Portugal Company Formation

About Portugal

Portugal is the official republic of Portugal and a sovereign country of Western Europe. It consists of the mainland part of Portugal on the west coast of the Iberian Peninsula and the Atlantic and Madeira and Azores islands. The westernmost country in Europe borders only another country: Spain in the north and northeast. Portugal and Morocco have maritime borders. Portugal has an area of 92,090 square kilometers, compared to Hungary (93,028 square kilometers) or the US Indiana. The country's population is 10.3 million (2015); the capital and largest city is Lisbon, with approximately 550,000 inhabitants. The official language is Portuguese.

Advantages of Company Formation In Portugal

Portugal is a strategic location for foreign companies looking to establish a business in Europe and individual investors who are looking for market advantages and a good business environment. The country's location in Europe has advantages in terms of easy access to other important markets. In addition, Portugal has close links with other EU countries. As a member of the European Community, its standards and laws are consistent with EU standards and laws in terms of commerce, import and export and commercial affairs.

• Portugal's good position in Europe and its proximity to some of the EU's most important markets is Portugal's first advantage for investors. The country has good trade relations not only with EU countries but also with the United States, Brazil or African countries.
• Compared to other countries, Portugal's workforce is highly skilled and it costs less to hire employees. This may be an important advantage for investors interested in starting a new company in Portugal. The country has a group of talented young workers in areas such as engineering or commerce. The country also has a well-developed transportation infrastructure and ICT network.
• Portugal's business environment is attractive to entrepreneurs in all business sectors, and an important advantage is its openness to foreign investors and foreign employees. In addition, the quality of life in Portugal is high and many investors and immigrants like to live in this climate. Portugal's favorable tax structure is another reason why foreign investors choose Portugal to do business. You may need to seek support for VAT registration and obtain a Portuguese EORI number.

Portugal Economic Opportunities

Portugal's economy is mainly based on agriculture, tourism and trade. In fact, Portugal is an important partner in international trade. In addition, Portugal is known for producing softwood, oak and olive oil. Encourage foreign companies to set up companies in Portugal, such as the development of renewable energy, especially solar energy. In addition, foreign investors who are willing to set up a company in Portugal can ask the Portuguese Investment and Foreign Trade Agency for more information on setting up a company in Portugal. In 2016, Portuguese banks' foreign investments in Portugal totaled € 1.4 billion. Portugal's main investors are Germany, the United Kingdom, Spain, France and the Netherlands.

How to open LDA in Portugal?

Foreign investors who want to register a limited liability company in Portugal, LDA (Portugal's most popular business institution), need to provide at least 5,000 euros of equity in a bank account opened in the country. Such businesses can be started by at least one Portuguese shareholder without having to have a board of directors in the company. We remind you that a Portuguese limited liability company was established in accordance with the Portuguese Company Law and the Commercial Law. We will support you when you create your company file and register it with an authorized agency.

How to start a business in Portugal

According to the World Bank Group, Portugal is one of the EU countries that is easy to start new business. A good business environment and special one-stop company registration methods are in place, which allows investors to start a company in just one day. One of our lawyers in Portugal can explain in detail the special features of a "live law firm" and can help you collect all the documents you need to speed up the establishment of your company.

You can contact our law firm in Portugal for more information on the company incorporation process and the laws on investing and doing business in the country.