Spain Golden Visa: Is the Entrepreneur Residence Permit the Next Best Thing?

Jacinto Soler Matutes
Barcelona

The publication of Organic Law 1/2025 on January 3 has finally put a deadline on the investor residence in Spain (commonly known as the “Golden Visa“).

On April 3, articles 63 to 67 of Law 14/2013 of September 27 will phase out, thereby eliminating all forms of investment as a route to a residence permit in Spain.

The Golden Visa phase-out will not affect articles 68-70 of Law 14/2013, which regulate the entrepreneur visa and residence permit.

This type of visa may thrive in the coming years, especially since Law 28/2022 of December 21 has improved its application process.

Entrepreneurs seeking Spanish residence can now submit applications online through the Ministry of Migration’s portal from any location worldwide. This digital shift has streamlined the application process.

The application requires standard civil documentation, including police clearance certificates and vital records. A comprehensive business plan, uploaded directly to the portal, serves as the cornerstone of the application.

The business proposal must demonstrate plans for an innovative Spanish venture that aligns with the applicant’s expertise.

While no minimum capital requirement exists, most successful applications include €150,000 to €200,000 in fixed asset investments.

Creating five to six jobs in Spain is also a crucial component of these proposals.

ENISA (Spanish Innovation & Entrepreneurship Agency) has overseen the review and approval of all business plans since December 2022.

The submissions include an online questionnaire that evaluates the proposed venture’s innovation potential and scalability.

ENISA’s oversight has expedited and standardized the business plan evaluation process. Before December 2022, Spanish consular trade departments conducted these assessments abroad. The review timeline has decreased from two months to three to four weeks.

The entrepreneur residence permit is initially valid for three years, followed by renewable five-year extensions.

The permit differs from the Golden Visa’s residency requirement – holders must live in Spain for six months annually to maintain eligibility.

Since 2022, entrepreneurs who meet the residency requirements qualify for Spain’s “Beckham Rule” tax provision, which reduces their Spanish tax obligations.

Qualifying applicants and their families face a global personal income tax rate of 19% to 28% for six years after moving to Spain, with rates varying by income level and type.

Due to the Golden Visa phase-out and Spain being the fastest-growing economy in the Eurozone, we are witnessing a surge in entrepreneur visas among business people and expect this to continue in the future.