- 17 October, 2018
- Creado por: Paul Urrutia
- Categoría: Doing business in Spain
Have you considered setting up a business in Spain with cash handling service? If you do not know what is this all about, you are in luck: we are going to tell you what this service consists of and why it could be what you were looking for. It is still a far-too-little known concept, and this is a shame because it is a functional, efficient and profitable service. It can save you quite a lot of worry and mainly a lot of unnecessary travels. Visiting Spain is always a good idea, but spending your life going back and forth acting as a ‘troubleshooter’ is not practical… and it is really exhausting.
Today we are going to tell you all about setting up a business in Spain with cash handling service, using a working example and emphasizing all the benefits that this operating procedure can bring to your business. Are you ready? Then… Let’s go!
Setting up a business in Spain with cash handling service
If as a foreign entrepreneur you have decided to bring your business to Spain and take advantage of all the good things our country can offer you, now it is time to start working. First advice: do not miss our posts about setting up a business in Spain which will resolve many of your doubts and will be the best guidance to get started. But you can also postpone that task and now start getting information about setting up a business in Spain with cash handling service. Why? Because it is one of the simplest ways to manage your business’s money (payments, collections and taxes) without having to live in our country.
Let’s see a practical example. Imagine an entrepreneur who lives in Switzerland, runs a market-research company and wants to develop this activity in Spain. In order to do it, he has two key tools: a non-resident CIF (in this post we tell you what it is and why you need one) and a team of Spanish sales managers, two in this case. What do they do? They make market research in order to close agreements with Spanish private or public entities. For example, they could consider selling machines to Spanish hospitals. Until now, everything is clear: and in this case, setting up a business in Spain with cash handling service is very advisable.
Cash handling: a solution for a complex situation
Our friend, the Swiss entrepreneur is in quite a complicated situation. Though he has the non-resident CIF and theoretically he can do business with it, he has no legal entity in Spain and probably he will find many obstacles. For example, when it is time to manage cash (to pay for his employees’ social insurance, pay taxes, make trading operations etc.) he will imperatively have to open an account in a Spanish bank. The Swiss businessman will have to travel to Spain to talk to the bank managers, but… Surprise! They are reluctant to let him open a bank account with a non-resident CIF.
The problem seems difficult to solve, right? Our entrepreneur does not want to live in Spain, and other solutions such as having a legal and tax representative (a very interesting option whose advantages you can discover in this post) seem quite complicate to him. In this moment, he is told about the possibility of setting up a business in Spain with cash handling service: a simple and clearly functional option. When he knows about this service, he asks the logical question: how can I do that? And the answer is clear: through a business consultancy specialized in setting up businesses in Spain, whose professionals will cope with difficulties such as the language barriers and the relations with the banks.
Previous steps and benefits: what you should know
As you can see, setting up a business in Spain with cash handling service is a very interesting option. After searching for the advice (and the support) of a business consultancy in Spain, the professionals in charge will draft a previous analysis of the situation in order to manage your company’s VAT and IS (Spanish corporate tax) duties. In fact, cash handling services are designed to pay the trimestral VAT, the corporate tax and your employees’ health insurance. And on the other hand, you will also collect your customers’ payments and manage your business’s payrolls. It is a simple and functional tool that will prevent you from going through complicated procedures that would probably require your involvement (or your representative’s).
In LEIALTA we have extensive experience in supporting foreign entrepreneurs that, like you, have decided to invest in our country. If you are interested in setting up a business in Spain with cash handling service, we put out English-speaking expert team at your disposal so you can start out today. We will open a bank account and will deposit in it the money you want to invest, in order to manage the payments and the collections in your behalf and keeping you informed atall times.
And now, what do you think about setting up a business in Spain with cash handling service? Could it be what you are looking for? Do not hesitate in contacting us to solve any doubts. Or leave a comment!