Autónomo vs Sociedad Limitada (SL): Differences, Costs & When to Switch
Last updated: 2026-05-26
Choosing between working as an autónomo (self-employed) or setting up a Sociedad Limitada (SL) is one of the most important decisions for any entrepreneur in Spain. Both options are valid but suit different situations. This guide compares costs, taxes, liability, and requirements so you can decide based on real numbers.
Autónomo vs SL: basic concepts
An autónomo is a natural person (persona física) carrying out an economic activity on their own account. Legally, there is no separation between the person and the business.
A Sociedad Limitada (SL) is a separate legal entity (persona jurídica) with its own identity. The company's assets are separated from those of its shareholders.
| Aspect | Autónomo | Sociedad Limitada (SL) |
|---|---|---|
| Legal personality | Natural person | Independent legal entity |
| Business name | Full legal name of the individual (can register a trade name separately) | Freely chosen company name |
| Minimum capital | Not required | 1 € legal (3,000 € recommended) |
| Liability | Unlimited (personal assets) | Limited to contributed capital |
| Main tax | IRPF (19-47%) | Impuesto sobre Sociedades (19-25%) |
Setup costs
Registering as an autónomo is fast and inexpensive: you register with Hacienda (form 036/037) and Seguridad Social. With an advisor, it costs between 0 and 300 €.
Setting up an SL involves more steps and significantly higher costs:
| Item | Approximate cost |
|---|---|
| Company name certificate (certificación negativa) | 15-20 € |
| Notary (deed of incorporation) | 150-300 € |
| Registro Mercantil (commercial registry) | 100-200 € |
| Share capital (legal minimum 1 €; typical 3,000 €) | 1-3,000 € |
| Advisory / gestoría fees | 200-400 € |
| Approximate total | 500-4,000 € |
Since Ley 18/2022 (Ley Crea y Crece), the legal minimum share capital is just 1 €. However, most SLs are set up with 3,000 € because below that threshold, 20% of profits must go to the legal reserve until reserve plus capital reach 3,000 €, and shareholders face joint liability up to 3,000 € on liquidation. The share capital is not an expense: it stays in the company's bank account and can be used for business activities.
Ongoing annual costs
| Item | Autónomo | SL |
|---|---|---|
| Seguridad Social | From 205.88 €/month (tarifa plana: 88.64 €/month for the first 12 months) | Autónomo societario: minimum base 1,424.40 €/month (~448 €/month in 2026) |
| Accountant / gestoría | 80-150 €/month | 150-300 €/month |
| Bookkeeping & annual filings | Not required (income/expense ledger) | Mandatory: mercantile accounting + filing annual accounts |
| Tax filings | Quarterly (Modelo 130, Modelo 303) + annual (Modelo 100) | Quarterly (IS advance, VAT) + annual (Modelo 200) + annual accounts |
| Additional annual cost for SL | — | ~1,000-2,000 € more than autónomo |
For more details on autónomo tax obligations, see our tax obligations guide.
Tax comparison: IRPF vs Impuesto sobre Sociedades
This is the most significant long-term difference and the main reason to consider an SL.
Autónomo: progressive IRPF
The autónomo pays Impuesto sobre la Renta de las Personas Físicas (IRPF), with a progressive scale:
| Taxable income | Approximate combined rate (state + regional) |
|---|---|
| Up to 12,450 € | 19% |
| 12,450 – 20,200 € | 24% |
| 20,200 – 35,200 € | 30% |
| 35,200 – 60,000 € | 37% |
| 60,000 – 300,000 € | 45% |
| Over 300,000 € | 47% |
Regional rates vary by comunidad autónoma. The quarterly advance payment (Modelo 130) is 20% of net income.
SL: Impuesto sobre Sociedades
An SL pays Impuesto sobre Sociedades (IS):
- Microempresas (turnover < 1 M€): 19% on the first 50,000 € + 21% on the rest (Ley 7/2024, effective from 2026)
- Pymes (turnover 1-10 M€): 23%
- General rate (turnover > 10 M€): 25%
- Newly created companies: 15% for the first two years with positive taxable income
If the shareholder wants to extract profits as dividends, these are taxed additionally in the shareholder's IRPF:
| Dividend bracket | Rate |
|---|---|
| Up to 6,000 € | 19% |
| 6,000 – 50,000 € | 21% |
| 50,000 – 200,000 € | 23% |
| 200,000 – 300,000 € | 27% |
| Over 300,000 € | 30% |
Worked example: 80,000 € net profit
| Item | Autónomo | SL (40,000 € salary + 40,000 € profit) |
|---|---|---|
| IRPF on total profit | ~22,000 € (effective rate ~27.5%) | — |
| IRPF on shareholder salary | — | ~8,600 € (effective rate ~21.5%) |
| IS on company profit (microempresa: 19% on first 50k €) | — | 7,600 € |
| Total tax burden | ~22,000 € | ~16,200 € |
| Savings with SL | — | ~5,800 € |
Simplified example excluding deductions and SS contributions. Actual savings depend on individual circumstances and comunidad autónoma.
Personal liability
- Autónomo: unlimited liability. You are personally liable with all your assets (home, savings, vehicles). Spain offers the Emprendedor de Responsabilidad Limitada (ERL) status, which can protect your primary residence under certain conditions.
- SL: limited liability to the contributed share capital. Personal assets of shareholders are protected. However, directors can be held liable with personal assets in cases of gross negligence or failure to meet legal obligations.
If your activity involves significant financial risks (large contracts, supplier debts, employees), the asset protection of an SL is a major advantage.
Seguridad Social: RETA and autónomo societario
| Aspect | Autónomo (natural person) | Autónomo societario (SL administrator) |
|---|---|---|
| Regime | RETA | RETA (autónomo societario) |
| Minimum base | 653.59 €/month | 1,424.40 €/month (higher) |
| Approximate minimum contribution | 205.88 €/month | ~448 €/month |
| Tarifa plana | Yes (88.64 €/month, 12-24 months) | Not available |
| Cuota de autónomos | Based on actual income | Based on contribution group minimum |
The autónomo societario (administrator and majority shareholder of an SL) contributes to RETA with a minimum base of 1,424.40 €/month and cannot use the tarifa plana. This means an additional fixed cost of approximately 200-250 €/month compared to an autónomo on the minimum contribution.
Deductible expenses: key differences
Both forms allow business expenses to be deducted, but the SL offers more flexibility:
| Expense type | Autónomo | SL |
|---|---|---|
| Home office utilities | 30% of the proportional share | 100% if there is a dedicated business premises |
| Vehicle | 50% IVA deduction if mixed use is justified (IRPF: requires exclusive business use) | 100% if company-owned |
| Meals and travel | Limited (26.67 €/day domestic) | No fixed cap if properly justified |
| Owner's salary | Not deductible (it is the owner's income) | Deductible as personnel expense |
| Pension plans | IRPF deduction (up to 1,500 €) | Company contributions to employee plan |
The SL allows the shareholder-administrator to set a salary, which is a deductible expense for the company and employment income for the individual (with its corresponding tax reduction). For more on tax optimization, see our tax optimization guide.
When should you switch from autónomo to SL?
There is no single right answer, but here are the main indicators:
Signs it is time to set up an SL
- Sustained net profit above 50,000-75,000 €/year: when the effective IRPF rate consistently exceeds 27-30%, the SL becomes more tax-efficient.
- Need for asset protection: if you take on significant financial risks or hire employees.
- Growth and partners: if you plan to bring in business partners or investors, the SL provides the right structure.
- Corporate image: some clients and markets value a formal mercantile company.
Signs you should stay as an autónomo
- Variable or unstable income: do not set up an SL based on one good year. The decision should be based on sustained long-term income.
- Net profit below 40,000-50,000 €/year: IRPF will likely be lower than the total cost of running an SL.
- Low-risk activity: if you do not handle significant debts or employ staff.
- First years of activity: take advantage of the tarifa plana and the administrative simplicity.
IVA: same for both
Both the autónomo and the SL must file the quarterly Modelo 303 for IVA at 21%. IVA management is virtually identical for both legal forms.
How to switch: from autónomo to SL
If you decide to make the move, here are the main steps:
- Consult a tax advisor: evaluate your specific situation with income and expense projections.
- Incorporate the SL: company name, notarial deed, commercial registry (~2-4 weeks).
- Register with Hacienda and Seguridad Social: census registration for the SL (form 036) + registration as autónomo societario.
- Cancel your personal autónomo registration: if you are transferring all activity to the SL.
- Transfer clients and contracts: new invoices under the SL name.
Important: switching does not have to be all-or-nothing. Some professionals keep their personal autónomo activity for part of their work and invoice other work through the SL.
Summary: final comparison table
| Criterion | Autónomo | Sociedad Limitada (SL) |
|---|---|---|
| Setup cost | 0-300 € | 500-4,000 € |
| Minimum capital | No | 1 € legal (3,000 € recommended) |
| Liability | Unlimited | Limited |
| Main tax | IRPF (19-47%) | IS (19-25% by size) |
| Seguridad Social | From 205.88 €/month | From ~448 €/month |
| Tarifa plana | Yes (88.64 €/month) | No |
| Administrative complexity | Low | Medium-high |
| Best for income | < 50,000 € net/year | > 60,000-75,000 € net/year |
| Closure process | Deregister with Hacienda and SS | Formal liquidation |
Official sources
- Ley 18/2022 "Crea y Crece" — minimum share capital of 1 € — BOE
- Ley 7/2024 — Impuesto sobre Sociedades rates for 2026 — BOE
- Impuesto sobre Sociedades tax rate — AEAT
- Orden PJC/297/2026 — contribution bases for autónomos societarios — BOE
- Art. 95.3 IVA Law — vehicle deduction (50% IVA) — BOE
- Art. 22 RIRPF — exclusive business use of assets — BOE
- Portal CIRCE — business creation — Ministry of Industry
- Importass — self-employment guide — Seguridad Social
FAQ
Is it cheaper to be an autónomo or to set up an SL?
Being an autónomo is much cheaper upfront (free to ~300 €) and in ongoing costs (SS contributions + accountant). Since the Ley Crea y Crece (2022), the legal minimum share capital for an SL is just 1 €, though most are set up with 3,000 € to avoid legal restrictions. Setting up an SL costs roughly 500-600 € in fees plus the initial capital, and annual maintenance (accounting, annual filings, Impuesto sobre Sociedades) adds 1,000-2,000 € more than an autónomo.
At what income level should I switch to an SL?
As a general guideline, many advisors recommend considering an SL when sustained net profit exceeds 50,000-75,000 € per year. Above that range, the combination of salary + Impuesto sobre Sociedades (19-25% depending on company size) is typically more tax-efficient than progressive IRPF (up to 47%).
Does an autónomo have unlimited personal liability?
Yes. An autónomo is personally liable with all their assets. An SL limits liability to the contributed share capital (legal minimum 1 €, though most are set up with 3,000 €), though directors can be held liable in cases of gross negligence.
Can I be an autónomo and have an SL at the same time?
Yes. If you are the administrator and majority shareholder of an SL, you must register with RETA as an autónomo societario. Many professionals keep their personal autónomo activity alongside an SL.
What taxes does an autónomo pay versus an SL?
An autónomo pays IRPF (progressive scale from 19% to 47%). An SL pays Impuesto sobre Sociedades (general rate 25%; microempresas with turnover under 1 M€: 19% on the first 50,000 € plus 21% on the rest; pymes 1-10 M€: 23%). If the shareholder extracts profits as dividends, these are taxed additionally at 19-30%.