Approval of the draft bill of the Spanish Startup Law
15 July, 2021duguech
The draft bill of the Startups Law aims to give a specific place to emerging companies. It is a law that seeks to facilitate administrative procedures, attract and retain talent, as well as promote a closeness between academia and professionals. It will also include some tax advantages and incentives for investment.
The Startups Association states that this draft bill is a very important step towards the recognition of the startup as a business model.
Advantages of the draft bill of Startup Law
Young entrepreneurs face multiple administrative and legal obstacles every day when starting up a business. To address this situation, the draft bill of the Startups Law incorporates a series of measures to increase the creation of this type of companies, such as the reduction of the corporate income tax rate from 25% to 15% for a maximum of four years.
In addition, the draft bill of the Startups Law will take advantage of technology to streamline procedures and eliminate some bureaucratic obstacles. Likewise, it contemplates the relaxation of some figures such as bankruptcy liability; the monetization of R&D&I deductions; taxation in incentive plans; deductions for investment or reinvention in startups.
“Our goal is precisely to establish a framework that favors this type of entrepreneurship throughout the Spanish territory and with some specific provisions to support entrepreneurship outside these large urban centers: in rural areas, in small cities and in the whole of the national territory.”
Teleworking and displacement of workers
Startups are companies that are characterized by different business methods, such as salaries according to productivity, offshoring and flexible working hours that allow workers to reconcile their work and family life in other conditions.
With the draft bill of the Startups Law, international mobility is favored and the visa for digital nomads, or teleworkers that allows them to live and work legally in Spain, is incentivized.
If you have a company and want to know more about the draft bill of the Startups Law, please contact us. In Duguech&Dip we are here to help you.