Spain’s Venture Capital Boom: Why Early-Stage Founders Have Never Been Better Positioned to Build

Spain is undergoing one of the most dynamic periods in its startup history. While global venture capital funding has slowed over the past two years, Spain continues to move sharply in the opposite direction, breaking records, attracting new investors, and solidifying its position as one of Europe’s most resilient innovation hubs. 

This momentum is not only reshaping the national ecosystem, it is redefining the opportunities available to founders. And for anyone building a tech product in Spain right now, the timing has never been better. 

In this article, we break down the key trends driving Spain’s surge and what they mean for early-stage startups. 

A Record-Breaking Funding Landscape 

In 2024, Spanish startups secured €1.9 billion in venture capital, the highest annual total ever recorded. This alone would be impressive, but the start of 2025 has already outpaced expectations: €1.95 billion was raised in just the first six months, surpassing all of 2024. 

While the global investment climate saw contraction, Spain charted the opposite path, benefiting from renewed investor interest and a stronger-than-expected pipeline of early-stage companies. 

This counter-cyclical performance signals something important: Spain is no longer just catching up, it is beginning to lead. 

Global Slowdown? Spain Didn’t Get the Memo 

Across Europe and the U.S., VCs have been deploying capital more cautiously. Yet Spain has demonstrated remarkable resilience, outpacing other mature ecosystems in both deal count and early-stage activity. 

Several factors explain this divergence: 

• A maturing ecosystem with more repeat founders 

• Improved access to talent across tech, product, and AI 

• Government support programs and tax incentives 

• Lower operational costs compared to other European hubs 

This resilience strengthens Spain’s appeal as an investment destination, even when macroeconomic uncertainty persists globally. 

A Surge in Early-Stage Investment 

If there is one trend that truly defines Spain’s current moment, it is the dominance of early-stage funding. 

 Seed and pre-seed rounds have reached all-time highs, driven by both local and international funds searching for strong technical talent and attractive valuations. 

 Early-stage investment has: 

• Hit record highs 

• Become the fastest-growing segment of the market 

• Positioned Spain as one of Europe’s top destinations for young startups 

For founders, this means clearer pathways to funding, but also higher expectations for traction, prototyping speed, and clarity of vision. 

An Ecosystem Now Worth Over €110 Billion 

Spain's startup ecosystem has now surpassed €110 billion in total enterprise value, a significant milestone that reflects how quickly the country has scaled since 2020, when it was valued at roughly half that amount. 

This value is driven by several forces: 

• A growing number of scaleups 

• Increased investor participation 

• A new generation of global-first founders 

• Breakthroughs in deep tech, AI, and digital services 

Spain is no longer a secondary destination for talent or capital. It’s a competitive hub shaping European innovation. 

Tech Leads the Charge: AI at the Frontline 

No surprises here: technology and software remain the dominant sectors for venture investment, with artificial intelligence acting as the primary catalyst. 

But momentum is not limited to AI-driven companies. Other high-performing segments include: 

• Healthcare & biotech 

• Industry & manufacturing tech 

• Advanced mobility 

• Future-of-work platforms 

With software eating every sector, and AI rebuilding the entire stack, the next wave of Spanish unicorns is likely to emerge from deeply technical founders or hybrid teams capable of blending business, data, and engineering. 

Deal Volume Rising: Spain Climbs the European Rankings 

Spain is now the fourth-largest country in Europe by number of funding rounds, surpassing several traditionally stronger ecosystems. 

The increase in deal volume reflects: 

• A more active angel investor community 

• A dense network of micro-VCs and emerging managers 

• Corporate VC activity accelerating 

• Regional ecosystems maturing simultaneously 

Investors aren’t just betting bigger, they’re betting more often. 

The Rise of New Hubs: Valencia, Málaga and Beyond

Madrid and Barcelona continue to dominate in deal flow, talent, and infrastructure. But momentum is spreading. 

Valencia is emerging as a product-led, tech-first hub with strong academic roots, while Málaga, powered by public investment and international tech firms, is quickly positioning itself as the “Southern European Miami.” 

This decentralisation is healthy, it creates competition, attracts international talent, and gives founders more options on how and where they want to build. 

What This Means for Founders (and Why It Matters Now) 

For anyone building a product today,  whether digitally native, AI-first, or industry-specific, this environment presents a unique opportunity. 

A few strategic implications: 

1. Speed matters more than ever. 

With early-stage competition rising, founders need to move from idea to proof-of-concept fast. The Spanish market rewards velocity. 

 2. Investors expect clarity and validation from day one. 

 You don’t need a perfect product, you need a focused prototype that demonstrates user insight and demand. 

 3. AI-native products will outperform traditional SaaS. 

 Spain’s strongest VC appetite is concentrated in AI-powered solutions and infrastructure. Build in this direction if you can. 

 4. This is the best time to launch something in the last decade. 

The combination of capital abundance, ecosystem maturity, and tools that compress development timelines means barriers to entry have never been lower. 

Where NomuLabs Fits Into This Moment 

At NomuLabs, we’ve seen this shift firsthand. Working with early-stage founders, across Madrid, London, and beyond, we’re watching more people than ever trying to turn ideas into MVPs, seeking speed, clarity, and expert guidance. 

 This is exactly why we built our Iterate & Iterate methodology:  to help founders go from idea → MVP → user feedback → traction in weeks, not months. 

Because today’s ecosystem rewards those who build fast, learn fast, and adapt fast. 

And right now, Spain is giving early-stage entrepreneurs an unparalleled window of opportunity.