Spain is a country whose business fabric is completely dependent on SMEs, with more than 9 out of 10 companies that can be considered as such. But what exactly is an SME? Its official definition can be found in regulation no. 651/2014 of the European Commission, specifically in its Annex I. An SME can only be called that way if it is a company. According to this document, a company will be considered “any entity, regardless of its legal form, that carries out an economic activity. In particular, companies are those entities that carry out an artisanal activity or other activities in an individual or family capacity, as well as partnerships and associations that carry out economic activity on a regular basis.” In addition, the letter specifies that the category of SMEs (micro, small and medium-sized enterprises) can be framed in those companies that employ less than 250 people and whose turnover is less than 50 million euros or whose annual balance sheet is below 43 million euros. , SMEs can be very different from each other. To divide them we talk about three different typologies: micro, small and medium-sized enterprises.A microSME It is considered to be a company that has a workforce of less than 10 people and that has an annual turnover of at most 2 million euros. On the other hand, a small business It would be the one that employs less than 50 workers and has an annual balance sheet of less than 10 million euros. La Medium-sized company, as we said, is the one with less than 250 employees and earns at most 50 million euros per year.
To estimate staff and financial amounts, it is necessary to use the last closed accounting year and make the calculations on an annual basis. The total turnover is calculated without accounting for VAT or indirect taxes. If it is a start-up company that does not yet have its accounts closed, what is done is to use data based on estimates for the financial year.
Compliance with requirements
For a company to be considered an SME, it is essential that it complies with the maximum limits established in the requirement relating to the number of employees of SMEs. On the other hand, to obtain the status of an SME, it is only necessary that, once the first requirement is met, the company complies with one of the other two requirements, referring to the volume of turnover and the balance sheet. Thus, the fact that a company exceeds one of the two previously established maximum limits does not imply that the company cannot be considered an SME. Along the same lines, those companies considered SMEs that will only lose their status when they exceed the established thresholds (either exceeding the cash requirement or both financial requirements) for two consecutive years. And, consequently, those companies considered to be large companies will need to meet the limits established in the different requirements for two consecutive years, in order to be considered an SME. All those entrepreneurs who want to check if their company is an SME or not have the opportunity to do so thanks to a tool (https://soypyme.ipyme.org/Home developed by DGIPYME (General Directorate of Industry and Small and Medium Enterprises). To find out, all they have to do is fill out the questions in a questionnaire. This is not a simple whim, since SMEs can get a lot of grants and subsidies that are not available to other types of companies.
SMEs in Spain
SMEs and everything they represent are key players in the productive fabric and in the economy of Spain, as well as in the European Union as a whole: nine out of ten companies are SMEs and these generate two out of every three jobs. Specifically, according to the data collected in the Reports prepared by the D.G. of Industry and the SME, the situation of SMEs in Spain has evolved as follows: -In January 2021:
Total number of active SMEs: 2,879. 948Employment generated: 10,131,728
In January 2021, companies active in Spain totaled 2,884,713, generating a total employment of 15,790,645. -November 2021:
Total number of active SMEs: 2,928,418Employment generated: 10,641,646
In November 2021, companies active in Spain totaled 2,933,435, generating a total employment of 16,568,765. In both cases, the predominant sectors are the service sector, construction, the agrarian sector and industry.
Despite the effects of the pandemic, which are still evident in the country's economy*, the number of SMEs has continued to grow throughout 2021, as has the employment generated by them. Now, Spanish SMEs are focusing on concepts such as innovation, e-commerce and marketing to exploit their full potential and get out of the crisis. *The European Central Bank's latest 'Survey on access to finance for companies in the eurozone' reveals that Spain remains the European country with the highest percentage of SMEs in situations of economic vulnerability. More articles of interest: Acelera SME PlanGrants for startups and SMEsTax deductions for R+D+i for startups and SMEs
