Transportation Manager

The Land Transport Regulation Law (LOTT) establishes that companies holding public transport authorizations for passengers by bus or goods in vehicles with a Maximum Authorized Mass (MMA) greater than 3.5 tons, as well as transport operators, must prove that have at least one natural person who performs the functions of transport manager and that, for this purpose, it meets the conditions of:

• Direct effectively and permanently the transport activities of the company.

• Have a real link with the company.

For its part, the Land Transport Regulations (ROTT) establish the rules that must be observed with respect to the effective and permanent relationship of the person who works as a manager in companies holding authorizations.

Who can be your transport manager?

In the event that the holder of transport authorizations is a natural person, the manager may be:

1. Own holder, in the corresponding Social Security Scheme (Special Scheme for Self-Employed Workers, RETA).
2. An hired person full-time in the General Social Security Scheme, in contribution groups 1, 2 or 3.
3. Un familiar in the Special Scheme for Self-Employed Workers, RETA, as a self-employed collaborator. Under certain conditions, a family member could be registered in the General Social Security Scheme, in these cases they must be registered full time in contribution groups 1, 2 or 3.
   • In the event that the manager is registered with RETA, the registration must reflect the relationship with the holder of the authorization to which it is intended to ascribe.

Who can be your transport manager?

In the event that the holder of transport authorizations is a legal person, the manager may be:

1. Any of the natural persons that integrate it, proving that their participation in the share capital is equal to or greater than 15% and said person is registered in the corresponding Social Security scheme.
   In the event that the member corresponds to the General Social Security Regime, he must be hired full-time, in contribution groups 1, 2 or 3.
2. An hired person full-time in the General Social Security Scheme, in contribution groups 1, 2 or 3.

Can a transport manager contribute his professional competence to several legal entities?

There is only one situation in which it is allowed to act as transport manager in more than one legal entity. It is about, exclusively, when all these conditions are met:

1. The companies to which the manager intends to ascribe belong to more than 50% to the same holder.
2. The manager meets the requirement of royal bonding in at least one of the companies holding transport authorizations to which it provides competence.
3. Manager perform all functions statutorily established in all the companies involved.

It is not possible to act as a manager for two natural persons holding authorization or for one natural person and another legal entity.

Companies must have at all times with a natural person who exercises the functions of transport manager.

However, in the event of death or sudden physical disability of the person who had been performing this function in the company, the holder of the authorization will have the following terms counted from the date of death or disability:

• In all cases of death or disability: The competent body may allow the authorization to remain in force for a maximum period of three months, if the owner or his heirs have documented such circumstances.

• If the manager is the individual entrepreneur holder of the authorization: the forced heirs may continue the activity of the company for a maximum period of six months, even if they do not meet the requirement of professional competence. This period may be extended until three months more.

In the event that it is detected that the company does not have a transport manager, such circumstance will be notified with the deadline to remedy the breach of this requirement, always considering that outside of the above assumptions, the company must have a person at all times physicist who performs the functions of transport manager.