Share capital


Share capital in Spain: a comprehensive guide for english residents

Share capital represents the ownership interest in a corporation, expressed in terms of shares held by investors. In Spain, this concept is intricately woven into corporate finance, requiring a nuanced understanding of local laws and regulations. At Fenus Legal, our expertise in commercial law equips us to guide English residents through the complexities of share capital within the Spanish business environment.

Definition of share capital

Share capital refers to the funds raised by a company by issuing shares. It serves as the backbone of corporate finance, impacting ownership, control, and financial stability.

Types of share capital in Spain

Spanish law recognizes different types of share capital, each serving a distinct purpose:

Authorized share capital

The maximum amount that a company is allowed to issue.

Issued share capital

The total value of shares that have been issued to shareholders.

Paid-up capital

The portion of the issued share capital that shareholders have fully paid.

Share capital regulations in Spain

Understanding Spanish regulations is crucial for managing share capital. Key considerations include:

The commercial code

Details the legal framework governing share capital.

The capital companies act

Specific rules and restrictions related to share capital in various corporate forms.

Share capital in different spanish corporate structures

Public Limited Companies (S.A.)

Rules and requirements specific to these companies.

Private Limited Companies (S.L.)

A different set of regulations and obligations.

Increasing share capital

The processes and legal requirements for increasing share capital in Spain, including:

By issuing new shares

How new shares can be issued, and the legal procedures to follow.

By increasing share value

Increasing the nominal value of existing shares.

Reducing share capital

A guide to the legal paths for reducing share capital, such as:

Loss compensation

A guide to the legal paths for reducing share capital, such as:

Return to shareholders

Reducing capital to return funds to shareholders.

Share capital and financing

Exploring the role of share capital in corporate financing, from attracting investment to ensuring liquidity.

Role of corporate lawyers in share capital management

How legal experts like Fenus Legal guide clients through the maze of share capital, tailored for English residents.

Real-life cases: Fenus Legal in action

Examples of how Fenus Legal’s expertise has assisted clients in managing their share capital within Spain.


Share capital is a multifaceted aspect of corporate finance, demanding an in-depth understanding of both the financial and legal landscapes in Spain. With Fenus Legal, English residents can navigate this complex territory with confidence. Our expertise in commercial and corporate law, coupled with our understanding of the unique needs of English residents in Spain, makes us the preferred choice for share capital guidance. Whether you are looking to increase, reduce, or manage share capital, our tailored solutions stand ready to assist.