Setting up a Business in Spain? On this post, we will explain the more usual/useful companies you can set up in Spain. What’s best? Well … it depends on what do you need.
- Subsidiary (Spanish company with its own legal personality): Spanish law provides for a variety of vehicles that can be used by foreign companies or individuals for investing in Spain. The most common forms used are the corporation (S.A.) and, principally, the limited liability company (S.L.).
- Branch or permanent establishment: A fixed place of business established by a nonresident company, with comercial or business purposes. This alternative hasn´t its own legal personality, meaning that their activity and legal liability will at all times be directly related to the parent company of the foreign investor.
- Representative Office: A fixed place of business, established by a nonresident company, that pursues purely marketing or informational activities relating to commercial, financial and economic matters but does not conduct any actual business.
- Joint ventures: Association with other businesses already established in Spain. It allows the parties to share risks and combine resources and expertise. A joint venture can be set up under Spanish law in a number of ways:
- 1) An Economic Interest Grouping (E.I.G.) and a European E.I.G. (E.E.I.G.);
- 2) A Temporary Business Association (“Unión Temporal de Empresas” or U.T.E.);
- 3) Under a type of silent partnership arrangement peculiar to Spanish law (“cuenta en participación”) with one or more Spanish entrepreneurs;
- 4)Joint ventures through Spanish corporations or limited liability companies …
As you can see, there are a lot of options … what would work best for you? Contact us!
Jaime Segura & Associates – The way your law firm should be. Providing legal services all over Spain since 2003.