Spain vs France
France is £24 cheaper in year 1. Both cost about the same each year after that.
| SpainSociedad Limitada (SL) | FranceSAS / SASU | |
|---|---|---|
| Costs | ||
| Minimum, year 1 | £503 | £479 |
| Minimum, per year after | £280 | £288 |
| Typical year 1 | £2,569 | £3,154 |
| Government fee | £85From about €97 (name certificate, registry and BORME) | £46€53.16 (€33.83 registration plus €19.33 beneficial owner declaration) |
| Indirect setup | £138–1,415 | £145–1,585 |
| Running per year | £280–3,135 | £288–4,198 |
| Share capital | €1 | €1 |
| Rules | ||
| Directors | No local directorEvery foreign director and shareholder needs a tax ID (NIE). | No local director |
| Remote setup | Through a providerSign at a notary in Spain or by power of attorney. You also need a Spanish registered address. | Through a providerOnline through the guichet unique. Non-residents usually need a local adviser. |
| Audit | No audit below size thresholds | No audit below size thresholds |
| Time to form | 2 to 4 weeks | 1 to 3 weeks |
| Ease for foreign owners | 2/5 | 2/5 |
| Tax and banking | ||
| Corporation tax | 19% / 25%25%. Companies with turnover under €1m pay 19% on the first €50k and 21% above. New companies pay 15% in their first two profitable years. | 15% / 25%25%, or 15% on the first €42,500 for small companies. |
| Dividend withholding | 19% dividend withholding, 10% for UK residents. | Dividend withholding is 25% to companies and 12.8% to individuals. |
| VAT / GST | 21% | 20% |
| Banking | 2/5You need a Spanish bank certificate for the capital deposit. | 2/5You need a capital deposit account before registering. Slow for non-residents. |
| All company setup fees in Spain | All company setup fees in France | |
Questions
Is Spain cheaper than France for company setup?
No. France is cheaper, at least £479 in year 1 against £503 for Spain.
Which is cheaper to run each year?
They cost about the same, at least £280 a year in Spain and £288 in France.
Which needs a local director?
Neither. You can run a company in either without a local director.
Which is faster to set up?
France, in 1 to 3 weeks. Spain takes 2 to 4 weeks.
How does corporation tax compare?
Spain: 25%. Companies with turnover under €1m pay 19% on the first €50k and 21% above. New companies pay 15% in their first two profitable years. France: 25%, or 15% on the first €42,500 for small companies.
Sources: PwC · Legalitas · Ayuda T Pymes · Taxfix · Infogreffe · economie.gouv.fr · service-public.fr