Investors who set up a financial company in Spain have to follow the regular steps for company registration in the country and the regulations imposed by the main financial supervisory authorities. These rules are divided based on specific sectors and the investors who want to open a company in Spain in the financial sector need to observe them. Our team of specialists in company formation in Spain can offer in-depth assistance on the structure of the legal framework available for this economic field.
Table of Contents
How to open a Spanish financial company
To set up a financial company in Spain, investors observe the general rules for corporate registration with the Business Registry, followed by the proper license applications with the financial sector regulators.
In most cases, a company that will provide financial services will be incorporated as a corporation. This is suitable for large businesses and the partners responsibility is limited to their capital contributions.
A short step-by-step guide on company formation in Spain for the corporation is presented below by our team:
- Choose a company name: this must be unique and it will include the abbreviation “S.A.”;
- Prepare the incorporation documents: the constitutive documents can be drawn up with the help of our local experts;
- Decide the shareholding structure: the S.A. must have at least 1 founder and an executive body;
- Register the new company: this is done with the Mercantile Register and our team can give you more details.
The regulatory framework for Spanish financial companies
Given the fact that the regulatory framework is divided into specific financial activities, investors interested in starting the procedure of company formation in Spain are required to respect the provisions prescribed by specific local institutions.
The financial system in Spain is divided into three main categories, as follows:
- banking institutions;
- investment companies;
- insurance companies.
The main supervisory authority for banking institutions is the European Central Bank (ECB), following the introduction into the national legislation of the Eurozone Single Supervisory System (SSM). However, the main legal procedures for the supervisory activity in the field still belong to the local national bank – the Bank of Spain.
ECB is in charge of licensing banking companies in Spain and with prudential supervision. Investors who want to set up a banking company in this country are invited to address our team of agents who handle company registration in Spain for further assistance on the requirements.
Financial companies in Spain that require licensing
The financial sector in Spain is also regulated by the National Securities Market Commission (CNMV), established under the Securities Market Law 24/1988.
Investors who follow the procedure for company registration in Spain may choose to set up:
- savings banks;
- finance houses;
- branches of foreign banks (registered in or outside the European Union);
- investment funds;
- insurance firms;
- investment or stock broker companies.
In addition to financial companies that require licensing, crypto service providers also have to follow the rules for registration and the manner in which they market their products.
The setup and licensing rules for those who set up a financial company in Spain apply to local and foreign investors alike. Foreign businessmen may find further information on the financial system available in this country from our team of consultants in company formation in Spain.
General licensing requirements for Spanish financial companies
The licensing requirements depend on the type of business the company will conduct in Spain. As a result, the process is different for credit institutions, compared to other licensed banking services providers or investment firms.
Below, our experts in company formation in Spain summarize the main requirements that must be fulfilled in order to acquire a banking license from the Bank of Spain:
- Incorporate a public limited company;
- Provide proof of meeting the minimum capital requirements for the company;
- Offer a clear indication that the activities are limited to banking ones;
- Provide information on the shareholder’s qualifications and the appointment of the management board;
- Give details on the company’s registered address in Spain, its internal administrative procedures, and reporting compliance; Our accountants in Spain can give you details about the requirements that apply to banks;
- Prove that the entity meets the relevant anti-money laundering laws.
The requirements for banks and credit institutions in Spain include, but are not limited to the list above. Foreign investors who set up a company in Spain that will provide banking solutions can reach out to us for information on the licensing process for a branch or a subsidiary.
Statistical data on Spanish financial companies
Our team presents a set of statistical data issued by the Bank of Spain in November 2024:
- During the first and second quarters of 2024, there were 35 companies operating as registered credit financial intermediaries;
- The total number of deposit-taking institutions in Q2 2024 was 184;
- Out of the total deposit-taking institutions, 108 were Spanish companies and 76 were branches of foreign entities.
Please contact our experts for professional consultancy services related to company formation.