Register a Company in Portugal – No Need to Travel!

How to open a Portuguese company to run your business in Portugal and across the European Union? The procedure is quite simple. Even better, you can get it all arranged for you remotely and effortlessly if you request our experts’ professional assistance. Start with a reasonable fee as little as 3200 EUR. You don’t even have to travel to Portugal! Read on for further details.

Company types in Portugal

You can register various types of companies in Portugal:

• Sociedade por quotas – Lda or the Portuguese equivalant of a Private Limited Company. Requirements: at least one owner of the company (traditionally, these companies are incorporated by two or more shareholders) and authorized capital from 1.00 EUR. This is the most common type, suitable for small and medium businesses. 
• Sociedade anónima – SA or a public company. It is suitable for those who have a larger authorized capital of 50 000 EUR and more. Requirements: at least 5 shareholders (each shareholder has limited liability), plus a board of directors.
• Sociedade em comandita – SC or a Limited Partnership. Requirements: at least 2 partners, each with their corresponding areas of responsibility: the General partner with unlimited liability and the Limited partner with limited liability. 
• Sociedade em nome colectivo – SNC – a General Partnership. Requirements: at least 2 partners, all with unlimited liability and equal mandates for participation in making decisions. No mandatory minimum amount of initial capital is required.
• Sole Proprietorship – the company with a single shareholder, who has unlimited responsibility for all losses and debts.  The individual owner is not required to have a minimum of capital to start a business.

As mentioned above, the most popular form is the “Lda.” Let us consider this Portuguse company form in detail, as the general principles apply to other companies as well.

Here are the reasons why it is profitable to register a company in Portugal

Portugal is recognized as the jurisdiction supporting business development, and the popularity of this jurisdiction for starting a company is growing. Here are some of the reasons why it is such an attractive environment for entrepreneurship and incorporation:

• Good standing and high reputation of Portugal as a European jurisdiction
• The lowest prices in the EU for company incorporation and operating costs 
• Its tax system is quite favorable for business and employment
• Foreign investors are warmly welcomed in Portugal
• Portugal has developed the business-friendly environment with the fintech community recognized as quite advanced
• Company registration is fast (up to 10 working days)
• The banking community considers any company incorporated in Portugal is clean and trustworthy
• There are quite affordable prices for office rent and substance, including the fees of the banks and rates for opening merchant accounts
• The population is generally well-educated, and to recruit competent staff is an easy task. 
• The cost of living in Portugal is the lowest in Western Europe

There are many other obvious benefits, including the climate, picturesque landscapes, popular tourist attractions, advanced road infrastructure, international hubs, easy access from all parts of the world, etc.

Company registration in Portugal

The standard procedure for registering a business in Portugal involves many steps. Nevertheless, there is also a simplified procedure – a fast track for company incorporation. 

Here, we will consider the general principle, the most relevant issues, and the inevitable steps in company registration that are the same for both the standard and the simplified procedures.

The main document needed to register a company in Portugal

The Articles of Association is the main document which you will need when registering a company. We will of course prepare it for you.

In this document, we will need to specify the following:

• the company name (in Portuguese)
• names, nationalities, and countries of residence of the owners
• the area and scope of your new business
• the rights and responsibilities of the directors who will manage the company
• the ownership and transferability of shares
• the voting rights in the company, liabilities, and other fundamental details.

You will need a share capital of EUR 1 and at least one shareholder. It is recommended to arrange a personal visit of at least one of gthe shareholders to open the bank account. However, you can draw up a power of attorney and get this process done remotely – especially if you hire a local professional manager, which is generally recommended if you are unable to visit Portugal .

How to register a company in Portugal: a formal procedure for registering a Lda.

The company registration procedure consists of 7 main steps.

1. Check the company name and reserve it in the Portuguese Registry of Business Names

You can choose your own name. It will take about 15 days to get it reserved, and you will have to pay a state duty. If the name is approved, you have up to 3 months to continue the procedure. 

You can also select one of our ready made, pre-approved names. Then you can immediately proceed to the next step of the procedure. Besides, this option is cheaper.

2. Appoint an official representative(s) of your company (The Manager or Director)

3. Draft your Articles of Association. Well actually you don’t need to do this – our Portuguese lawyer does it for you.

4. Open a bank account and deposit the authorized capital of the company (from 1 EUR).

You could also contribute to the capital in kind rather than in cash. A non-monetary capital contribution of this type must be valued by an independent auditor.

5. Submit documents for incorporation of the company: the Articles of Association, certified signatures of company partners. This process is done online by our offices.

To set up a company, non-residents of Portugal (individuals and legal entities) will need to obtain a tax number (Tax ID). EU residents can receive it directly on the spot from the tax office, while third-country nationals must appoint an official tax representative.

6. The following step is registration in the Business Register. Of course, we will do this for you. The following documents need to be submitted:

1. the certificate confirming the company’s name
2. corporate documents, including Articles of Association
3. additional documents, if necessary. For example, the auditor’s report on the in-kind contribution transferred to the authorized capital.

7. Then you will need to register your business as a taxpayer (all companies have a tax number) and as a social security payer.

The registration of a company in Portugal takes up to 5 working days.

Documents for starting the company registration in Portugal

In general, you will need the following documents to get started:

– internationally valid passport (or a certified copy thereof)

– proof of residence address (utility bill, or national ID)

Any other documents you need will be prepared by our lawyers during the registration procedure if you use our services.

Costs of company registration in Portugal

The company registration service in Portugal is offered by our experts. We offer a turnkey package starting at 3200 EUR – if you select the name of the company from our pre-reserved list.

If you want to choose your own name, the starting price is increased – please contact us for further details. 

The package service price includes the following services and documents:

The company registration fees:

•  With a name already pre-reserved in the Registry of Business Names – 1200 EUR
•  With a legal name chosen by you – 2400 EUR

Other services included:

• State duties
• A set of corporate documents
• Certificate of Incorporation
• Standard Articles of Association
• Description of business activities (Scope of Activities)
• If necessary, our translation of documents from Portuguese into English 
• Registration with the Portuguese tax authorities and registration of the Tax ID for the company
• Registration with the social security authorities and registration of the social security number
• Code for the 3-month access to the Good Standing Certificate of Commercial Registration – online access to company records and the most current information about the company
• Electronic card for access to the Permanent Certificate of Commercial Activities
• Physical card of the company (ID card) issued by the Registry (containing general information about the company)
• A personal Tax ID for the company’s owner (this is mandatory). Services of a Portuguese tax representative for this specific task at 500 EUR.
• Legal address for 3 months, plus services for 3 months
• Storage of original documents, archive, scanning of incoming mail
• Coordination with the accountant (up to 5 emails/calls per month)
• Coordination of work with tax authorities, state institutions and banks (up to 5 tasks per month)

Additional arrangements that we can offer (these are not included in the above-mentioned package services):

• A tax representative’s services in Portugal – at 600 EUR for 3 months
• Accountant services for 3 months – at 900 EUR
• Free account in the payment system outside of Portugal in one of the systems arranged by us.
• If you decide to open an account outside Portugal, you will need a set of apostilled corporate documents at 400 EUR.

Please note: 

You will need to open a corporate account within 5 days and deposit the authorized capital. The account may be in Portugal or abroad, but must be in an EU country. It may be a bank or any other financial institution. More information is available from info@offshore-pro.info.

It is also important to consider that accounting records is mandatory for a company in Portugal. A Portuguse registered office is also a must. 

If you wish, you can use third-party services. But we can provide you with a legal address and accounting services at quite reasonable rates: accountant services will cost 300 EUR per month or 3600 EUR per year. As for the legal address, please see the Family Office Package options.

It is always a good idea to use the Family Office Package when managing a company.

Family office Package is a comprehensive company service solution that includes the company’s address, interaction with government agencies and the accountant, etc. 

3 levels of this service are available:

• Family office Package (Basic) at 300 EUR per month, including:
  • registered office address
  • storage of original documents, archive, scanning of incoming mail and coordination with an accountant (up to 5 emails/calls per month)
  • coordination of work with tax authorities, state institutions, and banks.

• Family office Package (Medium) at 600 EUR per month, including:
  • all Basic package services
  • 2 hours of consultation or legal work
  • 2 hours of various additional tasks for you

• Family office Package (VIP) at 1200 EUR per month, including:
  • all Medium package services
  • plus  1 extra hour of consultation
  • airport-city-airport transfer
  • local transfers within the city for 2 days
  • 3 hours of simple routine tasks
  • unlimited assistance in communication with the accountant and the state authorities.

The cost of the company extension in Portugal

Mandatory costs:

• rental of registered office address – 3000 EUR per year
• accountant services – 3600 EUR per year

Optional expenses:

The access code to the Permanent Business Registry Certificate is at 150 EUR.

Total cost per year for company annual renewal – 6750 EUR. You can pay for the entire year, or in installments of 550 EUR per month.

Optional services

Services	Price in EUR
Services of a professional Portuguese director	INDIVIDUAL PRICE
Power of Attorney	400
Certified power of attorney with apostille and translation	700
Legal opinion	3000
Legal advice per hour	700
Company name change	1500
Address for mail services and connection to necessary public  utilities per year	2500
Translation per page	40
One set of documents apostilled	400
Opening of a corporate account in Portugal	4000

Steps needed to register a company in Portugal

1. Contact info@offshore-pro.info  and state that you wish to register a company in Portugal.
2. Provide preliminary information to ensure that we can provide the service you need.
3. Pay for the package service (from 3200 EUR) and provide a full set of documents.
4. We will do the preparatory work and register the company.
5. After registration, you can start your business activities and open an account.

If you still have questions, please contact us info@offshore-pro.info