Buying a Business
Purchasing A Business in Spain
Buying a business in Spain is a relatively straightforward process, particularly if you are well advised and are dealing with professionals with first hand experience in the market. Here at Comaskey (in partnership with Business Broker Spain) , our management between them have more than 25 years experience in the sale of businesses in Spain. We doubt sincerely whether there is another agency with this level of expertise. From the sale of their first Spanish business in 1990, our Directors have advised in the sale and purchase of literally thousands of small and medium businesses throughout Spain. As a buyer you have no fee to pay us, all of the businesses that we sell are commission inclusive with all of our fees being paid by our vendor client’s.
Comaskey (in partnership with Business Broker Spain) offers impartial advice and helps you through every step of the process, and the golden rule we tell all clients is this "If you wouldn't do it in your own country, don't it here”
Many people forget to use their brains, or actually leave them on plane! Our role is simple, we provide you with sound advice and recommend quality legal representation if needed to help you avoid the pitfalls.
Our services to buyers include all of the following and more!
Personal Guidance and Viewings
Supplier Negotiations – if you are buying a bar or a restaurant, you will want to make sure that you get the best terms from your suppliers. Our contacts and expertise will ensure that you can buy your products at the best prices thus making certain that you run your new business as profitably as possible.
Lease Negotiations – we will negotiate favourable lease terms with the landlord of your business where the business to be purchased is in rented premises.
Conveyance Introductions – it is essential that you obtain good legal representation and from someone that speaks your language.
NIE Numbers – in Spain we each have individual financial identification numbers, much like your Social Security numbers in the UK. For foreign nationals this number is called your NIE (Numero de Identification de Extranjeros), once allocated this number is with you for life and is both your VAT registration number and personal ID number. You will need this number prior to opening your new business and an important part of our services to new buyers is to guide you through the simple process of acquiring it.
Guide to Purchasing a Leasehold Business
Firstly obtaining finance from a bank to purchase a leasehold is very difficult in Spain unless you are can to guarantee the business against a property. The agreed price you are paying for the leasehold is paid in full on signing of the purchase contracts and the lease agreement with the landlord. In normal circumstances a deposit of € 8,000 or 10% (whichever is higher) is payable. The deposit secures the business and it is non returnable. Completion of purchase can be done within 10 to 14 days.
Standard Length of Leases
The normal lease length is 5, 10, 15 or 20 years, on a rolling contract.
You have an automatic right to renewal of the lease providing you pay the rent on time and keep within the terms of the lease.
During the Lease
• Payment of the agreed rent on a monthly basis will be made.
• The business can be run in accordance with the terms of the lease (i.e. as a bar or shop).
• Refurbishment of the premises can be made to the décor etc., but any structural work permission from the landlord will be needed.
• Utility charges are the responsibility of the leaseholder
• The landlord is responsible for external repairs.
• The rent will increase only by the rate of inflation each year
• On renewal of the lease, negotiations on a new lease price and term will commence approximately 2-3 months prior
• Upon renewing the lease you do not have to pay again for the business.
Selling the Lease
Normally you can sell sell the lease within a certain time frame of commencing your new lease contract with the landlord and the landlord will have in the contract that you will pay him a percentage of the price you sell for. Permission will normally have to be granted to sell from the landlord and he has the to agree to the new prospective tenant.
Purchasing a business freehold, it is exactly the same as buying a home in the UK, it's no different, you will receive the deeds to the property. Obviously you then can lease your building, and generate an income from it.
For more information please get in touch by email: email@example.com