Company Formation in Spain for Non-Residents
Spain is a member of the European Union and the euro area. The sociedad de responsabilidad limitada (SL) is the standard private limited company and is registered in the Mercantile Registry after a notarial public deed. Under the Capital Companies Law as amended by Law 18/2022, the minimum share capital of an SL is EUR 1.
We support non-resident founders at every stage: company registration, the registered office address, accounting and tax reporting, employment and payroll, and corporate bank account opening.
At a Glance
Jurisdiction
Most Common Legal Entity
Minimum Share Capital
Ideal For
Estimated Incorporation Time
Corporate Income Tax
VAT
Registered Office
Why Entrepreneurs Choose Spain
Spain combines EU membership with a flexible private limited company form.
Key advantages include:
- Membership of the European Union and the euro area;
- SL minimum capital of EUR 1 under Law 18/2022;
- Foreign ownership of Spanish companies is generally permitted;
- Registration in the Mercantile Registry;
- Access to the European Single Market.
Company Registration in Spain
An SL is formed by public deed before a notary and acquires legal personality upon registration in the Mercantile Registry.
- Founders execute the deed of incorporation before a Spanish notary;
- Share capital is fully paid in for an SL;
- The company is registered in the Mercantile Registry of the registered office;
- Tax identification (NIF) and beneficial-ownership filings apply;
- A Spanish registered office address is required.
Company Forms in Spain
Limited Liability Company (SL)
The sociedad de responsabilidad limitada is the usual form for SMEs. Minimum capital is EUR 1 (art. 4 LSC as amended by Law 18/2022). While capital is below EUR 3,000, special reserve and liquidation-liability rules apply.
Public Limited Company (SA)
The sociedad anónima requires minimum capital of EUR 60,000 (art. 4 LSC) and suits larger capital structures and certain regulated activities.
Registered Office Address
Every Spanish company must have a registered office in Spain recorded in the Mercantile Registry.
We help arrange a registered office address and the supporting documents required for the notarial deed and bank onboarding.
Taxation Overview
Corporate Income Tax
According to PwC Worldwide Tax Summaries (Spain, last reviewed 30 June 2026), the general corporate income tax rate is 25%. Compiled by Lexbit from PwC.
Value-Added Tax
The standard VAT rate is 21% (PwC).
Withholding Tax
Domestic dividend withholding tax is generally 19% before treaty or EU relief (PwC).
Payroll Taxes
Employers withhold personal income tax and social-security contributions under Spanish payroll rules. Confirm exact rates with a payroll adviser.
Accounting and Tax Reporting
Spanish companies must keep accounting records and file corporate tax and VAT returns. Annual accounts are deposited with the Mercantile Registry.
Our accounting team supports bookkeeping, tax filings and ongoing compliance.
Employment and Payroll
Spanish companies can hire staff locally. Employers register employees with social security and run payroll with the required withholdings.
We support employment contracts, registrations and monthly payroll.
Spain is particularly well suited for:
Key Advantages
- Membership of the European Union and the euro area
- SL minimum capital of EUR 1 (Law 18/2022)
- Mercantile Registry registration
- Foreign ownership generally permitted
- General CIT rate of 25% (PwC, reviewed 30 June 2026)
Important Considerations
- notarial deed and Mercantile Registry formalities
- legal-reserve rules while SL capital is below EUR 3,000
- accounting and tax filing obligations
- NIE/NIF identification for foreign founders where required
- banks’ KYC requirements for corporate accounts
The Incorporation Process
01
Initial Consultation
02
Assessment of Your Business Model
03
Selection of the Appropriate Corporate Structure
04
Preparation of Incorporation Documents
05
Company Registration
06
Issuance of Corporate Documents
After registration, we can assist with tax registration, opening a corporate bank account, accounting, payroll and ongoing corporate support.
Required Documents
Depending on the nature of the project, the following documents may be required:
- Identification documents (and NIE where applicable);
- Proof of residential address;
- Information about the intended business activities;
- Details of founders, directors and beneficial owners;
- Documents confirming the right to use the registered office;
- Any additional documentation required by the notary or registry.
Frequently Asked Questions
Yes. Foreign individuals and companies may own Spanish companies, subject to identification (NIE/NIF as applicable) and beneficial-ownership filings.
Yes. A registered office in Spain is required for Mercantile Registry registration.
EUR 1 under the Capital Companies Law as amended by Law 18/2022. Special reserve and liquidation rules apply while capital is below EUR 3,000.
After incorporation we prepare the KYC pack and introduce suitable banks or payment providers.
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Start with a Consultation
Our team will assess your business needs, advise on the most suitable corporate structure, prepare the required documentation and coordinate registration, the registered office, accounting, payroll and banking.
Schedule a consultation today and take the first step towards establishing your company in Spain.