The fast moving consumer goods (FMCG) in Spain is a large industry, which is very well developed also in other European countries. It includes all types of consumer products which have a short shelf-life. One of the main advantages of businesses which produce and sell FMCG refers to the fact that such products are sold in a fast manner at low prices. They are perishable products which have a high demand from the local consumer market. Investors who want to start a FMCG business in Spain can receive in-depth details on this matter from our lawyers in Spain.
Registering a company in Spain
A business in Spain which activates in the FMCG industry can be registered as a small, medium-sized or large company, depeding on the capital the investor is willing to invest in the respective entity. However, all companies registered in Spain will need to be registered under a specific legal entity from the prescribed company types available under the local legislation.
A FMCG company will also need to open a corporate bank account, in which the investor will deposit the minimum share capital required for the respective legal entity, but it is important to know that most of the companies registered here are opened as limited liability companies.
Such companies will be required to register for taxation purposes, including for value added tax (VAT). In this sense, we mention that the standard VAT rate in Spain is applicable at the rate of 21%, but certain categories of goods can be taxed at lower VAT rates,applicable at 10% or 4%. Our Spanish lawyers can offer assistance on the categories of products which can benefit from lower VAT rates.
FMCG field in Spain
In order to open a company in Spain in the field of FMCG, the investors will need to obtain specific business licenses that will attest the fact that the respective products are handled, stored and sold following the applicable legislation for sanitation and health.
An important aspect related to the Spanish FMCG is that the fresh food became an increasing sub-field starting with 2016, being the leading domain of the industry.
Businessmen are invited to contact our law firm in Spain for more details on the FMCG regulations applicable to companies.