How to start a business in Portugal?

Portugal has been one of the most promising countries for investment by non-EU citizens for 10 years. The authorities strongly support the initiative to attract foreigners to the development of the country's economy. This is confirmed by the proposal of a simplified permanent residence permit and the opportunity to become a Portuguese citizen in 5 years.

The reason for choosing Portugal is not only a simplified procedure for starting your own business, but also the geographical location of the country and comfortable living conditions. The adaptation period is not a problem, because the oceanic coast and 300 days of summer a year will not leave anyone indifferent.

 

For opening a business by foreigners, the country offers visas with which you can obtain a residence permit on the following conditions:

• Golden visa – offers obtaining a residence permit by investing in the country's economy (purchase of real estate, opening and developing a business, financial deposits).
• Startup visa – involves the opening of innovative projects based on incubators or their transfer to Portugal.
• D2 visa is an entrepreneur visa or a business visa, which can be obtained if a new company or branch is opened. It is possible to purchase an existing business in Portugal with the transfer of rights to the new owner.

 

These prerequisites encourage more and more people who want to open a company in Portugal or purchase an existing one. The strengthening factor is not only obtaining a residence permit, but also the opportunity to become a citizen of a European country after a short period.

 

Company registration procedure in Portugal

Before the registration procedure with the submission of the required set of documents, it is necessary to determine the field of activity and the organizational and legal form of the future business. The most common areas of business that are opened in Portugal include winemaking, textile industry and food products. Besides manufacturing, a large percentage of foreign business is occupied by the IT sector. The traditional trade and services are not exception.

Depending on the type of business, its management structure may vary. It can be both an individual and a legal entity. The first option provides for the format of small businesses with comprehensive state support in the form of benefits and privileges. You can register as an entrepreneur pretty quickly, even online. The second option involves the registration of a small business in the form of a closed joint-stock company and a medium-sized limited liability company. Such a registration procedure is more complicated and involves the following steps.

Firstly, it is necessary to determine the name of the company, which must be unique. Prior to the start of the registration process, a legal address or place of actual location is required. The following stages will include:

1. Have a notary or lawyer certify the signature of the social pact.
2. Register the chosen company name in the National Register of Legal Entities ((Registro Nacional de Pessoas Colectivas, RNPC) and in the Commercial Register, or select a name from the RNPCs list of pre-approved names in the database.
3. Register the company with the Commercial Register and pay the required tax.
4. Open a bank account with an initial authorized capital that corresponds to the selected type of company.
5. Submit the necessary registration documents to the Portuguese Ministry of Economy within the specified timeframe.

It should be noted that opening a company can be simplified by contacting a legal agency. Under the contract and on the basis of power of attorney, specialists will be able to perform the procedure without the physical presence of the customer.