Creating a company in Madrid is ideal since it is one of the most important cities in Spain.
Being in 8th
place in Europe and 12thin a worldwide level. There is two ways in which is
recommended to create a business: Register as self-employed (Sole Trader) or Limited liability
What are the differences?
Registered as self-employed: Typically, this is the option that most entrepreneurs take as their
start off. Sole traders work with smaller capitals and less risks. It ́s ideal to start a business this
way since it will be the beginning of successful experiences.
Registering as a limited liability company: This is another way to start a company mostly used
by the Spanish entrepreneurs. The
main attraction is that commercial liability depends on the
capital subscribed by the partners and not on their assets or personal capital.
These are the three modalities of SL:
- Limited responsibility association
- Limited successive formation association
- Limited new company association
How to create a company?
You can create a company with the prior two modalities, it ́s easier, quicker and more
economic. There are some things that you should take into account before you start a
company or create a society:
The type of commercial activity you decide to follow
You must think about the company ́s objectives, company ́s visualization, and
commercial perspective that make the company.
Gather the requirements and documents on time.
Evaluate the estimate costs.
Look for advisors or an agency
Requirements to start a company
The requirements to start a company vary when choosing to either be a sole trader or limited
How to register as a Self-employed or Sole Trader
Step 1: Register in the Tax Agency
Here you must fill the module 036 or 037 with your personal data, permanent address, and tax
Step 2: Register in Social Security. In this case you present yourself to the organism of social security with the form TA0521 and
then register in the special scheme for self-employed workers (RETA).
Step 3: Opening license
In case you are going to domicile your company, you will start the processes to the
corresponding town hall.
Step 4: Register in work organizations
If in your commercial activity you have several employees you must notify the organization of
the worker. You must also register all personnel to social security.
How to register as a Limited Liability Company
These are the steps to make a limited liability company in Madrid:
Step 1: Register the company ́s name
Step 2: Create a bank account that contains the company ́s name
Step 3: Draft and design the bylaws.
Step 4: Go to the tax agency and register the company.
Step 5: Commercial registry of the company.
Step 6: Sign the scriptures.
You also have the option to complete this process online. If you understand the exact
process and the documents required. Since there is a variety of forms and different
levels of complex documents. We suggest to get help from an agency or advisor in
I want to start my own business, who will help me?
The helps you are able to receive are based on the following:
3.Free incorporation of companies.
4.Calculation of the IRPF of 20% capital from the formation of the company.
5.Tax reduction of 15% on companies recently created.
Who helps you start a business in Madrid?
This are the most important organisms that help you start your business in Madrid:
1.Community of Madrid
2.General Directorate of Industry, and, Small and Medium Company
3.Institute of official credit
4.Government incentives to support innovation and entrepreneurship
5.European economic community
Advisory for Entrepreneurs Madrid
In order to create a company in Madrid in any circumstance it is needed for the
entrepreneur to organize their modeled company, type of activity, budget and the
business prospective. This will determine and define your business development
throughout time. Gestoria eMadrid as a company leader in this issue we recommend
to always lean towards an advisor before starting the first step.
If you are wanting to start a new business you came to the right place, we will provide
you with the information you need. In order to accomplish your objective and create
your company, the process is very easy.
Learn how you can start your business in Madrid
Creating your company is very easy and simple, ahead we will explain how to register
After deciding that you want your own company, you must decide if you can to create
by yourself or have business partner. When you have chosen the name, you must go to
the Mercantile Registry. Why? Because the Mercantile Registry is in charge of issuing
you a certificate where the name of your company is reflected.
You must create statutes where it will be very clear how the company will work and
the share of responsibility of each member, how decisions and confidentiality
agreements will be made, among other aspects, which you will surely consider
necessary to make everything clear and avoid short-term or long-term problems.
Remember that the moment you decide to create a company, you ́ll have to have a
capital that you ́re going to deposit in the bank. You can’t move the capital that you
deposit together with the members of the company until the company has been
created and it is registered in the Mercantile Registry.
What administrative procedures must you carry out to create a company?
How to create a company in Spain?
When they have spoken to you about how to create a company in Madrid or in Spain, they
have surely told you that the procedures are many and that possibly you will not succeed. On
this occasion we are here to guide and support you so that your dream comes true.
To create a company in Madrid it is true that the road is long but not impossible. For this you
must organize and inform yourself so that the road is free of obstacles, you must be clear
about the budget you ́ll need, to have all the clear rules it is important that you draw up the
statutes that will govern the operation of your company.
The procedures that you have to carry out will be easier if you delegate to the other partners
and share responsibilities; remember that teamwork helps to move forward and also makes
less work load. If this is not your case and you plan to create your company alone, don ́t stress
because the Spanish government has updated its pages to provide you with the best options
so that you can create your company without complications.
A big step is to be clear about your objectives and define the activity of your company, this will
facilitate the distribution of responsibilities among all partners in a fair way. If the
responsibilities are distributed and the rules are clear from the beginning, they will avoid long-
term problems, the product of misunderstandings.
When you are clear about the activity of your company and you have already selected its
name, remember that you must go to the Mercantile Registry. For what? To make sure that
the name you have chosen has not been used by another company and this procedure will
protect the name of your company so that it is not used by another company and thus be
unique to your company.
One of the procedures to create a company that we consider very important is the negative
certification, because it is one of the requirements that you cannot forget at the moment of
presenting the constitutive papers to finalize the procedures.
Managing the negative certification is very simple, you just have to send an email to the
Mercantile Registry and in 48 hours they will deliver the negative certification.
Creating companies in Spain these days is a process that has been simplifying to make the path
easier for the entrepreneur, and for example, face-to-face procedures at offices have been
eliminated, giving space to online procedures and thus the entrepreneur saves time. In
addition, the online procedures are easier and you will surely not need advice.
How to choose your agency to create a company and why look for one?
Creating a business is a simple process, but if you don't have the time or you're scared of
procedures, especially online ones, don't worry because the agency will take care of it without
If you have doubts or inconveniences, do not stop the creation of your company, you can look
for an agency to create a company who will give you the information you need to carry out the
procedures and procedures satisfactorily for the creation of your SL Express company. The
agency has organized a series of courses in simple language so that you can create your
company by yourself.
The agency will tell you the requirements you need and will manage everything for you. How
to choose the right agency? You have two options, the first is to search online for the best
agencies to create a company and evaluate customer reviews. You select the one that is
closest to your home so that the transfer is easy and the one that has the best evaluation by
The second option is to ask the closest people who have created a company or acquaintances
and then look online for opinions and compare with what they told you so that you can choose
the one that best suits what you need.
We assure you that with our contribution you will successfully create your company and if you
have any inconvenience or question, do not hesitate to seek our specialized advice on business
creation and we are sure that we will be able to support you with our specialized personnel.