
Foreigners are allowed to
open a bank account in Spain at a
commercial bank of their choosing. This right is granted to natural persons relocating here for a longer period of time, but it is also available for persons who want to
open a company in Spain. It must be noted that businesses in the process of
registration in Spain are legally required to
open a corporate bank account, used for depositing the minimum share capital, but also for the company’s transactions.
Our team of specialists in company formation in Spain can present the process foreigners must follow when
opening a bank account. With regards to the
registration of a corporate bank account,
our consultants can present the list of documents investors must submit, as well as other criteria that they should satisfy in this case.
The corporate bank account, set up at any commercial bank in Spain
In this part of the article, we will focus on the steps investors must take when
opening a corporate bank account. This process is not very complex, but it does involves a set of documents and this is why we recommend foreigners to request full representation from
our team of consultants in Spanish company formation, who can provide assistance not only during the process of
setting up a bank account, but also during other incorporation steps.
One of the basic steps investors should take is to decide on the
commercial bank where they want to open their
bank account. There are numerous options in this sense, the
Spanish market being represented by
privately held banks, but also by
state held banks. Financial institutions operating at a global level are also present here and they operate through
subsidiaries or branch offices.
As a general rule, most of the businesses prefer to set up their
bank accounts at
privately held banks, as the
state banking institutions are oriented to personal savings or to credit schemes. Foreign businessmen who want to
open a company in Spain have to be aware that all
banks operating here are allowed to charge fees for their services, including for ATM withdrawals.
The yearly
maintenance of the bank account is also charged with a fee, depending on type of account, but the maximum rates that
commercial banks can charge are regulated by the
Bank of Spain. Investors must also expect to pay fees for transfers registered from the respective accounts.
Documents for opening a Spanish corporate bank account
When
opening a bank account in Spain, businessmen will have to provide their personal identification documents, but also the company’s statutory documents, which vary based on the business form selected for incorporation (limited liability companies are incorporated based on the
articles of association, while partnerships are set up based on a partnership agreement). The company’s representatives should also provide additional documents that were issued prior to
opening of the bank account.
For example, the procedure for company formation in Spain starts by applying for a trading name, applying for a foreigner tax identification number, registering the company with the Mercantile Registry, obtaining the company’s tax identification number, preparing the statutory documents, these being the basic incorporation procedures. After these are finalized, the investors can proceed to opening a bank account in Spain.
When
opening a bank account in Spain for a newly-founded business, the first step that the investors must conclude once the account becomes operational, is to deposit the required capital, which varies depending on the selected legal entity. For example, in the case of a
limited liability company, the minimum share capital is of EUR 3,000. Once the investors have deposited the required capital, the
bank will issue a certificate which states that the
required capital was deposited in the account.
This is a necessary step during the procedure of
company registration in Spain, as after the minimum share capital is deposited, the investors will need to handle other incorporation steps, where the
certificate issued by the bank will be required. For instance, after this is completed, the
company’s representatives must sign the public deed of incorporation, a step that is performed with the assistance of a
public notary in Spain.
When this document is drafted and signed, the public notary will require from the company’s founders specific documents, such as company’s incorporation certificate, the documents issued by the tax institutions, but also the certificate issued by the bank where the account was set up.
In the case in which one wants to
open a company in Spain registered as a limited liability company, the minimum share capital must be deposited in full once the
bank account is set up. However, in the case of
joint stock company, which needs a minimum share capital of EUR 60,000, when
opening a bank account in Spain, the investors are required to deposit only 25% of the minimum capital.
The rest of the capital can be added later, but of course, if the investors have the total sum of money necessary, they can make a payment in full as well.
Our team of consultants in company registration in Spain can offer more details on other incorporation aspects applicable to this company type.
You can also rely on our team of specialists for in-depth legal assistance on how to start the process of opening a bank account in Spain in the case of those who want to operate a business through a sole trader (it is necessary to know that the Spanish law distinguishes between two types of sole traders, with different legal requirements).
What is the structure of the banking sector in Spain?
As we presented earlier, the
banking industry in Spain is represented by both private and state
financial institutions. Most of the
banks operating in Spain are
private banks, which are usually preferred by both local and foreign investors for
opening a bank account or for applying for credit. Currently, the industry is characterized by the following traits:
- • in 2018, the Spanish banking industry was represented by 12 major banking groups;
- • these 12 banking groups accounted for more than 90% of the entire banking industry;
- • they were divided in 3 main categories – 62 cooperative banks, 52 private banks and 2 savings banks;
- • the profitability of the banks operating in Spain increased, from 7.05% in December 2017, to 8.37% in December 2018;
- • the value of credits granted by banks also increased (mainly addressed to small and medium-sized companies and households) from EUR 272 billion in 2017 to EUR 293 billion in 2018;
- • deposits expanded as well, from EUR 1,018 billion in 2017 to EUR 1,061 billion in 2018.
How can foreigners open a bank account in Spain?
The right of opening a bank account in Spain is available for both natural persons and legal entities, who can be local residents or foreigners. A natural person who is a non-resident in Spain (the residency is defined under the Article 9 of the Law 35/2006 of 28 November 2006) is entitled to open a bank account in his or her name at a local commercial bank.
It must be noted that foreign natural persons can choose any of the commercial banks operating in Spain and, as a general rule, one must expect to provide the following documents for this action: the document attesting the applicant’s identity, a document showing the persons’ professional status (employed, self-employed, retired, student, etc.) and a document showing the person’s address (here, any type of document is allowed, including utility bills).
However, foreigners must also be aware that some
banks may request a certificate of non-residence, a document which can be obtained through the
Spanish consulate or the
Spanish police office closer to the place where the foreigner resides. Once the
bank account becomes operational, one should know that it provides the same benefits as the one available for locals, and there aren’t any differences in the
taxes or fees associated with the
usage of the account.
Foreigners also have the possibility of
opening a bank account in Spain in other currencies but, regardless of the currency selected,
local banks will require that the documents submitted by the applicant will be translated into
Spanish.
Our consultants in company registration in Spain can provide more information to foreign natural persons who want to
set up an account in their own name here.
As an individual who wants to have a Spanish bank account, there are several options in this sense. One can open a current account, which represents the standard type of bank account available here; foreigners can set up a savings account, which is created for the purpose of increasing the value of the account by adding a small percentage in the form of interest to the sum deposited in the account.
Individuals also have the possibility of opening a bank account in Spain as a deposit account, created to secure the money deposited in the respective account and the salary account, a type of account designed solely as a way through which an employer can pay the employee’s salary.
Foreigners must know that they can also
set up an online bank account and that the
bank accounts available for natural persons are divided based on the residency of the applicant (
Spanish resident or foreign resident), in which case, different documents will be required. Those who want to
open a personal bank account here or a
bank account for a newly founded business, are invited to
contact our team of specialists in company registration in Spain.