Business Culture & Etiquette in Spain

Entrepreneurs looking to start a new venture on the Iberian peninsula will find an interesting business culture in Spain. Starting business meetings on the right foot will put you in good stead for making deals in this dynamic country.

Despite Spain’s laid-back reputation, business negotiations with Spanish companies require professionalism and respect on both sides. Understanding Spanish business etiquette and culture is the first step to building invaluable corporate and personal relationships along your business journey.

Regional and Linguistic Diversity

Newcomers may not be aware that Spain is made up of 17 autonomous communities and three official languages other than Castilian Spanish. An understanding of the local area you wish to operate in, the languages spoken there, and cultural differences will be seen in a positive light.

Business Meetings in Spain

Meetings are your number one way to forge relationships as an entrepreneur looking to start a business in Spain as a foreigner. Keep the following in mind when attending business meetings in Spain:

• Punctuality: Arrive on time and expect your Spanish counterparts to do the same. While many Spanish people have a more relaxed approach to timekeeping in social environments, punctuality is expected in business.
• Small talk: The personal touch is a key part of Spain’s business culture. Expect initial introductions alongside small talk throughout the meeting.
• Free-flowing narrative: Spanish business affairs aren’t as rigid or linear as in some other European countries. Don’t necessarily expect an agenda to be followed in order as points will be addressed as they come up naturally. Go with the flow and avoid pushing for more structure. This is the case even if you’re used to more formal interactions.
• Allow your Spanish counterparts to speak at length. Spanish businesspeople tend to speak for quite a while in meetings. However, it is considered acceptable to interject or interrupt.

Many people in business find the Spanish approach to free-flowing narrative refreshing. However, it can be a challenge for introverted individuals or those used to a clear structure.

Be aware that people don’t always take turns to speak. This means that more confident, individualistic, or strong personalities tend to dominate the conversation. Be prepared to speak up to make sure your contributions are heard and taken into account.

English Proficiency in Spain

Spain still lags far behind many other European countries in terms of English proficiency. Spain was ranked 26th out of 35 European countries in the 2024 EF English Proficiency Index.

Though many Spanish professionals in international-facing businesses will have good English skills, be prepared for situations where language barriers impede communication. Entrepreneurs who speak Spanish will find their skills very useful in business situations.

Business Is Relationship-Orientated

Spanish businesses tend to value personal relationships highly. Connections are highly coveted and third-party introductions are helpful for forging relationships. This is because Spanish people prefer to work with people that they know and trust. Meeting potential business associates face to face is also favoured as it strengthens the bond between associates.

You’ll likely find any Spanish business partner keen to get to know you personally. They may ask questions about you, your family, and your personal life. This may come as a surprise to people used to business culture and etiquette in central or northern European countries where a much more formal approach is preferred.

Spain’s Personality-Forward Approach to Business

The personality, charisma, and energy you bring to your business dealings may prove key to winning over Spanish business people. The impression you give to a Spaniard can be instrumental in shaping their decisions. Even great offers are at risk of being passed over if the person making the offer comes with the wrong attitude or leaves a poor impression.

Remember that honesty is always the best policy. If you’re not naturally outgoing, at least show yourself to be friendly, transparent, and highly competent. That said, newcomers may be frustrated that their technical excellence plays second fiddle to personal attributes.

Business Hours in Spain

Spanish employees and business owners alike highly value a healthy work-life balance. Many Spanish businesses close at around 2 pm to allow their workers to go home for lunch with their families. Offices reopen later in the afternoon.

This means some businesses are uncontactable in the early afternoon. However, it also means business hours extend beyond the traditional 5 pm observed in many other European countries. Though this is standard practice in many Spanish businesses, some offices stick to a more typical 9-5 or 9-6 timetable.

Most Spanish families take holidays in August. This is sometimes obligatory in factory-based companies which tend to close down for an extended period over the summer. In this case, business relations may be suspended until the business or factory reopens.

Dress Code

Dress code is an interesting concept in Spanish business that can vary from business to business. However, it’s safe to say that how you present yourself is key to creating a good first impression. Err on the side of caution when meeting new potential associates and make sure you go dressed professionally.

Newcomers to Spain will notice many workers dress fairly casually to go to work. This is even true in banks where clerks dress in everyday clothes. However, corporate dress code is still very much limited to suits or business formal.

Diversity in the Workplace

In many ways, Spain is a politically progressive country with many initiatives to promote diversity and equality in the workplace. Many workplaces have embraced initiatives to promote opportunities for women and people from marginalised communities, such as the LGTBQI community.

Despite this, female representation in management areas remains low. Only 9% of general director positions in Spain are occupied by women. This figure is even lower in traditionally male-dominated fields like IT, production, and commercial. Despite these relatively low figures, women make up an integral part of Spanish business and their presence in high positions is bound to rise in the future.

Maternity and Paternity Leave in Spain

One of Spain’s most forward-thinking policies is access to maternity and paternity leave. New fathers are given the same amount of parental leave as new mothers in both the private and public sectors. This policy was enacted to reduce workplace discrimination against women of childbearing age. This is just one of the family-friendly policies Spanish businesses must conform to and that their workers benefit from.

Is It a Good Idea to Start a Business in Spain?

Yes, setting up a business in Spain is a good idea for many individuals. Entrepreneurs will find Spain’s business environment conducive to success in many sectors. Spain is a world leader in the tourism industry and boasts a strong and diverse manufacturing industry. However, there are a number of pros and cons to starting a business in Spain including the relatively high social security costs and taxes in the country.

Spain’s economy is currently in a period of moderate growth, driven by exports and tourism. The economy is estimated to have grown by 2.5% in 2023, with further (yet slower) growth in 2024 (page 9 of the PDF). However, economic activity is expected to decelerate to 2.3% in 2025 and 2.1% in 2026. While not exceptionally strong, the economy is showing resilience in a challenging global environment.

As a foreign entrepreneur, you must meet certain eligibility criteria to launch your business in Spain. You will also need a merchant services account and a global payment gateway to process electronic payments and fully benefit from the opportunities for international trade within Europe and beyond.

Put Your Best Foot Forward in Spain

Making your mark in Spain’s unique business environment is possible by understanding and adapting to your associates’ expectations. Closing a deal in Spain can be key to your business’s long-term growth plan, so make sure you put your best foot forward when presenting your business as a serious enterprise.

Business success often comes down to much more than simply a great product or service. Be prepared to let your personality shine through, read the room, and adapt to the different roles, situations, and places along your business journey in Spain.