Business via the Traspaso: The Fastest Way to Start Your Business in Spain

Want to launch a business in Spain without endless bureaucracy and overspending? Discover how the traspaso system works, its benefits and pitfalls, and get practical tips for buying an existing business.

Table of Content

What is traspaso?
Legal Aspects and Examples
Experience Running a Business through the traspaso System
Pitfalls — What You Need to Know
Conclusion

**What is traspaso?**

If you have even a slight interest in Spain, you’ve probably heard of traspaso. The word literally means “transfer” in Spanish, but it actually refers to buying or leasing an existing small business with everything that comes with it — the premises or a long-term lease, equipment, staff, customers, and more.

This system is commonly used by Spaniards themselves, but for people coming from other countries, traspaso is a real lifesaver. Why run around all the agencies for permits and licenses yourself when you can take over an already functioning business? Especially if you’re not fluent in the language.

Plus, an important point: when buying through traspaso, you don’t have to pay the 21% VAT or the property transfer tax. That’s a significant saving, especially compared to starting a business from scratch.

Traspaso is the purchase or lease of a ready-made small business in Spain with equipment and staff, allowing you to avoid complex bureaucracy and save on taxes compared to starting a business from scratch.

2. Legal Aspects and Examples

Let’s consider the most popular scenario: you are an immigrant from the USA or other countries and want to buy a restaurant in one of Spain’s resort towns. With the traspaso, you immediately get a ready-made café or restaurant with an established brand, all necessary licenses, reliable supplier connections, and a well-formed team of chefs, bartenders, managers, and waiters. And all this is located in a place known and loved by both locals and tourists.

What’s next? As the new owner, you can rebrand, change the signage, refresh the interior, update the menu, or even completely change the concept of the establishment. You can also make smaller changes—like serving coffee with candy instead of cookies, adding new tapas with beer, or something of your own. Some prefer to manage the business personally; others hire a manager and visit the café once a year.

Now imagine if you were starting a café from scratch. Getting a permit to open a small terrace with a couple of tables alone can take up to six months. In Spain, the operation of establishments is strictly regulated—even the number of chairs matters. Plus, in popular resort towns, there are almost no free advantageous locations left for restaurants and bars. That’s why for many, traspaso is the only chance to enter the business.

Prices for a small café (up to 100 m²) in a small Spanish town start at around 15,000 euros. On the coast, prices are higher: for example, about 30,000 in Alicante and from 50,000 in Barcelona. However, everything is very individual and depends on the region, specifics of the establishment, and the business condition.

And this doesn’t only apply to restaurants and cafés. Through the traspaso system, you can also buy other small businesses: repair workshops, internet cafés, language courses, and much more.

Typically, prices for these services are comparable to small cafés. For instance, a hair salon with a couple of chairs in Malaga can cost around 10,000 euros—the same as the monthly rent for the same kind of business in a large shopping center in Madrid.

Terms of business transfer vary: sometimes the seller tries to get the maximum price for their business, and sometimes they agree to a discount in exchange for a percentage of future profits.

An immigrant can quickly buy an existing business such as a café, restaurant, or other small enterprise through the traspaso system, including licenses, staff, and customers, avoiding bureaucracy, with prices for such establishments varying depending on the region and transfer conditions.

3. Experience Running a Business through the traspaso

Foreigners most often choose traspaso on the Costa Blanca coast—and it’s no coincidence. This area includes Torrevieja, one of the most popular cities immigrants. Additionally, the region is known for its affordable prices. Traspaso is also in high demand in Barcelona and other tourist and business centers across Spain.

However, it’s worth noting that the restaurant business is not always easy for foreigners in Spain. Tourists come for authentic local cuisine: paella, jamón, turrón, and other gastronomic delights. Even if you have a great local chef, competing with Spanish restaurateurs is challenging due to the unique cuisine and service culture.

So what’s the catch? In Spain, restaurants, cafés, and bars are primarily family businesses. Dad cooks and greets guests, mom helps in the kitchen, daughter takes orders, son is the bartender. Spaniards highly value this warm, homely atmosphere and lively interaction. Many foreigners, however, are used to a different style—more businesslike.

If you decide to enter the restaurant business, be ready to become a hospitable host who personally cares for guests. Of course, you can hire a manager, but there’s no guarantee they will convey that special “Spanish soul,” no matter how motivating the commission you offer.
On the other hand, foreigners have done well in auto repair shops—the average startup budget for an auto service is about 30,000 euros.

Real estate agencies also perform well. Spaniards note that foreigners know how to connect with various clients and show ingenuity in their work.traspaso-business-in-spain-fast-start-guide

Foreigners often choose traspaso businesses in popular areas like Costa Blanca and Barcelona, but while the restaurant industry can be challenging due to cultural differences and the family-oriented nature of Spanish hospitality, many find success in auto repair shops and real estate agencies.

4. Pitfalls — What You Need to Know

Debts and Loans from the Previous Owner

When you buy a business, you automatically take on all its financial obligations. These can include loans, debts to suppliers, or unpaid utility bills. To avoid trouble, be sure to hire a lawyer who will check all documents and risks carefully.

Regulations and Inspections

Spain has many rules regulating business operations. For example, a restaurant might have been operating since the ’90s without knowing about some violations of newer laws. The previous owner might have just been lucky that no inspections were carried out. But once the business is under your control, authorities may come for an inspection and impose fines or even revoke licenses for minor issues like incorrect ventilation placement, lack of facilities for people with disabilities, fire safety violations, and other small details. Even the most experienced lawyer can’t cover all the nuances, so study everything very carefully.

Thirteenth Salary and Vacations

About two-thirds of workers in Spain receive a so-called “thirteenth salary”—an additional cash bonus. This means your employees will likely expect it as well. Also, August is considered a “dead month” in the country when almost everyone goes on vacation. If you plan to start your business in the second half of summer, keep in mind that full activity usually begins only in September.

Reputation and Team

Be sure to gather opinions about the establishment or company from customers and locals. This will give you an idea of the service quality and the state of the business. It’s also a good idea to talk to the staff—if many are ready to quit, that could be a bad sign. Don’t hesitate to ask questions, collect information, and “read” the atmosphere within the team.

When buying a business, you take on all the financial obligations of the previous owner, must consider strict regulatory requirements and potential inspections, be prepared for additional expenses such as the thirteenth salary and seasonal work features, and also be sure to check the reputation of the establishment and the mood within the team.

5. Conclusion

Buying a business through the traspaso in Spain is an excellent way to enter entrepreneurship in a new market quickly and with minimal hassle. You get a ready-made business with valid licenses, an established customer base, and a team, which saves you significant time and effort.

However, despite all the advantages, it’s important to remember the risks: debts from the previous owner, potential administrative inspections, and bureaucratic nuances. Early legal checks and careful business assessment will help you avoid unpleasant surprises.

Special attention should be paid to business culture and customer relationships, especially if you plan to run a restaurant—here, a warm atmosphere and genuine hospitality are highly valued.

If you’re ready to prepare thoroughly and consider all the specifics, traspaso will give you the opportunity to start your business in Spain quickly, efficiently, and with real chances for success.

Thank you for your attention! For more information please contact the managers of our agency. It is our pleasure to assist you on a way to your dream!

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