🌟 Why Start a Company in Madrid?
Madrid is Spain’s political, financial, and legal capital — making it a strategic place to launch a business that targets the national market or operates internationally.
✅ Spain’s most connected city for business travel
✅ Ideal for finance, consulting, tech, and trade
✅ Highly educated workforce and infrastructure
✅ Access to embassies, government bodies, and national clients
✅ Thriving expat and investor ecosystem
🏢 What Type of Company Should You Form?
| Company Type | Ideal For |
|---|---|
| SL (Sociedad Limitada) | Most common – flexible and tax-efficient |
| Autónomo | Solo consultants, freelancers |
| SA (Sociedad Anónima) | Larger ventures or shareholder-driven firms |
| Branch/Subsidiary | Foreign companies expanding into Spain |
💡 For most entrepreneurs, the SL is best for combining liability protection with tax and growth flexibility.
📝 Step-by-Step: Forming a Company in Madrid
1. Obtain a NIE (Foreigner ID)
Required for all foreign directors, shareholders, and signatories. We fast-track this process in Madrid.
2. Get a Company Name Certificate
Apply through Registro Mercantil Central.
3. Open a Spanish Business Bank Account
Deposit €3,000 share capital for the SL and obtain a bank certificate.
4. Sign Notarial Deed of Incorporation
This can be done in Madrid or remotely via Power of Attorney (POA).
5. Register the Company at Madrid’s Mercantile Registry
Completes the legal formation process.
6. Request Company NIF (Tax ID)
Register with Agencia Tributaria to activate your business fiscally.
💡 We offer end-to-end remote formation services, including full POA, bilingual bylaws, and company setup.
💶 Tax & Compliance in Madrid
| Tax Type | Rate / Requirements |
|---|---|
| Corporate Tax | 25% (15% for new companies for 2 years) |
| VAT (IVA) | 21% standard; reduced rates apply in some sectors |
| Freelancer IRPF | Up to 47%, but deductible expenses apply |
| Withholding Tax | 15% on professional invoices |
💡 Our tax lawyers ensure full compliance with quarterly/annual filings, bookkeeping, and payroll.
👥 Hiring Employees in Madrid
To hire legally, you must:
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Register as an employer with Tesorería General de la Seguridad Social
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Draft compliant labor contracts
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Set up monthly payslips and tax withholdings
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Calculate employer contributions (~30%)
💡 We manage employee contracts, payroll setup, and Social Security onboarding.
🏢 Choosing a Business Address in Madrid
Options include:
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Traditional office spaces (e.g. Salamanca, Chamberí, Retiro)
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Coworking offices (WeWork, Utopicus, Impact Hub, etc.)
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Virtual offices for remote businesses
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Home registration (limited by zoning and activity)
💡 We handle lease reviews, zoning analysis, and business license applications.
🛂 Residency via Company Formation
Starting a business in Madrid can support these residency paths:
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Self-employment permit
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Entrepreneur visa (for tech and innovation-based projects)
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Investor residency (if investment meets threshold)
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Digital Nomad Visa (for remote-income founders)
💡 We offer dual packages — company formation + immigration support.
🚀 Business Opportunities in Madrid
✔️ Financial consulting & legal services
✔️ Real estate & relocation businesses
✔️ International trade & import/export
✔️ Health, wellness & education
✔️ SaaS and digital platforms
⚖️ Our Legal Services in Madrid
✅ SL, SA, autónomo formation
✅ NIE, NIF, POA & bilingual incorporation
✅ Tax registration, bookkeeping, and VAT
✅ Labor law, employment contracts, and payroll
✅ Legal address setup and licensing
✅ Business-linked immigration services
📞 Start a Company in Madrid with Expert Legal Support
We help entrepreneurs, investors, and consultants build businesses in Madrid — from structure to residency — all with full legal compliance.
👉 Contact us now to launch your company in Madrid with confidence.