Capital social (share capital)

Capital social is what the partners contribute to the company, in money or assets, at incorporation or in later capital increases, divided into shares. It sets the ceiling of the owners' liability: if the company runs up debts, in principle they only risk what they put in.

In an SL the capital must be fully paid in when the deed of incorporation is signed, and since Law 18/2022 the minimum is 1 euro; in exchange, until the legal reserve plus the capital reach 3,000 euros, at least 20% of each year's profit must go into that reserve. More on the company form under sociedad limitada.

Rather have this calculated for you?

kontora generates your tax forms box by box, tells you how much to set aside and reminds you before every deadline.

Pricing · Calculators

Sociedad limitada (SL, Spanish private limited company)

Objeto social (corporate purpose)

Full glossary