Registering a Tech Startup in Spain in 2025-26: Complete Guide

Spain is becoming an increasingly popular destination for tech startups. With its vibrant innovation hubs, a growing talent pool, and access to the European market, the country offers immense opportunities for budding entrepreneurs. However, setting up a tech startup in Spain requires a clear understanding of the legal, administrative, and financial steps involved.

This guide walks you through everything you need to know about registering your tech startup in Spain, ensuring a smooth and compliant process.

Why Choose Spain for Your Tech Startup?

Before diving into the registration process, let’s take a moment to understand why Spain is a magnet for startups:

• Booming Tech Ecosystem: Cities like Barcelona, Madrid, and Valencia host thriving tech hubs with a strong network of accelerators, incubators, and investors.
• Access to Talent: Spain’s universities and tech schools produce skilled professionals in IT, engineering, and business.
• Government Support: The Spanish government offers incentives and grants for startups, including the recently introduced Startup Act.
• Lifestyle and Culture: Affordable living costs, a pleasant climate, and a work-life balance make Spain an attractive destination for entrepreneurs.

Now that you’re convinced of Spain’s potential, let’s explore the process of registering your tech startup.

How to Establish a Tech Startup in Spain?

Step 1: Choose Your Business Structure

The first step in registering your tech startup is deciding on the right business structure. In Spain, the most common legal entities for startups are:

1. Sole Proprietor (Autónomo): Ideal for freelancers or small operations. Limited liability protection is not provided.
2. Limited Liability Company (Sociedad Limitada, SL): The most popular choice for startups, offering limited liability to founders.
3. Public Limited Company (Sociedad Anónima, SA): Suitable for larger businesses or those planning to raise significant capital.
4. Branch Office or Subsidiary: For international companies expanding into Spain.

For most tech startups, the Sociedad Limitada (SL) is the preferred option due to its simplicity, tax benefits, and limited liability protections.

Step 2: Obtain a NIE (Foreigner Identification Number)

If you’re a foreigner, you’ll need a NIE (Número de Identificación de Extranjeros) to conduct any legal or financial activity in Spain. Here’s how to get one:

1. Apply at a Spanish consulate in your home country or visit a local police station in Spain.
2. Complete the EX-15 application form and provide your passport and supporting documents.
3. Pay a small fee (around €10) and wait for the NIE issuance.

Step 3: Choose a Name and Register It

Your startup’s name must be unique and not already registered in Spain. To secure your company name:

1. Visit the Mercantile Registry (Registro Mercantil Central) website.
2. Submit a request for a Certificate of No Similar Name (Certificación Negativa del Nombre).
3. Wait for approval, which usually takes 2-3 business days.

Once approved, your company name will be reserved for a limited time.

Step 4: Draft and Notarize Your Company’s Constitution

To officially form your company, you’ll need to draft its Articles of Association (Escritura de Constitución), which outline:

• Business objectives
• Shareholder details
• Initial capital contribution
• Governing rules

After drafting, the document must be notarized by a Spanish notary. This is a legal requirement and ensures the authenticity of your startup’s constitution.

Step 5: Open a Business Bank Account

You’ll need a corporate bank account to deposit your startup’s initial share capital, which for an SL is a minimum of €3,000. The bank will provide a certificate confirming the deposit, which is required for company registration.

Step 6: Register Your Company with the Commercial Registry

With your notarized Articles of Association and bank certificate in hand, proceed to register your company at the Commercial Registry (Registro Mercantil Central). This step involves:

1. Submitting the required documents.
2. Paying the registration fee.
3. Waiting for approval, which can take 2-4 weeks.

Upon registration, your company will be assigned a unique tax identification number (CIF).

Step 7: Register for Taxes

Every business in Spain must register with the Tax Agency (Agencia Tributaria) to obtain a CIF (Corporate Tax Identification Number). You’ll need to:

1. Complete the 036 or 037 tax form.
2. Indicate your company’s tax regime.
3. Submit the required documents, such as your NIE, Articles of Association, and Commercial Registry certificate.

Step 8: Register for Social Security

If your startup has employees or if you’re self-employed, you’ll need to register with the Social Security System (Tesorería General de la Seguridad Social). This ensures compliance with labor laws and provides benefits like healthcare and pensions for your employees.

Step 9: Understand Employment Regulations

Spain has strict labor laws, so it’s essential to understand the following:

• Employment Contracts: Must be in writing and registered with the Ministry of Employment.
• Social Security Contributions: Employers contribute a percentage of each employee’s salary.
• Minimum Wage and Benefits: Ensure compliance with Spain’s minimum wage regulations and mandatory employee benefits.

Step 10: Explore Grants and Incentives

The Spanish government and EU offer several grants, tax incentives, and funding programs for startups. Examples include:

• Startup Act: Offers tax breaks, easier visa processes, and reduced social security contributions for startups.
• ENISA Loans: Government-backed loans for innovative startups.
• Horizon Europe: EU funding for research and innovation projects.

Research these opportunities to give your tech startup a financial boost.

Step 11: Build Your Network and Leverage Tech Hubs

Once your startup is registered, immerse yourself in Spain’s tech ecosystem. Attend networking events, join coworking spaces, and collaborate with accelerators and incubators like:

• Barcelona Tech City
• South Summit (Madrid)
• Lanzadera (Valencia)

These platforms offer mentorship, funding opportunities, and access to industry experts.

Final Thoughts

Setting up a tech startup in Spain may seem daunting, but with a clear plan and the right resources, it’s a manageable process. The country’s supportive ecosystem, combined with its strategic location in Europe, makes it an ideal destination for launching and scaling your tech venture.

Take advantage of Spain’s unique opportunities, navigate the registration process step by step, and set your startup on the path to success.

By following this guide, you’re not just starting a company – you’re joining a dynamic community of innovators transforming Spain into a global tech hub. Ready to take the leap? The future of your tech startup awaits! Schedule your call with  OnDemand International’s Spanish desk today.