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Simplified license application process for new businesses Extended

The new application process for licensed business activities in Spain, often referred to as the ‘express license’ process – which removes the requirement to apply for a license for specific types of establishment before commencing trading – is to be extended to new businesses with larger  premises.

The measure was introduced in 2012, initially for those premises smaller than 300 m2 with  the intention of removing red-tape and bureaucracy and thereby facilitate the creation of new businesses (and much needed jobs) in Spain. The new system would permit trading to commence within 15 days from starting the paperwork.

The new system meant that qualifying businesses would be required simply to obtain an intermediary permission stating that the premises complied with the relevant legal regulations which would allow them to start trading immediately. An inspection would be carried-out at a later date to ensure that the establishment complied with the relevant regulations.

Old System

Up to this point there had been two stages to obtaining the necessary approval to start trading: first, it was necessary to obtain a license for the establishment and then another license was required depending upon the activity being carried-out. Now this has changed and new businesses can start trading once they have made the necessary presentation to the effect that they  are compliant with the relevant regulations and  – where necessary –  a technical review, signed by an architect as well as payment of the relevant municipal charge.

The new system applies not just to brand new business concerns but also to those existing businesses that are changing hands. Those activities that it applies to include: butchers, fishmongers, fruit shops, greengrocers, bakeries, ice cream parlours, newsagents, hardware stores, furniture shops, drug stores, book shops, jewellers, real estate agencies, hairdressers office suppliers and more or less any other small retail concern.

As a result of the initial success of the project, the new measure was extended to include any new business with premises of up to 500 m2 as well as more activities including supermarkets, professional services such as lawyers, architects offices, repair shops, academies and small textile operatives.

According to the Government Minister responsible – Jaime García-Legaz – the new measure has permitted the opening of 7,000 more businesses than in the same period during the previous year.

The maximum size of the premises whereby a business may avail of the Express License process is to be increased to 750m2  and will pass into law once approved by Parliament.

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Lisa Gambino (May 14, 2020)

Business Licence Application

This service is available across Spain

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1Who is this Service for?

Opening and operating a business can often require the owner to obtain a license to carry-out the specific activity.

Sometimes, this is passed-on to the new owner, if purchasing an existing business, or if not, it may be necessary to make an application.

Where the business shall deal with the public, licence applications tend to be quite arcane and complex. Especially if the activity or service to be provided is dangerous in any way, such as certain sporting activities.

2What does this service consist of?

  • Initial discussion with a lawyer to understand the project you have in mind
  • Preparation of a report on the steps to be taken to initiate the activity and the likely costs involved, including an evaluation of the likelihood of success
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  • Follow-up services to include full tax and accounting service
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3Free Support Services Included

When combined with the free and innovative Advocate Abroad support services you can be sure that you are obtaining completely transparent legal services from registered and regulated English-speaking lawyers abroad.These support services include:

  • Verification of the regulatory status of your professional.
  • Fees as recommended by the Local Professional Body
  • Fees specified in advance and legally guaranteed.
  • Service levels agreed in advance and guaranteed.
  • All professionals must hold professional indemnity insurance.
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Business Set-Up

This service is available across Spain

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1Who is this Service for?

If you have already decided on the type of business you want to run, and where you wish to locate it, then the main decision you will need to make is whether you should set it up as a limited company or as a sole trader.

This can be extremely important as you can save a considerable amount of money depending on which option you choose. Both have benefits and drawbacks.

Self-employed is of course cheaper to set-up and less costly to manage since the reporting requirements are lesser than in the case of limited companies.

On the other hand, limited companies do limit your liability in the case of a claim against your business, which depending on the type of business could be the only reason you need to opt for this type of structure. Otherwise, a limited company is rather more flexible when there are a number of partners or when the company has other, more complex attributes.

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  • Make sure that the application is made in accordance with the requirements of the Commercial Companies Code. With the power of attorney you will have granted to us, on your behalf we will register your company at all Government institutions and offices required by law.
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Support services

3Free Support Services Included

When combined with the free and innovative Advocate Abroad support services you can be sure that you are obtaining completely transparent legal services from registered and regulated English-speaking lawyers abroad.These support services include:

  • Verification of the regulatory status of your professional.
  • Fees as recommended by the Local Professional Body
  • Fees specified in advance and legally guaranteed.
  • Service levels agreed in advance and guaranteed.
  • All professionals must hold professional indemnity insurance.
  • Professionals' proficiency in English monitored.
  • Continuous quality controls and reviews.
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We had some serious challenges in the beginning with the first apartment we wanted to buy and Beatriz went more than all the way to help - we felt so secure in her hands, and still do.

We will continue to use her service and promote her to anyone who needs a lawyer.

Beatriz was recommended to us by a very good (Danish) friend in Spain and was he right :-) So we give her our best recommendation."

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Tax & Accounting Services

This service is available across Spain

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1Who is this service for?

Anyone undertaking a business activity via a limited company will require a local tax and accounting service.

While you will benefit from not having to worry about whether or not you are compliant with the legal requirements such as VAT returns, Corporation Tax, Income Tax etc. you can also relax in the knowledge that any communications received from the Tax Authority – often impenetrable to locals never mind foreigners – will be managed conveniently and efficiently by your accountant.

2What does this service consist of?

  • Financial accounting and reporting.
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Support services

3Free Support Services Included

When combined with the free and innovative Advocate Abroad support services you can be sure that you are obtaining completely transparent legal services from registered and regulated English-speaking lawyers abroad.These support services include:

  • Verification of the regulatory status of your professional.
  • Fees as recommended by the Local Professional Body
  • Fees specified in advance and legally guaranteed.
  • Service levels agreed in advance and guaranteed.
  • All professionals must hold professional indemnity insurance.
  • Professionals' proficiency in English monitored.
  • Continuous quality controls and reviews.

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