Start a Business in Spain
the right way.
Thinking of going freelance, opening a shop, or launching a company in Andalusia? We handle all the bureaucracy — from your first registration to your quarterly taxes — entirely in English.
What nobody tells you about starting a business in Spain
Spain has specific bureaucratic steps that trip up almost every foreigner. Here’s what to expect — and how we handle each one for you.
You need a NIE first
Every foreigner must have a NIE (Número de Identificación de Extranjero) before registering any business activity. Without it, nothing else works. We sort this first.
Censo de Empresarios (Modelo 036/037)
This is your official registration with Hacienda. The activity code (epígrafe) you choose determines your VAT treatment and deductions. Choosing the wrong one is a costly mistake.
RETA — Autónomo registration
Self-employed workers must register with the RETA (Special Regime for Self-Employed). The contribution base affects your future pension and sick leave. We advise on the optimal base.
VAT & IRPF returns
Autónomos must file Modelo 303 (VAT) and Modelo 130 (income tax) every quarter. Missing deadlines triggers automatic surcharges. We never miss a date.
Invoicing & bookkeeping
Spain requires proper invoices with specific legal content. We set you up with the right system and review your books to keep you compliant and audit-ready.
VAT on cross-border services
If you work with clients outside Spain — which most expat freelancers do — VAT rules are complex. We set up the right invoicing treatment from day one.
Structure Comparison
Autónomo vs Sociedad Limitada (S.L.)
The two main structures for working independently in Spain. Which is right for you depends on your income, liability exposure, and growth plans.
| Factor | Autónomo (Freelancer) | Sociedad Limitada (S.L. Company) |
|---|---|---|
| Setup cost | ~€0 (just time) | ~€1,000–€3,000 (notary, register) |
| Minimum capital | None | €1 (from 2023 reform) |
| Personal liability | Unlimited — personal assets at risk | Limited to company capital |
| Tax rate | Progressive IRPF (19–47%) | Flat 25% Corporation Tax (15% first 2 years – subject to conditions) |
| Social security | RETA — from ~€200/month | RETA if you’re also administrator |
| Best for | Freelancers, under ~€40K/year net | Higher income, multiple partners, investors |
| Admin burden | Low — 4 quarterly filings/year | Higher — annual accounts, board minutes |
Our Plans
Monthly management plans for autónomos
Fixed monthly fee. Your taxes filed, your books managed, your questions answered — all in English.
For newly registered autónomos with low invoice volume.
- Registration with Hacienda & S.S. included
- Up to 100 invoices/quarter
- Quarterly VAT & IRPF filings
- WhatsApp & email support
- 50% off annual income tax return
For active professionals who want real advisory, not just form-filling.
- Up to 300 invoices/quarter
- Scheduled phone consultations
- Annual income tax return included
- Dedicated personal advisor
- Quarterly review meeting
Full coverage for busy businesses with high activity.
- Unlimited invoices
- Priority direct access to advisor
- Income tax return included (+ 1 family member)
- Monthly video call
- Defence against AEAT inquiries
Common questions about starting a business in Spain
No — the NIE is a mandatory prerequisite for all Spanish tax and social security registrations. However, we can start the NIE process and the business registration simultaneously to minimise delays. In some cases, a same-day NIE appointment (asignación de NIE) is possible.
Since the 2023 reform, autónomo social security contributions are calculated based on actual net income rather than a fixed base. The minimum contribution is currently around €200/month for low-income autónomos, rising progressively. New autónomos may qualify for a reduced “tarifa plana” of €80/month during the first year.
Most autónomos must register for and charge IVA (21% standard rate). However, certain activities are exempt (healthcare, education, some financial services), and others use special regimes. We identify the correct VAT treatment for your specific activity from day one.
Common deductible expenses include: social security contributions, office rent or a proportion of home costs, professional services, supplies, mobile phone (partial), vehicle costs (if business-use justified), training, and software subscriptions. The key is that expenses must be directly related to your economic activity and properly documented with legal invoices.
Assuming your NIE is already in place, we can complete the Hacienda and Social Security registrations within 24–48 working hours. You can start invoicing from the day the registration is effective. If you need a NIE first, allow 1–4 weeks depending on appointment availability.
What say about us
“I’ve been working with Libretax for many years and they have always been my trusted accountants. I’ve recommended them many times to my clients in Manilva, Casares, Sotogrande and the Costa del Sol.”
“Very professional and attentive. Without doubt my trusted gestoría. Everything handled online and in English — exactly what I needed as an expat.”
“They explained everything in detail and gave me total peace of mind with Hacienda. The online process was seamless. I’d recommend LibreTax to any foreigner navigating Spanish taxes.”
Ready to sort your
Spanish taxes — properly?
Book a free 30 minute call with an English-speaking advisor. No commitment, no jargon.