Spain Entrepreneur Visa: A Complete Guide

Overview of the Spanish Startup Visa

The Spanish Startup Visa, or Spain ENtrepreneur Visa, is designed for non-EU entrepreneurs who want to establish an innovative business in Spain. This visa grants residency while allowing entrepreneurs to develop their business in a thriving European market. The program is part of Spain’s broader initiative to attract talent, boost innovation, and position itself as a leading startup hub.

Why Choose the Spanish Startup Visa?

Fast-track residency: Applications are processed within 30-45 days.
Access to EU markets: With Spanish residency, you can travel freely within the Schengen Area.
Support for startups: Spain has numerous incubators, accelerators, and government incentives for entrepreneurs.
Tax benefits: Entrepreneurs may qualify for reduced corporate tax rates under Spain’s Startup Act.
High quality of life: Spain offers a vibrant culture, excellent healthcare, and a relatively low cost of living compared to other Western European countries.

Requirements for the Spanish Startup Visa

To qualify for this visa, you must meet the following criteria:

Non-EU citizenship
Innovative business plan: Your startup must be classified as innovative and demonstrate growth potential.
Sufficient financial means: You must have at least €2,400 per month (200% of IPREM) for personal living expenses, plus €600 per month per dependent.
Valid health insurance
No criminal record (certificate required from all countries lived in the last five years)
Business incorporation in Spain (or proof of intent to incorporate after visa approval)

Types of Visas for Entrepreneurs in Spain

Startup Visa: Designed for non-EU entrepreneurs who want to establish an innovative business in Spain.
Self-Employed Work Visa: For individuals who want to start a traditional business that does not necessarily meet innovation criteria.
Investor Visa (Golden Visa): Requires a minimum investment of €500,000 in real estate or significant financial investments.

Application Process for the Spanish Startup Visa

Prepare Your Business Plan: Must be detailed and show innovation, economic viability, and job creation potential.
Submit Your Business Plan for Evaluation: The Spanish Economic and Commercial Office or UGE (Large Companies Unit) will assess your proposal.
Gather Required Documents:
Valid passport
Completed visa application form
Business plan (approved by UGE or ENISA)
Proof of sufficient funds (bank statements, investor letters, etc.)
Private health insurance coverage
Criminal background check (not older than 90 days)
Proof of professional qualifications (if applicable)
Apply for the Visa: Submit your application at the Spanish consulate in your home country or directly in Spain if you’re already legally present.
Visa Processing (30-45 Days): If approved, you’ll receive a residence permit valid for three years, renewable for two more years.
Register Your Business in Spain: Obtain a NIE (Foreigner Identification Number), register with tax authorities, and open a business bank account.

Tips for a Successful Application

Ensure your business is truly innovative: Focus on technology, sustainability, or a niche market.
Have a well-documented financial plan: Demonstrate clear revenue projections and sustainability.
Seek local partnerships: Collaboration with Spanish businesses or universities can strengthen your application.
Get professional legal advice: Work with immigration lawyers or business consultants to navigate Spanish bureaucracy.

Financial Implications

Cost to Obtain the Visa

Visa application fee: €60-€80 (varies by country)
Legal consultation fees (if applicable): €1,000-€3,000
Business registration and setup costs: €1,000-€3,000
Health insurance: €500-€1,200 per year

Tax Implications & Benefits

Corporate Tax: New startups can benefit from a reduced 15% corporate tax rate (instead of the standard 25%) for the first four years of profitability.
Personal Income Tax: As a resident, you will be taxed on worldwide income unless you qualify for the Beckham Law, which caps tax rates at 24% on Spanish income up to €600,000 for five years.
VAT (IVA): Standard 21% VAT applies to most goods and services, but certain startup-related costs may be tax-deductible.

Pros and Cons of Living in Spain with a Startup Visa

Pros:

Lower cost of living than other EU startup hubs (Berlin, Paris, London)
Access to a growing tech ecosystem and startup funding
Great weather, lifestyle, and healthcare system
Easy travel within the EU Schengen Zone

Cons:

Bureaucracy can be slow and complex
High taxes on global income if not structured correctly
Spanish language skills may be necessary for business operations

Best Cities to Live for Entrepreneurs in Spain

Barcelona – Spain’s top startup hub, home to international tech companies and accelerators.
Madrid – The capital offers strong networking opportunities and access to investors.
Valencia – A growing tech scene with lower living costs.
Málaga – Emerging as a tech hub with great quality of life.
Bilbao – Known for innovation in industrial and digital sectors.

Conclusion

The Spanish Startup Visa is an excellent option for non-EU entrepreneurs looking to establish a business in Spain. With fast processing times, access to EU markets, and growing government support for startups, Spain is becoming an attractive destination for global entrepreneurs. However, applicants must navigate bureaucratic hurdles and ensure financial preparedness to maximize their success.

FAQs

How much is a startup visa in Spain?There is no specific fee for the visa itself, but applicants must prove they have sufficient financial resources to support themselves. Typically, you need at least €2,400 per month (200% of Spain's IPREM) plus additional funds for dependents.
What is a Spain entrepreneur visa?The Spain Entrepreneur Visa (also called the Startup Visa) is a residence permit for non-EU entrepreneurs who want to launch an innovative business in Spain. The business must have high growth potential, create jobs, and contribute to the Spanish economy.
What visa do I need to start a business in Spain?Non-EU citizens can apply for the Entrepreneur Visa (Startup Visa) if their business is innovative. Alternatively, they can apply for a self-employed work visa if their business is not considered innovative.
How do I register a startup in Spain?To register a startup, you need to:

Choose a legal structure (e.g., SL – Sociedad Limitada).
Get a NIE (Foreigner Identification Number).
Register the company name with the Commercial Registry.
Draft the Articles of Association.
Open a business bank account.
Register for taxes and social security.

Can a foreigner start a business in Spain?Yes, non-EU citizens can start a business in Spain by applying for a Startup Visa (for innovative businesses) or a self-employed work visa (for traditional businesses). EU/EEA citizens can start a business without a visa.
Is a Spain visa easy to get?The Startup Visa process is relatively streamlined compared to other visas, with approval in about 30-45 days if the business plan meets Spain’s innovation criteria. However, it requires a solid business proposal and sufficient funds.
How difficult is it to start a business in Spain?Spain ranks moderately in ease of doing business. While bureaucracy can be challenging, the Startup Act has simplified some procedures, especially for tech and innovation-driven businesses.
How long does it take to get a business visa in Spain?The Entrepreneur Visa (Startup Visa) is processed in 30-45 days if submitted through the Large Companies Unit (UGE). A self-employed visa can take 2-3 months.
Can I live in Spain if I own a business?Owning a business does not automatically grant residency. However, non-EU citizens can apply for a Startup Visa or a self-employed visa to live in Spain legally while managing their business.
Does Spain have a Golden Visa for entrepreneurs?Spain’s Golden Visa is primarily for investors (€500,000+ in real estate or other investments). Entrepreneurs can instead apply for the Startup Visa, which provides residency based on an innovative business plan.