It is very common to hear that a particular country offers unbeatable opportunities to invest or do business. However, this is not always tangible. In the case of Spain, it is possible to distinguish a number of powerful reasons why it is interesting to develop a business. But it is important that, in these difficult times, we take into account both the pros and cons of starting a business in our country.
OPENING SLOW AND COMPLEX BUSINESS
At a first glance at the situation of business openness, you will find that the development of a business in the different regions of the Spanish territory is difficult. And in Spain, opening a business is slower and more complex than the European Union average.
The World Bank, in its index “Doing Business Spain 2015”, says so. This index measures the ease of one or the other zone for business development (days that are needed to open, and close, a business, bureaucratic procedures, costs, etc.). Within the difficult Spanish panorama, however, you should not lose sight of La Rioja, Navarre and Madrid, the communities where you will find more facilities to Opening a business in Spain and set up your business. On the contrary, it will be difficult in Aragon and Galicia, places where you will find more impediments.
AID FOR THE CREATION OF COMPANIES
In favor is that the General Directorate of Industry and the area responsible for the attention to SMEs publish periodically the aids available for the Opening a business in Spain. These financing channels are divided according to the productive sectors and between the categories of aid and incentives. These lines are complemented by the European Aid and Incentive Programs.
LOWER STARTING COSTS FOR SELF
On the other hand, you must also ask the convenience of a business development as an autonomous and as a limited partnership. Briefly, if you choose to be self-employed, the costs of starting up your business and maintenance, as well as the formal documentation obligations, will be lower. But a limited partnership will be more profitable in the area of tax relief.
One of the most ambitious measures taken in our country to promote entrepreneurship is that under the Entrepreneurship Law 2013, new self-employed professionals only pay 50 euros as a contribution to Social Security during the first six months of activity. After that time, they will pay 50% of the quota during the next 18 months. Thus, until two years elapse, the definitive amount is not paid.
DEDUCTIONS OF EXPENSES TO OPENING A BUSINESS IN SPAIN
They are a very important element because they allow to deduct according to what expenses of the daily management of a company or business. In this sense, not a few invoices derived from business trips can be deducted (the VAT part, it is understood). This also applies to buying commercial vehicles and office expenses. Recently, there are also deductions for the hiring of new employees (with lower Social Security contributions for a limited time by indefinite contracting).
LACK OF SOCIAL RECOGNITION AND SUPPORT FOR ENTREPRENEURS
As for the aid and supports that you can find today as an entrepreneur, and that would alleviate certain basic costs such as business travel in the opening moments of business opening, the news is not very encouraging. According to the North American marketing company Amway, Spain ranks ninth by the tail in relation to the social recognition and support to the entrepreneurs of the different countries. The overall average of empathy with the entrepreneur stands at 50%, remaining at 33% in Spain.
Nevertheless, there are notable cases of entrepreneurial success, such as the founder of the sustainable publishing of children’s literature “Cuento de luz”, the creator of “El tenedor”, an important gastronomic guide in Spain, or the founder of Clintu .es, a “startup” dedicated to hiring home cleaning professionals.
EXISTENCE OF “BUSINESS ANGELS”
In addition, in Spain can also count on the figure of “business angel” (godfather or investor). For example, Asban, Asturian Business Angels Network, puts entrepreneurs in contact with innovative business angels. The association “Mentor day” for its part, offers training, support and financing for entrepreneurs
DOOR OF ENTRY TO LATIN AMERICA
We can not forget that the Iberian peninsula is considered the gateway to Latin America, which can lead to a range of business possibilities if you focus your proposals well. Corporate travel can leave our country to the other side of the pond.
VISA PROCESSING FOR FOREIGN ENTREPRENEURS
The Law of Entrepreneurs also offers interesting advantages for foreign professionals and businessmen. Investors received