Marbella has always been an attractive place to live and work, however, the draft of a long-anticipated law, accepted just this month, aims to make it even more appealing to inward investment and talent. The Spanish government expect the changes to make it one of the most attractive in the EU for remote workers and digital nomads. Read on to find out more:
Spain has this month recognised the invaluable contribution to its economy made by foreign entrepreneurs and so-called ‘digital nomads’, with the introduction of a special visa to encourage them to set up shop here. It will also make the process of setting up a business easier, as the procedure gets streamlined into one step with no visits to the notary.
The new law will encourage foreign wealth-creators by making conditions easier to start businesses and work remotely, provided they haven’t lived in Spain for the preceding five years and is open to anyone from the EU or third countries. Previously, start-up companies were regulated by the same laws that governed large corporations, hence the draft law has been eagerly anticipated.
The new conditions favour technology start-ups and define the sector to benefit as:
- Less than five years old (less than seven years in the case of biotech, energy and industrial companies) and with a turnover of less than €5m
- Innovative in nature, in a new market niche
- Attractive to foreign investment and talent
- Must have HQ and majority of employees in Spain
Tax changes beneficial to start-ups and digital nomads
The tax climate is one of the deciding factors in creating a business, and the new law aims to make things simpler and less of a burden for those starting out on their own. Corporation Tax and Non-Resident Income Tax (those who earn in Spain but can’t stay currently for more than 180 days) will be reduced from 25% to 15% for the first four years.
The government are placing an emphasis on attracting the brightest and the best, as well as encouraging the return of talent, by reducing the previous non-residence period in Spain to five years from ten years, so they gain access to the new scheme.
The special visa will be valid for one year, with the possibility of extending it to two years and then eventually five years.
Marbella property market sure to benefit
Marbella has long been a leading destination for holidaymakers, or those searching for jobs in the area looking to make the Costa del Sol their permanent residence. The favourable climate, mature infrastructure and high standard of living have always been attractive to those seeking a better quality of life.
However, until now, it has not been known as a location for starting exciting new businesses. With these new regulations due to come into force, Marbella will prove attractive to entrepreneurs and digital nomads as they are enabled to build businesses in an attractive fiscal and legislative background, as well as an attractive home environment. We look forward to helping those seeking to take advantage of the new regulations find their new home here as they realise both their property and business dreams in Marbella.