How to Open a Company in Portugal in 2025? Portugal continues to attract international entrepreneurs thanks to its stable economy, strategic location in Europe, and investor-friendly environment. Whether you’re an EU resident or a third-country national, opening a company in Portugal in 2025 is entirely possible and increasingly popular.
How to Open a Company in Portugal? 8 Steps
1. Choose the Right Legal Structure
The first step to opening a company in Portugal is selecting the most appropriate legal form for your business. The most common company structures include:
- Private Limited Company (Sociedade por Quotas – Lda.) – Ideal for small and medium-sized enterprises due to its flexibility and limited liability for shareholders.
- Public Limited Company (Sociedade Anónima – SA) – Suitable for larger enterprises with plans to raise capital from public investors.
- Holding Company (SGPS) – Often used for asset management, corporate structuring, and tax planning purposes.
Each structure has different requirements for share capital, governance, and reporting. Choosing the correct form early in the process is key to aligning your corporate structure with your business strategy.
2. Define Share Capital and Ownership
Most private limited companies (Lda.) in Portugal can be formed with a minimum share capital of just €1 per shareholder. In contrast, public limited companies (SA) require a minimum of €50,000.
You may open a company in Portugal as a sole shareholder or with multiple partners. However, if opting for a single-shareholder model, Portuguese law requires that the shareholder is not already the sole owner of another single-member company.
Ensure you document the ownership structure and prepare any required identification documents for individuals and corporate shareholders.
3. Obtain a Certificate of Name Approval
Before registering your company, you must obtain a Certificate of Admissibility of Name (Certificado de Admissibilidade) from the National Registry of Legal Entities (RNPC). This can be done online.
The application must include:
- Three proposed company names
- A detailed corporate purpose (object)
- Municipality for the registered office
Foreign shareholders must first obtain a Portuguese tax number (NIF). Corporate shareholders will also require a commercial registry certificate from their jurisdiction.
The name certificate is valid for three months and is necessary for the company incorporation process.
4. Draft and Sign the Incorporation Documents
Once the name is approved, the shareholders or their representatives must prepare the Incorporation Act, including the company’s Articles of Association and appointment of the directors (gerentes or administradores).
The incorporation document should include:
- Complete identification of directors (name, marital status, address, Portuguese tax number)
- Share capital commitments
- Whether directors will receive remuneration
- Corporate governance and representation clauses
This document must be signed and notarised, and may be executed via power of attorney for foreign investors.
5. Register the Company with the Commercial Registry
The company must then be registered at the Commercial Registry Office (Conservatória do Registo Comercial). The required documentation typically includes:
- Certificate of Name Approval
- Incorporation Act and Articles of Association
- Acceptance declarations by directors and auditors (if applicable)
- Beneficial ownership declaration (for AML compliance)
- Proof of tax numbers for all stakeholders
Upon successful registration, your company will be assigned a Portuguese taxpayer identification number (NIPC).
6. Declare Business Activity to the Tax Authorities
Within 15 days of registration, you must formally declare the start of your business activity to the Portuguese Tax Authority (Autoridade Tributária).
You’ll need to provide:
- The company’s activity code (CAE)
- Start date of operations
- Estimated turnover and number of employees
- Chosen accounting period and VAT regime (if applicable)
This step is essential for enabling invoicing and accessing the VAT system where relevant.
7. Register the Company Director with Social Security
Company directors must register with the Portuguese Social Security system even if unpaid. Exceptions may apply if another recognised social security scheme already covers the director and can prove ongoing contributions. If eligible, the exemption request must be supported by official documentation from the foreign authority.
8. Open a Corporate Bank Account
Following incorporation, you may open a corporate bank account at a Portuguese or EU-based financial institution.
Banks will typically request:
- Company registration certificate
- Articles of Association
- Identification of directors and shareholders
- Proof of company address
Compare banking services and fees to select the institution best suited to your operational needs.
Why Work with a Professional to Open a Company in Portugal?
While opening a company in Portugal independently is possible, the process involves multiple legal, administrative, and fiscal obligations. Foreign entrepreneurs benefit from engaging a professional partner who understands the local regulatory framework.
At Madeira Corporate Services (MCS), we provide full-service assistance for foreign and domestic clients looking to incorporate in Portugal. Our team ensures compliance, from name approval to post-registration tax support.
Final Thoughts about Open a Company in Portugal
Preparation is key if you’re planning to open a company in Portugal in 2025. From choosing the proper legal structure to fulfilling tax and social security obligations, each step must be completed accurately and on time. Portugal offers a welcoming environment for business, especially for foreign investors, but the success of your venture will depend on strong legal foundations, compliant structuring, and sound financial planning. For tailored support and expert guidance, get in touch with MCS. We are ready to help you navigate every stage of company formation in Portugal.
Frequently Asked Questions about Opening a Company in Portugal
Can foreigners open a company in Portugal in 2025?
Yes, foreigners, including EU residents and third-country nationals, can open a company in Portugal in 2025. The process involves choosing a legal structure, registering with authorities, and fulfilling tax and social security obligations.
What are the common legal structures for companies in Portugal?
The most common legal structures are Private Limited Company (Sociedade por Quotas – Lda), Public Limited Company (Sociedade Anónima – SA), and Holding Companies (SGPS). Each has different capital requirements and governance rules.
What is the minimum share capital required to start a company in Portugal?
For a Private Limited Company (Lda), the minimum share capital can be as low as €1 per shareholder. For a Public Limited Company (SA), the minimum share capital required is €50,000.
Is it necessary to register company directors with the Portuguese Social Security?
Yes, company directors must register with the Portuguese Social Security system even if they do not receive remuneration. Exceptions apply if the director is covered by another recognized social security scheme.
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