Hi?
My fianc? and I are currently in the initial processes of starting a business in Spain with 2 other partners that are from the EU, but not particularly from Spain.  We are both American citizens and plan to work in the business once it opens.  At the moment, a property for the business has been secured with a deposit and we plan to go to Spain this coming January to sign the papers before the notary, open the business bank account, and submit the paperwork for the business to be registered (a Gestoria is helping us with this process).  We are aware of most if not all the steps that need to be taken, however, the sequence and details of each step for our particular situation is unclear.  We plan to open the business sometime in May of 2011 and we still need to get the NIE and visas.  Therefore, we have the following load of questions:

In what sequence should the following items be attained (NIE, Visa, Register Business before a notary)? In other words, do I need the NIE before I sign the paperwork before the notary, open the bank account, or is the NIE only required before we actually start physically working?

What would be the fastest way to get the NIE?  Considering that I will be in Spain on the last week of January to sign before the notary, I only have a few weeks from now till then to get the NIE.

On the NIE application, it requires to show proof of the motive of the request.  If the NIE is required before the business is created and the visa is issued, what documentation would be included with the paperwork for the NIE? 

Because we will work in the business and do not plan on hiring other employees, my understanding is, we would be considered self-employed and are required to pay social security on a monthly bases.  What is the minimum a self-employed individual has to pay monthly for social security?  Are there other options here where we wouldn?t be required to pay social security?

Are we required to have health insurance to live in Spain? 

I hope that I have given enough details. If you have any questions or require additional information, please let me know.

Thanks to all?

Arod

Arod,

Not to shatter your hopes, but you are heading into trouble.  I would suggest that you try to postpone your visit with the notary.  Before you will be able to secure any property or establish your business you will need an NIE and all of your business partners will also need one.  The NIE process can take upto 9 months depending on the method.  I am married to an EU citizen (thus the fast track) and took 8 weeks from the date of our marriage.  An NIE is similar to a US Green Card.  You need one to do about anything and they are hard to get.  They also replace the need for a visa. 

I am not sure of your financial situation but this is the main point if you are trying to open a business in Spain.  You must prove to the Spanish Government that you have suffecient resources to support your family and start your business.  I have been told that suffecient resources is a minimum of 150,000 Euro cash in a bank account and debt free.  Before my marriage I tried to get a one year non-working residency permit (VISA) to live in Spain, I was told I need to have atleast 100,000 Euros in a bank account. 

It would be helpful to know where in Spain and what type of business you plan to run.  However, one way you can think about doing this is to creat a US company that would own a subsidary company in Spain.  Your US company could then transfer you to work in Spain and request the proper working visa.  Again this takes time, but if you are not rich this might be the only way. 

Concerning your questions on self-employment and social-security, it depends on what structure you will create.  For the best info on this in eglish look at Barcelona Activa (a business incubator),  http://www.barcelonanetactiva.com.  They have tons of info.  If you will be in or around barcelona on your visit it would be worth it to stop in or attend one of the welcome sessions.  But in general if you are self-employed you have to pay social security monthly of about 250 Euros and the tax rate is very high.  It would be wise to set-up a S.L. or a S.A. depending on your startup resources.  Then the tax rates change, but you will always pay social security.  Note that Social Security is not the same as in the US.  It covers unemployment, medical, retirement, etc.  Thus, once you are a legal resident you have free health care and no need for health insurance.  You may however, need to have some type of helth insurance depending on the type of VISA you may be requesting.

Hope this helps and don’t get discouraged.  This is just the first step to see if you have what it takes to live and work in Spain.  Look all around the Barcelona Activa site.  It will help alot in understanding the business atmosphere here.  And get your NIE before you do anything else.

Best of luck,

Bdj108

Thanks so much for taking the time to respond.  My plan is to apply for the NIE in person (Alicante, Spain) and pray that the number is issued in no later than 2 weeks time.  My understanding is, if I apply from the USA, it can take several months.  Once the number is issued, then I will meet with the notary.  I wonder though, if applying in Madrid or Barcelona instead of Alicante, if the NIE process would be expedited further.

Thanks again?

They used to be issued on the same day in the main offices like Alicante city.