Entering the Spanish Market via Franchising
Spain is a top franchise destination in Europe, offering an open, regulated, and well-established legal framework. With over 1,300 franchise brands operating across sectors like food, retail, fitness, education, and hospitality, franchising is a powerful strategy for foreign brands to enter the Spanish market.
📄 What Is a Franchise Agreement in Spain?
A franchise agreement (contrato de franquicia) is a commercial contract where a franchisor grants a franchisee the right to operate a business under its brand, using its know-how and support systems, in exchange for fees or royalties.
📘 Key Legal Elements Include:
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Use of trademarks and trade names
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Know-how and training obligations
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Ongoing support
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Territory and exclusivity
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Fees (initial + royalties)
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Duration and termination
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Non-compete and confidentiality clauses
✅ Spanish contract law allows flexibility, but certain franchise-specific disclosure rules apply.
📋 Pre-Contractual Disclosure Obligations
Under Royal Decree 201/2010, franchisors must disclose information at least 20 days before signing any agreement or collecting payment.
Required Disclosure Includes:
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Company identification and legal status
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Description of the franchise
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IP rights and registrations
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Financial obligations of the franchisee
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Details of existing franchisees in Spain
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Litigation history (if any)
⚠️ Failing to comply with disclosure rules can render the agreement void or result in damages.
🏛️ Registration Requirements
If you are a franchisor operating in Spain, you must register with the Franchise Registry (Registro de Franquiciadores) of the Ministry of Industry, Commerce and Tourism.
📌 Foreign franchisors without a permanent Spanish establishment can register through legal representatives.
⚖️ Franchise Laws That Apply
There is no single “Franchise Law” in Spain. Franchise agreements are governed by:
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Commercial Code
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Civil Code
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Unfair Competition Law
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Competition/Antitrust Law (Law 15/2007)
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Royal Decree 201/2010 (Disclosure obligations)
Franchise contracts are enforceable provided they:
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Do not violate public order or competition law
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Do not impose unfair or abusive terms
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Are freely negotiated and clearly documented
🔎 How We Assist at Borderless Lawyers
Whether you’re a foreign franchisor expanding to Spain or a local investor looking to become a franchisee, we provide:
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✅ Legal review and drafting of franchise agreements
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✅ Due diligence on Spanish franchisees/franchisors
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✅ Franchise Registry compliance
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✅ IP protection and licensing
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✅ Dispute resolution and litigation
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✅ Pre-entry market strategy and regulatory advice
🌍 Multilingual legal services | ⚖️ Sector-specific expertise | 💼 Strategic market entry support
💬 Real-World Example
Case: A U.S. fitness franchise wanted to launch in Madrid. We:
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Registered their trademark with the Spanish Patent & Trademark Office (OEPM)
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Drafted a compliant franchise agreement
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Handled registration with the Franchise Registry
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Assisted in negotiating and closing the first franchise deal with a Spanish partner
🚀 Ready to Franchise in Spain?
Franchising in Spain offers exciting growth potential—but requires expert legal structuring. At Borderless Lawyers, we guide international brands through every legal, regulatory, and business step.