The non-profit residence was created for those foreign citizens who have resources and income that allow them to reside in Spain without having to develop a work activity.
Consequently, the fundamental requirement to obtain this type of residence is the possibility of demonstrating sufficient economic resources during the period of stay in Spain.
The minimum amount that the applicant must prove is 400% IPREM, which in 2018 is equivalent to € 25,828 per year, for the holder, plus 100% IPREM or € 6,454 per year for each of the members of his family who wish to reside with him .
It is not an indispensable requirement, although it is highly recommended, to have real estate in Spain. So, both the owners of properties of a lower value than required and even foreign citizens who still do not have real estate in Spain or those who have acquired real estate prior to the entry into force of the new law, can obtain residence accrediting your economic resources.
Authorizes to carry out commercial activity and after its renewal can be modified by a residence with work permit.
OBSTACLES AND DISADVANTAGES
The time required to process the visa and subsequently the residence is significantly longer than in the case of residence for investors.
The control of economic capacity will be much stricter than in the case of residence for investors, since in the case of non-profit it is the indispensable requirement. Furthermore, in this case, unlike residence for investors, there is no additional manifestation of economic capacity.
Therefore, the main requirement is to make an investment, which can be in public debt, in companies or financial entities or in real estate (2 million, 1 million or 500 thousand euros respectively).
The period for processing visa and residence is very limited. It allows obtaining the visa in less than one month from the presentation of the application.
Authorizes to work, from the first moment. The investor and the members of his family can perform remunerative labor activity both on their own account and as employees.
OBSTACLES AND DISADVANTAGES
For its renewal, it is essential to demonstrate that the investment subsists. Consequently, it is necessary to maintain the investment in the Spanish economy, although it may be the same or a new investment, but respecting the amounts required.
It should be noted that in addition to the differences mentioned, the authorizations agree that both in addition to authorizing residence in Spain, they give the right to travel freely throughout the Schengen territory.
Likewise, the new entrepreneurs law refers to the immigration law in relation to long-term residence. In both cases it is possible to apply for long-term residence after an effective residency in Spain for five years. However, although the residence for investors does not have limits of permanence in the Spanish territory, in order to obtain the long-term residence, it is essential to respect.
Non EU nationals wishing to reside in Spain and to set up or acquire a company who do not qualify for the Entrepreneurs or Investors residence authorization of Entrepreneurs Law, must apply for a temporary residence permit and a work permit as a self-employed worker.
- Individuals must meet the requirements in current legislation to open and develop the planned activity (in addition to setting up the company, individuals may have to follow other procedures, such as obtaining licences). For more details about business procedures, please access our practical data sheet “Establishing a company in Spain”
- Individuals must prove that the estimated investment funds for the project are sufficient, and its effect, where applicable, on the creation of employment. There is no minimum investment amount indicated to this effect. It depends on issues such as the setup and maintenance costs that must be paid.
- Individuals must provide a forecast of funds relating to the activity to be carried out, proving that the activity will have sufficient financial resources as for the first year, that should at least cover the interested party’s accommodation and upkeep after the expenses required for the maintenance of the activity have been deducted.
- Individuals cannot have criminal records in Spain or in other countries of residence within the past five years before the application.
- Individuals cannot be in an illegal situation in Spain.
- Freelance or self-employed professionals might be required to prove that one or more companies have hired their services.
In these cases, the professional qualifications required for the professional activity to be carried out or sufficient experience for exercising that professional activity must be provided, together with the qualifications required for professions whose practice require specific approval and a certificate of membership of the corresponding association in the case of independent professional activities for which association membership is required.
However, you will need to pre-enrol at an officially recognised public or private educational institution in Spain beforehand, at Your Law we will give you the necessary advice and help you from start to finish.