natural persons or legal entities. It should be noted, however, that foreigners who are shareholders or directors of a Spanish company must apply to the Spanish government for a tax number for foreigners (NIE) in order to complete the subsequent process of company registration.
Tax matters
Regardless of their legal form, Spanish companies are subject to corporate income tax. In order to promote economic development, the Spanish government has reduced the tax rate on corporate profits to 25 percent since 2014, which is in the European midfield. In addition, new companies can enjoy a tax rate of 15 percent or even a tax exemption for the first few years of operation, provided certain conditions are met. In addition to corporate income tax, Spanish companies, like other European companies, are subject to VAT. The Spanish VAT rate is 21 percent.
European tax number
Once a Spanish company is registered, it must apply to the tax authorities for the Spanish local tax number NIF. For Spanish companies that carry out inter-European transactions, one must also register the Spanish local tax number in the EU VAT system in order to obtain a Spanish EU tax number.
Meet our experts in business establishment and structuring
Chen Shi
Co-Founder & Managing Director
Grenoble, France
Man Li
Business Development Manager
Grenoble, France
The procedure of remote company formation in Spain
Our support for preparations
We will be happy to help you prepare all documents in advance. This includes verification of: the registered company name, business scope, shareholder structure, share capital, articles of association, powers of attorney, proof of capital, documents for opening a bank account, company address of the company, and renting office space.
Authorization of the Chinese documents
Articles of association and powers of attorney must have their signatures notarized in China. In general, CLEVANA recommends that directors and shareholders of the company to be incorporated go in person to the Spanish Embassy or Consulate in China to have their signatures notarized.
Application for personal tax numbers for managing directors and shareholders
To avoid traveling to Spain, CLEVANA recommends that companies meet with a local Spanish lawyer to apply for individual NIE tax numbers for directors and shareholders of the Spanish company to be formed. This is the basis for the later completion of the company registration. We are happy to support you in this process - and to establish the respective contacts.
From the capital check to the notarization and submission of documents
After being granted power of attorney, CLEVANA Consulting assists in conducting a remote capital audit and obtaining a certificate of the capital audit. We also represent our clients in the incorporation of the new company and sign the relevant incorporation documents under the supervision of a notary. The incorporation documents are then filed with the Spanish Commercial Court.
Applying for tax numbers for the company
After you have been registered in the Commercial Register, we will apply for a local tax number for you. Depending on the requirements of the founding company, it is possible to apply for a Spanish EU tax number once you have obtained a local Spanish NIF tax number.
Opening a bank account
After the business registration is issued, we will assist you in applying for a bank account. The account opening is also done remotely and without video verification. You only need the required documents with the respective signatures for this.