🇪🇸 Why Open a Company in Madrid?
Madrid is the financial, political, and corporate capital of Spain. It’s ideal for entrepreneurs and investors seeking scale, connections, and visibility.
✅ Top Spanish city for international business
✅ Headquarters of major banks, law firms, and multinationals
✅ Thriving ecosystem for tech, real estate, consulting, and import/export
✅ Excellent infrastructure and professional services
✅ Access to Latin American and European markets
🏢 What Type of Company Should You Open?
Most foreign entrepreneurs choose from the following structures:
| Type of Entity | Best For |
|---|---|
| SL (Sociedad Limitada) | Most popular – limited liability, fast setup |
| Autónomo | Freelancers and independent professionals |
| SA (Sociedad Anónima) | Larger firms or companies with outside investors |
| Subsidiary/Branch | Foreign companies expanding to Spain |
💡 The SL is ideal for most non-resident business owners due to its protection, credibility, and tax efficiency.
📝 How to Open a Company in Madrid: Step-by-Step
1. Obtain a NIE (Foreigner ID Number)
Essential for all shareholders and directors. We offer urgent NIE appointments in Madrid.
2. Reserve a Company Name (RMC Certificate)
Choose and register your business name with the Registro Mercantil Central.
3. Open a Business Bank Account
Deposit the €3,000 minimum share capital and obtain the bank’s certificate.
4. Draft the Bylaws and Sign Notarial Deed
You or your legal representative sign at a Madrid notary. We handle this via POA if you’re abroad.
5. Register at the Mercantile Registry of Madrid
After notary, register your company at the Registro Mercantil de Madrid.
6. Request Your NIF (Tax ID)
Finalize your tax registration with the Agencia Tributaria.
💡 Our firm handles every step, with or without your physical presence in Spain.
🧾 Taxes When You Open a Business in Madrid
| Tax Type | Rate or Rule |
|---|---|
| Corporate Tax | 25% standard (15% for first 2 years) |
| VAT (IVA) | 21% (or reduced 10%/4% for some sectors) |
| Withholding Tax | 15% on freelancer invoices (IRPF) |
| Local Business Tax (IAE) | Only for turnover > €1M |
We register your business with Madrid’s local tax authority and Social Security, and can handle bookkeeping, VAT, and payroll.
🧑💼 Hiring Employees in Madrid
If you hire locally:
-
Register with Tesorería General de la Seguridad Social (TGSS)
-
Draft proper employment contracts
-
Understand labor law and union rules
-
Withhold taxes and pay employer contributions (~30%)
💡 We draft contracts, handle registrations, and manage payroll legally.
🏢 Office Setup in Madrid: What You Need
You’ll need a physical or virtual address in Madrid to register your company.
Options:
-
Lease commercial office space (Centro, Chamartín, Salamanca)
-
Use a coworking or domiciliation service
-
Register at your home address (case-by-case)
💡 We assist in reviewing commercial leases and ensuring addresses meet licensing rules.
🛂 Residency Through Business in Madrid
Company formation may support your immigration plans:
-
Self-employed visa (Autónomo)
-
Entrepreneur Visa for innovative projects
-
Digital Nomad Visa for remote work income
-
Investor Residency if linked to Spanish business operations
💡 We offer combined packages: company + visa + legal setup.
🚀 Popular Business Sectors in Madrid
✔️ Consulting & B2B services
✔️ Real estate investment & property management
✔️ E-commerce & logistics
✔️ Hospitality & food franchises
✔️ Finance & fintech
🛡️ Our Legal Services in Madrid
We help foreign entrepreneurs:
✅ Open an SL or register as autónomo
✅ Obtain NIE, NIF, and handle tax registration
✅ Draft bylaws, POA, and notarial setup
✅ Ensure compliance with labor, tax, and regulatory law
✅ Provide accounting, payroll, and annual returns
📞 Open Your Company in Madrid with Confidence
Our experienced legal team makes opening a business in Madrid smooth, fast, and secure — from abroad or locally.
👉 Contact us now to launch your company in Madrid with full legal support.