While historically an agricultural town, Collado Villalba has evolved into an important commercial hub in the Sierra de Guadarrama region. The town’s economy now thrives on retail, services, and tourism. Its strategic location near Madrid has attracted several businesses and industries, turning it into a commuter town with a robust local economy.
Tourism, particularly eco-tourism and sports tourism, plays a significant role due to the proximity to the mountains and national parks. The town is also known for its vibrant local markets and small businesses offering artisanal products, crafts, and local services.
Healthcare, education, and hospitality are other key sectors, making it a well-rounded and sustainable economy. With a growing number of restaurants, hotels, and venues, the town is also increasingly recognized as an ideal spot for corporate events, workshops, and retreats.