Setting up a limited company in the UK but being resident in Spain

[sbakoola]

Given this I think I'll go with setting up the company in Spain as the developers will be located here and the initial sales staff will be there also. There is "some political risk" to setting up shop in Spain; if PSEO (the lefties) or Podemos ("We Can") the new extreme lefties (a protest party essentially) get into power, they just love sucking money out of businesses to keep themselves in power, we've been there before with New Labour in the UK. Also there are some operational business risks .. in Spain even if you setup an 'Asociacion' which is essentially the closest thing to a Limited company, if that company makes losses say 2 years in succession - upon insolvency (either voluntary or non-voluntary) if the judge rules incompetency on the part of the director then they can go for your personal assets to pay tax and creditors - so much for the 'limited' part over here. And as for Gibraltar I wouldn't touch it with a barge pole, some companies won't even do business with you if you are registered over there - "Offshore Companies House" (look it up if you don't believe me) .. someone's trying to pull my leg with that one.

If we have success then I'll be intent on setting up an operation in the U.K., wish us luck and thanks for the advice.

[BlasterBates]

You can set up a UK Ltd and register it in Spain.

You need to register the company where you do any work.

You will have a branch registered in the UK for the sales and a branch in Spain for the work done there.

You need a UK accountant and Spanish accountant and you will probably have to sort out some transfer pricing between the UK and Spain.

However you do this you can't avoid registering your business and paying tax in both countries. Each branch will have it's own separate book keeping.

[SantaClaus]

You mean;

Oy, canno you bleedo del radiatores?

I'm sorry, he's from Barcelona.

[sbakoola]

why not set up the company in Guernsey or Gibraltar instead?

Hmmm not sure about Gibraltar it has lets say a certain reputation ... they even have an ' "offshore" Companies House ' ... sounds a bit like those offshore setups they had in Jersey and Isle of Man and look what happened there to all those located outside trying to take advantage of the excellent tax saving opportunities there .....

[NotAllThere]

Set up a limited liability partnership - no need for residency at all. That's what the money launderers do. See Private Eye for more details.

[Syntyrion]

why not set up the company in Guernsey or Gibraltar instead?

[alreadypacked]

I'm currently living in Spain as a Spanish national (although I have British Citizenship but I am not a British national and have lived in the U.K. for practically most of my life and worked as a UK contractor via my UK limited companies). Question is how viable is it for me to be permanently resident in Spain yet be the director of a UK company which employs Spanish employees (contractors or 'autonomos', no permie staff) who all also have residency in Spain ? (this part seems like a grey area to me and is most likely not viable, correct me if I'm wrong but note back in the day I only paid myself wages/dividends through my UK limited I didn't have anyone else on the payroll so I have no experience of this).

I know there would be currency risk in the business when it comes to converting from GBP to EUR but it just seems that Spanish business set up is more expensive and bureaucratic than U.K. limited companies.

Any advice ? or will I have to setup a limited company over in Spain ?

You can create a UK company on-line.
Registered office should be UK, I use my accountants address.
You are a director, you should have a UK address you can use.
You can operate in Euro if you want too, open a Euro account.
Invoice in Euro. Have a £ account also.
Accountant will have to convert for you.

[stek]

Can you bleed radiators?

You mean;

Oy, canno you bleedo del radiatores?

[sbakoola]

I can bleed radiators but Spanish governments can bleed companies dry

Can you bleed radiators?

lol no I'm afraid the company is going to provide a more complex service than that ! The target is to get a global product shipped out and available to different international markets so ideally sales would be conducted via British mainland but employees working on creating the product would be located in Spain.

There is also an element of regional financial risk in Spain many of the cajas (building societies) have been rescued and merged into new entities during the crisis and politically there is the likelihood that the left will get into power who aren't the most lenient when it comes to imposing costs on private businesses particularly when some City Halls in Spain are severely in debt.

And just for the record its a £1.99 radiator key from Robert Dyas, a bowl to capture the water that drips out of the radiator valve when open, a dry towel to mop up any spray leak from the radiator... gently turn the key until all air is expelled, then turn again to firmly close and bingo you've got yourself a contract.

[GlenW]

I'm currently living in Spain as a Spanish national (although I have British Citizenship but I am not a British national and have lived in the U.K. for practically most of my life and worked as a UK contractor via my UK limited companies). Question is how viable is it for me to be permanently resident in Spain yet be the director of a UK company which employs Spanish employees (contractors or 'autonomos', no permie staff) who all also have residency in Spain ? (this part seems like a grey area to me and is most likely not viable, correct me if I'm wrong but note back in the day I only paid myself wages/dividends through my UK limited I didn't have anyone else on the payroll so I have no experience of this).

I know there would be currency risk in the business when it comes to converting from GBP to EUR but it just seems that Spanish business set up is more expensive and bureaucratic than U.K. limited companies.

Any advice ? or will I have to setup a limited company over in Spain ?

Can you bleed radiators?

[sbakoola]

I'm currently living in Spain as a Spanish national (although I have British Citizenship but I am not a British national and have lived in the U.K. for practically most of my life and worked as a UK contractor via my UK limited companies). Question is how viable is it for me to be permanently resident in Spain yet be the director of a UK company which employs Spanish employees (contractors or 'autonomos', no permie staff) who all also have residency in Spain ? (this part seems like a grey area to me and is most likely not viable, correct me if I'm wrong but note back in the day I only paid myself wages/dividends through my UK limited I didn't have anyone else on the payroll so I have no experience of this).

I know there would be currency risk in the business when it comes to converting from GBP to EUR but it just seems that Spanish business set up is more expensive and bureaucratic than U.K. limited companies.

Any advice ? or will I have to setup a limited company over in Spain ?