What are the commercial contracts that you must specify in order to classify your professional activity?

Commercial contracts are extremely important for Spanish companies and freelancers. This is because they allow them to have the necessary legal security to develop their activity safely and without exposing themselves to risks. To learn more about what commercial contracts are and why they are necessary to classify your work activity, stay until the end of this article with us.

What is a commercial contract in Spain?

A commercial contract is a legal agreement between two or more parties engaged in commercial, industrial or business activities. It is worth mentioning that they are governed by the Code of Commerce and other specific regulations of Spanish commercial law. 

The purpose of these contracts is to establish the conditions and terms of the commercial relations established between the parties. They include aspects such as the purpose of the contract, the obligations and responsibilities of each party. As well as the term of the contract, the form of payment, guarantees, among others.

In Spain, there are several types of commercial contracts that are used to regulate different commercial relationships. For example, contracts of sale and purchase, leasing, franchising, distribution, commercial agency, etc.

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How does commercial law work in Spain?

It is important to note that, in Spain, commercial law has a specific legal regime. It applies to commercial relationships between companies and professionals. What differentiates it from civil law is that the former applies to relationships between individuals. 

For the drafting and negotiation of commercial contracts, it is advisable to have the advice of a lawyer specialized in commercial law. He or she can ensure that the contract complies with legal requirements and protects the interests of the parties involved.

6 types of commercial contracts that you must specify in order to classify your business activity

In order to classify your professional activity, whether you are self-employed or a company, it is necessary to take into account the commercial contracts to be concluded. Since these establish the obligations and responsibilities of the parties involved in the commercial transaction. 

The following is a brief description of the most common groups of commercial contracts:

Exchange contracts

These are characterized by the exchange of one good for another or the provision of a service. Among this group of contracts you can find: 

• Contract of sale: used for the transfer of goods or products in exchange for a determined price.
• Lease: used for the temporary assignment of an asset or property in exchange for rent.
• Contract of carriage: used to establish a commercial relationship between a transport company and a customer. All for the purpose of transporting goods from one place to another.
• Supply contract: in this contract, one party undertakes to supply goods or services. This is done on a periodic basis, in exchange for payment.
• Swap contract: the parties agree to exchange certain services.
• Work contract: one of the parties undertakes to perform a certain work and the other to pay for it. This is subject to compliance with the terms of the contract. 

Collaboration contracts

They refer to a commitment to provide a certain service or to perform a certain activity with the purpose of achieving specific results. This group of contracts includes the following:

• Agency contract: this is used to establish a commercial relationship between an agent and a principal. The agent acts on behalf of the principal in the marketing of its products or services.
• Mandate contract: through this contract, one party undertakes to enter into or perform one or more acts of commerce on behalf of another party. The mandate may involve the presentation of the principal.
• Franchise agreement: is used to establish a business relationship between a franchisor and a franchisee. This allows the franchisee to use the franchisor’s brand, know-how and processes to operate a business.

Insurance contracts

These are commercial contracts in which one of the parties, the insurer, covers the insured party against certain risks. In return, it receives payment of the insurance premium.

Conservation, deposit or custody contracts

These contracts result in the depositor delivering a certain item or items to a bailee. By means of the contract, the depositary is obliged to take care of it and keep it in exchange for the payment of the contract.

Loan and credit agreements

They are made mainly by financial institutions. In these contracts, money is lent in exchange for its repayment, together with the agreed interest. Within this group of contracts, the most outstanding are mortgage contracts. These, in turn, have been highly questioned by several courts.

Guarantee contracts

This type of contract includes a guarantee for the performance of the obligation. Pledge, surety, or mortgage contracts correspond to this type of contract.

In general, the choice of a commercial contract will depend on the specific needs and characteristics of each professional activity. It is important to have the advice of a lawyer specialized in commercial law for the drafting and negotiation of such contracts.

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Why are commercial contracts important to classify your economic activity in Spain?

Commercial contracts are fundamental to classify economic activity in Spain because they establish the legal bases and regulate commercial relations between companies and professionals. 

The purpose of these contracts is to establish the obligations and rights of the parties involved in a commercial transaction. Thus, they define the terms and conditions of the transaction. This includes aspects such as the object of the contract, the term of the contract, the form of payment, guarantees, among others.

In addition, commercial contracts are also important to protect the interests of the parties involved in a commercial transaction. They establish the basis for resolving possible future disputes.

How is economic activity in Spain classified?

The classification of economic activity in Spain is made through the National Classification of Economic Activities (CNAE). This entity allows the identification and grouping of economic activities according to sectors and subsectors. 

Commercial contracts, in this sense, are crucial to determine to which sector or subsector an economic activity belongs. This is because they make it possible to identify the specific characteristics of each activity and its relationship with other market players.

For example, a contract for the purchase and sale of agricultural products would allow the economic activity to be classified as belonging to the primary sector. Meanwhile, a contract for the distribution of electronic products would allow it to be classified as belonging to the tertiary sector. 

Thus, commercial contracts are essential to establish the economic activity of a company or professional. As a consequence, it will be possible to determine the obligations and rights derived from its activity.

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Do you need a manager to carry out the commercial contracts that will classify the commercial activity you perform? Contact our specialists at TAS Consulting at tasconsultoria@tas-sl.es.

In our office we have experts trained to provide you with the information you need and more. Schedule your free consultation with us and keep your business up to date.