Features

Flexibility is one of the main hallmarks of this kind of company, since it gives the shareholders considerable leeway to define the S.L.'s internal rules of governance in the bylaws.

The minimum capital is €3,006 and must be fully paid in at the time of formation. The capital must be divided into shares (known as participaciones). In general, its shares cannot be transferred (unless to other shareholders, ascendants, descendants, or companies of the same group) unless otherwise provided in the bylaws.

Unlike an S.A., no independent expert's report is required for non-cash contributions. The shareholders' meeting is the ultimate managing body and has authority to appoint and remove the directors of the S.L. The executive management body of an S.L. is made up of one or more directors, who need not be shareholders or Spanish nationals.

Legal formalities to form an S.L.

Similar to an SA.

Cost

Similar to an SA.

Establishing a business in Spain (1758kb.)

Company and commercial law (2007kb.)

The Spanish financial system (3048kb.)

Accounting and audit issues (2121kb.)

Prepared by Garrigues

Last updated: 10|12|2009