Businesses in PortugalLLCs are opened most often in Portugal. They come in different types. Let’s look at the most popular ones.
LLC/SpQ or LLCThis option is similar to our LLC and suits those who plan to run a small business. The main condition is the director and at least one shareholder. They can be of any nationality. Under the Portuguese law it does not matter at all. The main “plus” is the minimum requirements to the share capital. You only need to have one euro in your account to register a company. The annual audit is cancelled if in the past two years the company’s accounts were less than one and a half million euros, if the income did not exceed three million euros, and if the firm has no more than 50 employees. Audit is not required if in the past two years the company’s accounts were less than one and a half million euros.
Publicly traded company with a public company or PLC/SAThis option is ideal for entrepreneurs planning to expand their Portuguese business, wishing to take their firm to the Lisbon or even EU stock exchanges. To register a PLC you need:
- Five individual or one corporate shareholders. Their citizenship is irrelevant.
- Capital from 50000 euros.
- Capital from 120,000 euros, two directors are needed.
Sociedad Europea (Eurocompany)This type of company can operate throughout the EU, without going through the procedures required by national laws. In other words, there will be no need for a complicated system of opening subsidiaries, as it is customary under the laws of EU countries. To create a European JSC, at least two EU companies with a total capital of at least €120,000 should be merged.
BranchesFor those wishing to enter the European market without much trouble, the variant of opening a branch is suitable. It should be registered in the tax office, and then file reports on all financial transactions in due time. Think that the income of the main office is not taxed in Portugal, there are no requirements for the size of the share capital, for the employment of workers, too.
RepresentationThis business format is suitable for conducting advertising companies, for defending the interests of the firm. Manufacturing and commercial activities are not included in the allowed for representation.
Features of registrationWe have several detailed stories about starting a business by an individual, there is no point in retelling them, so we will just briefly summarize the information. So, you can open a sole proprietorship. In this form of business, there are no restrictions on the size of the corporate debt and the amount of capital. You can open a sole proprietorship with an LLC, you can open a sole proprietorship with an LLC. The start-up capital for this is 5 thousand euros. If more than two people plan to register a Portuguese company, the following options are suitable:
- a private company with a CO, with deposits from 5000 euros. Each shareholder buys shares at 100 euros and is responsible for complying with the rules of the articles of association;
- LLC for one or five shareholders with at least €50,000 in investments from shareholders;
- partner company with two partners;
- partner company with two partners (minimum) who do business together;
- non-commercial corporation. There are no strict requirements for the capital and composition of the participants.
Registration ProcedureHave you heard about the bureaucracy in Portugal? That is in the past. Now there is a special program Simplex to simplify documents. It makes it possible to open a company both online and on site. The second option is easier. In terms of time, the procedure will take no more than an hour. In the first case, you need 2-3 days, but you do not need to go to the country. The registration fee is 360 euros. It can be done online, by check, or via ATM terminal. When registering your business in person, you should contact any Empresa na Hora. You will be asked to choose a name from an existing list. To this name will be automatically connected the number of tax payer and social security number. It is possible to choose an individual name. But to do this, you must first obtain a certificate of approval of that name from the National Register of Legal Entities. Of course, ideally you should draw up your own charter, approve it, notarize it. But there is an opportunity to choose ready-made charters at Empresa na Hora. It is faster and more convenient. If there are shareholders, everyone will need to appear at any nearby office (there are service addresses on this site). No possibility to be present? A power of attorney from a notary is required in the name of the representative of the interests. The representative of the legal entity shall, in addition to own documents, have an excerpt from the Commercial Register and a document certifying the authority to represent the interests of the company. Important. The documents must be translated into Portuguese and certified. The final stages of registering a business in Portugal The following “steps” are
- payment of share capital. It can be done 5 days after registration. Size from one to one thousand euros;
- filing the application on the beginning of the activity (it may be done in the office of the registration service). It is better to submit it at once, but if you fail to do so, then no later than two weeks from the beginning of the activity.
Register onlineOnline company registration (you can see our services Online company registration ) is very fast, if you choose one of the charters approved in advance by the national register of legal entities. If the shareholders want to draft their own articles of incorporation, it will take a little longer. On-line registration takes 1-2 days. The basic steps are the same. You have to determine the name, prepare the company charter and go to the third step. It consists of presenting the data about the company. Include the type of company, registered offices, area of operation, size of capital, IBAN (if any). The registrar will also be interested in the value of the shares and the methods of payment of the share capital.
Shareholder InformationThe following information will be needed:
- about the individual name, date of birth, gender, marital status, taxpayer number, nationality, address and contact information;
- about the legal entity – name, taxpayer number and address of the main office.