Form a society
When you are carrying out an economic activity as a self-employed worker, The question may arise as to when and under what premises would be a good time to establish a company. and continue with the same activity, but, on this occasion, managed and carried out by the company.
It is worth highlighting that This step is not trivial., since it will be necessary to analyze, in addition to billing, the type of economic activity being carried out, the possible type of company to be established, remuneration, responsibility, obligations, taxation, retirement, etc., in addition to taking into account that there is no regulation that indicates the change of modality and makes it unavoidable.
In general, and from the point of view of billing, a factor to take into account is that the same exceeds 40,000 euros per year. This fact could show that it may be an ideal time to rethink the constitution of a company.
On the one hand, increased turnover can be an important element for limit the responsibility that may arise from the activity itself: A self-employed worker responds with all his personal assets to any adversity; while, a self-employed corporate person would only be liable with the capital contributed to the company, as long as he acts with good diligence in the performance of his duties.
Advantages of establishing a company
On the other hand, from the point of view of the tax efficiency, the taxation of a company can be more advantageous, since its tax rate is fixed at 25% (with the exceptions provided for in the Law) and regardless of the income obtained. A self-employed worker will have a greater tax incidence according to the increase in income obtained from economic activities, since personal income tax is a progressive tax as can be seen in the following table:
| Work base | Tax rate |
|---|---|
| From €0 to €12,449 | 19% |
| From €12,450 to €20,199 | 24% |
| From €20,200 to €35,199 | 30% |
| From €35,200 to €59,999 | 37% |
| From €60,000 to €299,999 | 45% |
| More than €300,000 | 47% |
Another element that we must take into account is the corporate configuration that can be given to the new company: in general, the most advisable thing is the constitution of a limited company (SL). This type of company is recommended when the partners are small, in addition to the fact that the share capital that must be paid out is 3,000 euros and its liability is limited to the contribution made to the share capital itself.
This configuration should be analyzed together with the type of economic activity to be carried out, the number of partners, billing and volume of operations, since it could be opted for another type of company or business configuration that could better adapt to the specific circumstances.
Likewise, in addition to the partners, the administrator who will be the person in charge of managing, directing and making decisions in relation to the management of the company. The partner himself could be an administrator, being, in this case, a corporate administrator and could receive a fixed monthly remuneration for the performance carried out in the company itself, if so agreed in the corporate statutes themselves.
Accounting obligations
Another element to take into account is that related to the accounting and tax obligations: companies will have a greater number of accounting, tax, labor and commercial obligations to attend to periodically, in addition to periodic informative statements before the Tax Agency. This change in modality would imply greater responsibility in this matter, so it would be positive to have a Tax Compliance external entity that complies with each of the obligations and keeping in mind the fixed cost that would arise from this.
In conclusion, and as has been analyzed, there is multiple factors that must be kept in mind for the change of modality between the self-employed worker and the constitution of a company since it must be analyzed whether the right moment has been reached, the level of billing, costs, obligations, responsibilities, etc. All of this, aimed at finding the best moment to continue with economic growth and making use of the advantages offered by the regulations themselves to achieve it.
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