Support and incentives exist for companies in areas such as training, recruitment, research and internationalization amongst others.
The Madrid city council reimburses 40 to 50% of the economic activity tax (Impuesto de Actividades Económicas) for companies that increase their staff. Other bonuses are provided under different requirements for training contracts in companies: with less than 50 employees; hiring vulnerable groups such as people with disabilities or victims of domestic violence; and/or people out of work and turning temporary contracts into fixed-term.
Companies can receive training support to reduce social security costs. It is also possible to access subsidised training courses for both employed and unemployed people. The responsible entity in Madrid is the training department of Madrid’s Employment Agency (Agencia para el Empleo de Madrid).
Financial support and tax benefits exist for priority sectors and specific business activities: R&D&I (programs managed by CDTI-Centro para el Desarrollo Tecnológico Industrial, digital agendas for innovative SMEs, tax deductions, etc), tourism, audiovisual companies, industrial investment, etc.
Funds and support for investors, export and commercial establishments are provided by institutions such as the Spanish Official Credit Institute (ICO), COFIDES (Spanish Company for Development Finance) or the State Secretariat for Trade, as well as regional bodies and others.