The usual private vehicle in Spain is the Sociedad Limitada (SL), a limited-liability company suited to small and medium businesses.
Get your NIE first
Foreign founders and directors generally need a NIE (Número de Identidad de Extranjero) before they can act. This is a frequent first bottleneck and worth starting early.
Name certificate and capital
You request a company-name certificate from the Registro Mercantil Central confirming the name is available. The traditional minimum capital was €3,000; reforms under the 2022 "Crea y Crece" law allow incorporation from €1, subject to reserve and creditor-protection rules until the capital reaches €3,000.
Notarial deed and registration
The deed of incorporation (escritura) is signed before a notary, then filed with the provincial Registro Mercantil. The company obtains a tax identification (CIF) from the tax agency (AEAT).
Bank deposit and VAT
Cash capital is deposited in a Spanish bank account, and the company registers for VAT (IVA) and, where relevant, the census of business activity.
For foreign founders
Spain is popular for European expansion, but the NIE, notarial signing, and bank steps reward local coordination. A verified Spanish colleague can obtain the name certificate, prepare the escritura, and confirm whether the €1 or €3,000 route fits the plan.
Capital rules shifted recently — verify the current regime with admitted Spanish counsel.