There are many variables that have a bearing on the costs of setting a business up. But we can give you an estimate of legal and administrative costs in Spain. This site contains ample information about costs. On this occasion we are going to put all this together for a quick reference.
Let us start considering some common variables:
There are two common forms to operate: Autonomo ( self- employed) and Sociedad Limitada (Limited Company).
Each type is specific for particular needs.You can read about other considerations, besides the costs, of the differences between Autonomo and SL company in our related post:
Self employed or Limited company?
5 Advantages of trading through a Limited Company.
The following table compares the incorporation and registration costs in each case:
*Average cost for a incorporation of a company with the minimum capital and no extra license or additional registration.
For a consideration of steps involved in setting up an SL Company click here.
The choice of legal form will also affect other related costs.
Owners/Partners Social Security contribution.
The owner or working partners of a business have to make a monthly contribution to the social security.
Read: Autonomo Contribution for 2023
Administrative obligations, and therefore the related paperwork, are considerably greater for a company than for a self employed entrepreneur.
Our most common accounting and tax presentation fees shown below can give you an idea in each case.
Autonomos: From 59,95€ per month
Companies: From 149,95€ per month.
For a consideration of the conditions in which a company may be favorable despite the higher initial costs read our post:
In what cases is trading as a limited company more tax efficient?
Finally it is important to include in your prevision of expense the costs related to obtaining your Opening Licence if you are going to be using premises.
In order to give you an estimate that takes in account your circumstances, contact us to see how we can help.