Legal aspects for setting up a Startup in Spain
Setting up a startup in Spain requires making various considerations. If you are thinking about this type of entrepreneurship, we recommend that you have a notary in Barcelona. Furthermore, from November 2023 it will be possible to establish companies entirely digitally, being able to sign with JLA Notarios – Notaria Online from anywhere in Spain, via videoconference.
What is a startup in Spain?
We define with this term a company dedicated to the field of technology that does not require a high investment to start up. One of the characteristics that distinguishes them is their adaptability to the environment and changes. Furthermore, they can operate quickly.
As they involve low investments and a very competitive spectrum, the risk of financing these projects is high. If all goes well, the profitability is equally high.
This model has its own characteristics that need to be known. Now, what do you have to consider to set up a startup in Spain?
Choice of model to set up a startup in Spain
When it comes to setting up a startup, we must choose an organisational model. In this case, it is about the traditional legal forms.
- Sole trader.
- Public limited company.
- Private limited company.
- Community of assets.
If you are interested in learning more about the creation of a private limited company, we recommend this article from our blog:
The vast majority of this type of companies set up in Spain opt for this type of entities, especially for limited companies.
Legal aspects to consider when creating a startup in Spain
The legal aspects of this type of company can be somewhat more complex due to their scalability capacity and the search for financing. These are the main points that need to be understood.
Regarding the brand
The chosen brand for the launch of the project must have the appropriate legal protection. This will help to avoid risks or inappropriate use by third parties. These are the key points.
- Company registration: Allows the business to gain legitimacy before the competent authorities.
- Intellectual property: Allows protection of the ideas and inventions fundamental to these projects.
- Trademark registration: Protects the corporate identity.
- Patents and copyrights: Registering the developed projects allows ownership to be granted to the company.
- Confidentiality: Contracts that prevent the disclosure of information received by employees, partners, and potential investors.
Of work and hiring
When setting up a startup in Spain, we must adapt the different contracts that are signed with employees and suppliers to the current legislation.
- With employees: Set salaries, working hours and other conditions fairly to ensure an optimal environment.
- Contracts with suppliers and partners: We establish the obligations and rights of the parties to guarantee a balanced and fair relationship.
Standards and regulations
As notaries in Barcelona, we are familiar with the rules and regulations that a company of this type must adhere to. We can take care of preparing the deed of incorporation of the company, the communication to the Tax Agency, obtaining the provisional NIF (tax identification number), and the registration of the company in the Commercial Registry.
Furthermore, since November 2023, at JLA Notarios – Digital Notary, we can carry out all the procedures for company incorporation digitally, so that you can receive the best service from anywhere in Spain, signing electronically.
Once the company is incorporated, you will require the services of an administration office to manage the accounts that must be submitted quarterly and annually to the Tax Agency.
Additionally, once your company is fully operational, from our online notary – JLA Notarios – digital notary we can help you adapt your company to its growth and future needs. Thus, you will be able to sign digitally or in person with us any deed related to your company and all loan or credit policies through which your company receives financing.
Financing
There are various financing options for these companies. Each of them has different implications, but all are based on convincing investors of the project.
- Shareholders' agreement: Agreement between the founders for the development of the business.
- Investors: Provide capital. The rights to profits and decision-making power must be established.
- Crowdfunding: Has specific legal considerations.
If the financer of your startup requires you to sign a notarial loan policy or a notarial credit policy, you can sign them in person or completely digitally with JLA Notarios – Notaria Barcelona – Notaria Digital.
To conclude, setting up a startup in Spain is a complex task, so having a notary with experience like ours can be of great help for all the legal procedures of company incorporation. We can assist you with the processing of the deed of incorporation, the capital increase, the deed of appointment of administrator, deed of public elevation of corporate resolutions and much more. Furthermore, many commercial procedures can be carried out online from 9 November 2023; you can find more information about the procedures you can carry out digitally on our online notary page.
Contact us at our email bcn@jlanotarios.com or the contact form on our website and resolve all your doubts! We are waiting for you!
