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Company Formation Spain



Establish a Branch in Spain

Updated on Tuesday 19th December 2017

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establish a branch in spain.jpgEven though is considered a permanent establishment and must pay the same taxes as a local corporate body, a branch established in Spain is not considered a legal entity.

The responsibilities for its actions are assumed by the foreign parent company, which must present its own reports of losses and profits and balance sheet at the Spanish authorities every year. The branch opened in Spain must keep its own books and must deposit financial statements and pay VAT like any ordinary Spanish company.

There is no need to subscribe a minimum share capital at registration of the Spanish branch. The currency used in every financial transaction is the Euro.

The Spanish branch has limited powers and cannot take certain decision without the approval of the foreign company, for example it cannot acquire shares in another company in the name of the foreign company without its consent.

More details on how to establish a branch in Spain are available in the video below: 


The registration of a branch in Spain


The registration of a branch in Spain is made on a public statement signed in front of a notary and which must include:

- the name of the branch (must be the same with the name of the foreign company with the termination “branch in Spain”),

- the registered office of the branch,

- the activities of the Spanish branch (must be the same with the activities carried by the foreign company),

- the branch’ representatives and their power.

Along with the deed, the representative must present the proofs of existence of the foreign company, the current articles of association, the lists with the directors, the minute of the meeting where the decision of incorporation was taken, the power of attorney of the branch’s representative, the share capital allocated to the branch (if there is any).

The official Spanish translation must be added to the above documents and must also be stamped with the Hague Apostille.

The above must be deposited at the Mercantile Registry, which will process it in maximum six working days.

The municipality must be notified regarding the beginning of business through a notification (known as declaracien responsible).

If the branch established in Spain is hiring employees, it must register those for the social security and local general treasury of social security.

The last step in registering a branch in this country is announcing the Delegacion Provincial de la Consejeria de Trabajo e Industria about the beginning of activities.

The process of registration of a branch in Spain depends of the degree of accuracy of the documents and information provided to the authorities and usually takes no longer than one month.

For details, you may contact our  company formation agents who may help you incorporate other types of companies too.


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I have had a very good collaboration with the specialists in company registration from CompanyFormationSpain.com. They answered to my requests rapidly and they managed to open a company in just a few days after I had sent all the required documents for my clients.

Cristian Darie, Partner of
Darie, Manea & Associates

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