If your company needs an account in Europe, you can open a corporate account in Portugal. Our Offshore Pro Group experts will recommend the right bank matching your needs, and assist you in arranging the necessary application portfolio in a remote mode so that you will not even have to travel to this jurisdiction. This popular service is available from us for a set-up fee of 3999 EUR.
Let us introduce one of the private Portuguese banks focused on the corporate market. Its commission for opening an account is 250 EUR, and it requires a minimum deposit (and balance) in the amount of 500 000 EUR. Please find below some other important details about this financial institution and its benefits that will make your banking in Portugal an inspiring and promising opportunity. For more information, please contact us at info@offshore-pro.info.
Facts about the banking system in Portugal
Portugal has developed an advanced banking system offering clients a range of benefits much appreciated by local and non-resident businesses.
With a population of just a little over 10 million, Portugal is home to a large number of banks – over 150 financial institutions. They include a variety of private national retail banks, public and cooperative banks, international banks, and newer mobile banks.
The majority of banks in Portugal belong to the Portuguese Banking Association.
Banks in Portugal are part of inter-bank networks connected through Multibanco with a nationwide system of over 11,000 ATMs. It is believed to be one of the most advanced ones in the world, and you can perform over 60 different operations via ATMs – from buying concert tickets, to making charity donations.
The Portuguese central bank is the Banco de Portugal, which also serves as the regulatory authority for Portuguese banks. Given that the country is in the Eurozone, the European Central Bank also has a great influence on the country’s banks.
The second-largest bank in Portugal is the State Savings Bank (Caixa Geral de Depósitos) – a state-owned banking corporation.
There are many subsidiaries of multinational banks with expat-friendly services.
The choice of banks in Portugal is so big and can satisfy such a variety of needs, that you should consider many factors or ask professional advice when planning to open your account in the jurisdiction. The bank recommended in this article has proven its top standards, reliability, technological advancement, and customer-friendliness. You are welcome to discuss your expectations and this bank’s features with our team. Just contact us at info@offshore-pro.info.
The currency in Portugal is the euro.
Despite the recent and current economic slowdown in the European economy in general and in Portuguese economic growth in particular, the domestic banking sector has demonstrated positive performance in terms of credit expansion, improving its liquidity, solvency, and profitability, while reducing non-performing loans (NPLs).
The private bank which we recommend for opening a corporate account remotely featured the steady positive performance in its turnover and customer loyalty levels in 2019. As for the challenging 2020, the bank’s ultimate goal continues to be to grow its business and increase its market share, while taking measures against excessive exposure to risk, with a strong culture of internal control and compliance. The bank’s leadership recently reported about the stability of its operation and claimed that its current strategy does not jeopardize the interests of its customers, employees, and shareholders.
Reasons for cooperation with the recommended private bank in Portugal
The Bank launched its operation in 2008 in its headquarters in the capital of Portugal – Lisbon. Over time it expanded its presence throughout the country: Viseu, Aveiro, Leiria, Braga, Porto, and other cities. By 2012, its network already had opened over 200 offices. The Bank is also present in the financial markets of Angola and Spain.
This Portuguese bank is appreciated for its commitment to becoming a partner of each of its clients, with a professional focus on supporting their international business, development, and expansion of cross-border connections.
Business customers can not only open a corporate account with this bank but also use a large number of other services. It is a private multi-asset financial institution, providing a full range of financial services, but the focus is on the retail and corporate market, serving around 267,000 customers to whom it offers a wide range of financial products and services.
The scope of this bank’s services includes:
- cash and settlement services – payments in favor of contracting parties, tax payments, and automatic payments. The Bank acts as a payment agent of the client, it sends and receives invoices, pays them from the client’s account, informs the client about all transactions
- issue of debit and credit cards
- factoring (assignment of receivables)
- opening of invoices for legal entities, lawyers, insurance agents
- online acquiring and mobile payments from Netpay (available for online stores and web-based services)
- term deposits, savings accounts
- investment funds
- various credit lines for working capital or investment purposes
- special lending programs for agricultural enterprises, companies working in the tourism sector
- cross-border transfers
- trade finance (warranties, letters of credit)
- export/import operations (international cheques, documentary credits, import/export financing).
It is recommended to open a corporate account with this Portuguese bank for the following reasons:
• if you are planning to do business in Portugal, Spain or Angola, this bank if the right choice
• the bank offers all the essential financial services: lending, guarantees, factoring, etc.
• an active account with a Portuguese bank boosts the profile and marketable corporate image of the company among its European counterparties.
A corporate account in Portugal with the private bank
Foreigners can open a corporate account with the recommended Portuguese bank in EUR and US USD.
It should be noted that in Portugal there is a law on the protection of funds, according to which the guarantee fund shall reimburse clients for account balances not exceeding EUR 100 000 in case of bankruptcy of financial institutions.
Businessmen can open deposit accounts for storing and accumulating funds, as well as settlement accounts for conducting business operations.
Current account management services at the Portuguese private bank
This category of banking products includes the settlement of payments, work with accounts payable, debit, and credit cards.
The bank takes care of the payments to suppliers and contractors, which gives the customer more time to run other business matters, and enhances the suppliers’ trust in such a customer, as they are always sure of getting the timely payment for goods or services provided. The bank is responsible for the relevant paperwork and the correct management of invoices. In addition to the facilitation to and maintenance of documents signed with contracting parties, the bank can also calculate and transfer wages to employees, remit taxes, and process other regular payments.
For owners of Internet stores, hotels, travel agencies, restaurants, car rental companies, the bank offers the service of connection to the Netpay Network (Internet acquiring).
For companies that handle a large number of recurrent revenues, such as utility companies, clubs, subscriptions to newspapers or magazines, insurers, etc., the bank offers a direct debit account service. With its help, the client can collect receivables from 32 countries.
A business account with the Portuguese private bank
A corporate account called More Business provides companies with access to a wide range of financial services. It is ideal for settlements with counterparties located on the European continent.
As part of this service package, the user pays the following expenses:
- monthly subscriber fee – 6 EUR + 4%;
- account opening fee – 250 EUR;
- 50 free transactions in SEPA up to 100 000 EUR per month;
- cash withdrawal at the cash desk – 5 EUR + 4%;
- transfers of payments at the rate from 5 EUR, with the actual commission depending on the transfer value.
When opening an account in Portugal, you should take into account the mandatory taxes that increase the commission amount:
- 4% – stamp duty
- VAT – 23% in mainland Portugal, 18% – in Azores, 22% – in Madeira.
Corporate credit and debit cards issued by the Portuguese private bank
For your quick access to your account, the bank issues credit cards of the Visa payment system. They allow withdrawing cash or making payments all over the world within the preset credit limit. The minimum monthly credit line payment is 15 EUR or 4% of the debt. At the same time, the customer can set the payment limit independently: at 15%, 25%, 50%, or 75% of the outstanding balance. The interest rate is 22.2% per annum. Moreover, there is a grace period of 50 days.
Visa debit cards allow the customer to use their money around the clock. He can use them to pay for purchases in stores, and he can make payments in any currency.
Term deposits with the Portuguese private bank
Term deposits are designed to allow you to save funds and generate additional interest income.
Customers can deposit money in the amount of 5 000 to 100 000 EUR for 365 days with the maturity payment at the end of the term. The nominal deposit interest rate is 0.75% per annum. But it should be taken into account that the client is obliged to pay the 28% income tax on the interest received (in Azores – 22.4%).
The bank also offers the opportunity for micro-deposits on the following terms:
- deposit period – 92, 183 or 366 days
- minimum deposit amount – 100 EUR with the monthly top-up of 25 EUR or more
- maximum deposit amount – 10 000 EUR
- interest rate – from 0.25% to 0.5%.
There is also a long-term deposit in the product line of the bank. It is possible to place money for a longer period, under the following conditions:
- minimum deposit amount – 2 500 EUR, maximum – 100 000 EUR
- term – 3 years
- nominal interest rate – 0,65% per annum
In addition to deposits in EUR, the bank accepts deposits in USD. You can place money in the U.S. currency under the following conditions:
- minimum deposit amount – 5 000 USD, maximum – 80 000 USD
- term – from 31 to 365
- nominal interest rate depends on the term of the deposit – from 0.1 to 1.65% per annum
- the interest can be paid to a special account or capitalized to increase the deposit amount.
Investment funds with the Portuguese private bank
Apart from deposits, the bank offers its clients to profit from depositing free funds with investment funds:
- Global bond sub-fund – for investing from 10 USD or EUR for up to 3 years, with the management fee of 0.75% per annum;
- Open investment fund for minimum investments from 500 EUR, for the recommended investment period of 2 years, with the management fee of 1% per year;
- Short-term investments in an open-end investment fund – minimum investment amount of 500 EUR/USD, investment period – from 3 months, management fee – 0.5% per year, depository fee – 0.10% per annum;
- Brazilian Investment Fund – minimum investment amount from 1 500 USD, recommended investment term – 3 years, depositary fee – 0.2% per annum, management fee – 1% per annum, return on securities – US DOLLAR LIBOR 6M + 3%.
How to open a corporate account in Portugal remotely?
You should start with the following steps:
First, for the professional service of opening an account, please contact our experts at the following e-address: info@offshore-pro.info.
Second, pay the service fee for our professional assistance in your account opening. Available payment methods: a bank transfer, payment via a bank card, WebMoney, PayPal, Western Union.
The cost of the service will be:
- for a company without a nominee shareholder – from EUR 3,999;
- for a company with a nominee shareholder – from EUR 4,999.
Third, collect all necessary documents for filing your application for opening a corporate account with the recommended bank.
Documents required for opening a corporate account in Portugal
A corporate account with a Portuguese bank can be opened for a foreigner upon submission of the following documents:
- company incorporation documents (the Memorandum and Articles of Association, extract from the register of legal entities, TIN certificate)
- internationally valid passports of beneficiaries and managers of the company, and papers issued as proof of their residence
- description of the company – its organization structure, the field of activity, main contractors, sources of revenue, fixed assets, etc.; licenses, permits to conduct business (if any).
Please note: All company documents need to be notarized and apostilled. If necessary, the bank has the right to request additional documents.
There are several points to consider when preparing to open a corporate account in Portugal:
- The easiest way to open a corporate account with a Portuguese bank is to open it for a locally registered company.
- If you want to open an account for a foreign company, it is necessary to show that the company has been in existence for some time and that it has business contacts/clients/contractors in Portugal. Having an EU taxpayer number will increase your chances of opening an account in Portugal.
It is also important to note that the process of opening your corporate account can be much less complicated in case you have a personal account with the same bank, especially if you have used it for at least 6-12 months, with the regular top-ups of the balance. Regular clients get their corporate account set very quickly. To this end, you will need to submit a lease contract for a period of 6 months and in some cases – an employment contract.
In some cases, it is a good idea to first open a corporate account outside Portugal (an IBAN account), use it for several months, and then apply to a Portuguese bank for setting up an account here.
You might wonder why should you contribute so much time into all this? Although the task of opening a corporate account in Portugal takes some effort and does not seem very straightforward, such accounts are recognized as one of the most reliable ways of protecting corporate assets. If you abide by the law and provide sufficient proof of your trustworthy business, the bank will not require any extra documents and will not pick on you. With a Portuguese corporate account, you can quietly develop your business internationally and enjoy the security of your assets.
The procedure for opening the corporate account is as follows:
- You need to fill out and submit to us the scanned copies of all the necessary bank forms so that we could check that you have everything you need properly filed. Then we will forward them on to the bank for approval. After receiving the bank’s approval, a full package of required papers needs to be mailed to the bank.
- After you submit to the bank the complete set of duly certified documents, it will take about 20 days for the bank to check them
- After opening an account, it is advisable to meet with the banker in person. However, this is just a recommendation, not a requirement.
If you are interested in this service, please contact us today by e-mail info@offshore-pro.info and we will help you get the information you need and assist in setting up your corporate account in the recommended Portuguese private bank quickly and efficiently.
