How to Open a Company in Portugal as a Foreigner

Portugal has become a hotspot for international entrepreneurs thanks to its stable economy, EU membership, strategic location, and welcoming business environment. Whether you're relocating to Portugal or expanding your operations from abroad, starting a company here as a foreigner is entirely possible—and often simpler than you might expect. This guide walks you through the key steps, legal requirements, and practical tips to successfully open a company in Portugal as a non-resident.

1. Choose the Right Legal Structure

As a foreigner, you can choose from several business structures. The most popular options include:

• LDA (Sociedade por Quotas) – A private limited liability company
• Unipessoal LDA – A one-person limited liability company
• SA (Sociedade Anónima) – A public limited company, suitable for large-scale businesses
• Branch (Sucursal) – An extension of a foreign parent company

Most foreign entrepreneurs choose an LDA or Unipessoal LDA due to low capital requirements, limited liability, and ease of management.

2. Get a Portuguese Tax Number (NIF)

Before you can register a company, you and any other foreign shareholders must obtain a Portuguese tax identification number (Número de Identificação Fiscal – NIF).

• If you're not a resident in Portugal, you will need a fiscal representative (usually an accountant or lawyer).
• You can get your NIF from a local tax office (Autoridade Tributária) or through a legal representative remotely.

3. Appoint a Legal Representative (if abroad)

If you're not physically present in Portugal or are not an EU/EEA resident, you must appoint a legal or fiscal representative based in Portugal to act on your behalf for legal and tax purposes.

4. Choose a Company Name

You can select a company name in one of two ways:

• Pick from a pre-approved list (quick and simple)
• Request a custom name via the RNPC (Registo Nacional de Pessoas Coletivas), which may take a few days

Once approved, you’ll receive a company name certificate valid for 3 months.

5. Open a Portuguese Business Bank Account

You must open a corporate bank account in Portugal and deposit the initial share capital:

• Minimum capital for LDA/Unipessoal LDA: €1 per shareholder
• Obtain a capital deposit certificate from the bank, which is needed for registration

Most banks require the personal presence of directors/shareholders, though some offer remote onboarding through legal representatives.

6. Draft the Articles of Association

These define the structure and purpose of your company, including:

• Company name and headquarters
• Business activity
• Share capital and distribution
• Management structure and powers

The Articles must be signed and notarized, either in person or by proxy via power of attorney.

7. Register the Company

Register your business with the Commercial Registry (Conservatória do Registo Comercial) using the following documents:

• NIFs of shareholders and directors
• Company name certificate
• Capital deposit certificate
• Articles of Association

Once approved, you'll receive the company’s official registration certificate, corporate tax number (NIPC), and access to Portugal’s online tax portal.

8. Declare Start of Activity

Within 15 days of company registration, you must file a declaration of start of activity with the Portuguese Tax Authority (Autoridade Tributária), typically done through a certified accountant.

This step activates VAT and other relevant tax obligations.

9. Register for Social Security

If your company will have employees—or if you're a director receiving remuneration—you must register with Segurança Social (Social Security Authority) and make the required contributions.

10. Comply with Local Licensing (if applicable)

Depending on your business activity, you may need:

• Municipal business licenses
• Environmental permits
• Health and safety authorizations

Consult local authorities or a legal advisor to ensure you're fully compliant.

Additional Tips for Foreign Entrepreneurs

• Language: Most official documents are in Portuguese, so having legal or accounting assistance is highly recommended.
• Visa: If you plan to live in Portugal, consider applying for a D2 Entrepreneur Visa or Golden Visa.
• Accounting: All companies must have a certified accountant and comply with Portuguese GAAP.

Final Thoughts

Opening a company in Portugal as a foreigner is entirely feasible and increasingly popular among global entrepreneurs. With the right structure, local support, and a clear plan, you can launch a successful business while enjoying all the benefits of operating in one of Europe’s most attractive business hubs.

At FreeAcing, we specialize in helping foreign entrepreneurs set up companies in Portugal—handling everything from NIFs to full incorporation, accounting, and HR support. Let us guide your next business move with confidence.