I lived in Spain for 9 years and ran a company there for 7 of those - I would never do it again. Even with competent professional legal & accounting assistance it's a bureaucratic nightmare by the standards of most other places I've been. It's also not particularly cheap - contrary to what the article says, Berlin in my experience is much cheaper.

That said, it's a nice place to live, especially Barcelona, and that helps to attract foreign talent if you can't find good people locally.