La décision de fond : responsabilité et fiscalité
The two differences that determine the choice are liability and the tax paid. As an autónomo, you are personally liable for the activity's debts with your personal assets. In an SL, the company is liable with its capital, and your personal assets are, except for guarantees or specific situations, protected.
In tax terms, the autónomo pays tax on their profit through personal income tax (IRPF), which is progressive and can reach 47%. The company first pays corporate tax, 25% in Spain, and you pay personal income tax only when you take out salary or dividends. This allows you to defer personal taxation.
Auto-entrepreneur : ce que vous payez et ce que vous obtenez
As an autónomo, you pay a monthly fee to Social Security calculated on your actual income, in brackets ranging from about €205 to €607 per month. Those registering for the first time pay €80 per month for the first year.
The fee covers common contingencies, cessation of activity, and vocational training. There is no separate employer contribution, and each year Social Security adjusts the fee by cross-referencing the estimated base with the actual declared income.
The tax side is simple to understand: you pay personal income tax on the year's profit, no matter what you do with it. If the business earns €40,000, you pay tax on €40,000 even if you reinvest it.
SARL : ce que vous payez et ce que vous obtenez
Creating an SL requires a minimum share capital of €3,000, a notarial deed, and registration in the Commercial Registry. The process is more expensive and slower than registering as an autónomo, which is done online in a day.
The tax advantage lies in profits retained in the company: they are taxed at 25% and not at the owner's personal income tax rate, which can be much higher. When you need the money, you take it out as a director's salary or dividend, and it is then taxed in your personal income tax.
The SL also separates personal from business assets, transfers ownership more easily (you can bring in partners or investors by transferring shares), and gives a more solid image to clients and banks.
Quand chacune est avantageuse
The autónomo wins when you are validating the activity, billing little, or the profit is consumed in your personal income. It is the cheap and fast option to start, and the €80 flat rate makes it almost free during the first year.
The SL starts to pay off when profits exceed what you need to live, when you reinvest in the business, or when your activity involves the risk of debt. The higher the turnover and margin, the sooner it is worth setting up the company.
There is an intermediate point that almost no one calculates: the maintenance cost of the SL. Accounting, taxes, and paperwork cost money each month, so an SL with low profits can be more expensive than the autónomo fee. The decision is arithmetic, not image.
Le même dilemme sur d'autres marchés
The structure of the dilemma repeats outside Spain, with other numbers. In Portugal, the autónomo pays tax through IRS (13% to 48%) invoicing with green receipts, while an LDA pays IRC of 21% and dividends at 28%.
In Andorra the game changes: corporate tax at 10% and personal income tax with a maximum rate of 10%. In Dubai, corporate tax is 9% and there is no personal income tax, although the visa and structure require planning.
If your plan is to operate in several countries, the structure is chosen once and is costly to change. Comparing the taxation of the destination country before incorporating avoids expensive restructuring after a few years.
