WHY PORTUGAL?
Portugal stands out as a premier European destination for investment
Offering a welcoming environment for international businesses. The country combines economic stability with exceptional growth opportunities, making it an ideal choice for global investors.
Economic Stability & Growth
Portugal maintains a strong fiscal position, with a continued downward trend in the public debt-to-GDP ratio, providing a stable economic environment for investments. Recent projections from Portuguese and European institutions point to moderate GDP growth supported by robust domestic demand and strategic investments. The employment rate has shown commendable stability, reflecting the nation’s commitment to a skilled and adaptable workforce.
Strategic Location & EU Access
Strategically located at the crossroads of Europe, Africa, and the Americas, Portugal is ideal for international trade. As an EU member, Portugal provides easy access to the European market, facilitating trade and business expansion while leveraging a vast consumer base.
Innovation Hub
Portugal is home to top-ranking universities and a skilled workforce, particularly in technology. The country supports a thriving start-up ecosystem with initiatives like Startup Portugal, fostering a dynamic environment for new ventures. Key sectors include fintech, AI, e-commerce, IoT, and renewable energy, with a consistently high share of electricity generated from clean and renewable sources.
LIVING IN PORTUGAL
A safe and stable environment for living and investing.
Portugal consistently ranks high in quality of life, safety, and peace, offering a desirable environment for living and working. Recognized as one of the safest countries globally with low corruption levels, Portugal provides a secure and stable environment for international residents.
World-Class Infrastructure
The country boasts excellent infrastructure, including modern ports, airports, and telecommunications networks that facilitate efficient business operations. Portugal’s commitment to connectivity is demonstrated through €22.2 billion earmarked for 85 infrastructure development projects, enhancing connectivity and logistics.
Attractive Investment Environment
Portugal’s real estate market attracts significant investment, driven by its favorable climate, quality of life, and competitive property prices. Residential properties in prime locations offer rental yields averaging between 4% and 6%, while commercial properties in Lisbon and Porto can yield between 5% and 7%.
Gateway to Europe
Living in Portugal provides access to the broader European economy and culture, with excellent transport links to major European capitals. The Golden Visa Program, now focused on productive and strategic investments (such as qualifying investment funds, business projects with job creation, research and cultural initiatives), offers residency and a pathway to citizenship, providing access to the EU market and travel benefits.
STARTING A BUSINESS
An efficient and streamlined pro-business environment.
Portugal has implemented significant reforms to streamline administrative costs and procedures, reducing bureaucracy for businesses through the “Simplex” program. As a general principle, Portugal imposes no restrictions on foreign investment, and such investment is typically not subject to special registration or notification requirements.
Company Incorporation Process
The process involves selecting a business type (Private Limited Company – LDA, or Public Limited Company – SA), registering a unique name with RNPC, and drafting Articles of Association. Registration with the Commercial Registry requires submitting the Deed of Incorporation and Articles of Association, followed by opening a corporate bank account with minimum share capital deposits.
“Empresa na Hora” Service
Portugal’s “Company On The Spot” service allows immediate incorporation, with all procedures handled at designated counters nationwide. The service utilizes pre-approved corporate names and articles of association, significantly simplifying and accelerating the registration process.
Specialized Visa Options
Portugal offers the D2 Entrepreneur Visa and Startup Visa to facilitate smooth market entry for foreign investors and founders. These specialized visa options support international entrepreneurs in establishing their businesses efficiently. Eligibility thresholds and specific criteria are periodically updated, so projects should be assessed against the requirements in force at the time of application.
FINANCIAL AND TAX INCENTIVES
An attractive tax regime designed for international investment.
Portugal offers a competitive tax regime designed to attract international investment and talent. The standard corporate income tax rate has been set at 19% for tax periods starting in 2026, with further reductions already approved for subsequent years, and specific reduced rates applying in regions such as Madeira.
Golden Visa Program
Grants residency for non-EU/EEA/Swiss nationals through qualifying investments like €500,000 in funds or creating 10 jobs. Benefits include minimal stay requirements, Schengen visa-free travel, and a pathway to citizenship after five years, subject to compliance with the legal residence conditions.
Non-Habitual Resident (NHR) Program
Portugal has moved from the broad Non-Habitual Resident regime to a new generation of more targeted incentives aimed at attracting talent, innovation and knowledge-intensive activities. While the traditional NHR programme is no longer open to most new applicants, existing beneficiaries generally retain their status and continue to enjoy their tax benefits for the remainder of the 10-year period. New arrivals may now benefit from a set of more focused regimes designed for scientific research, technological innovation and highly qualified functions, which can still offer a compelling combination of quality of life and competitive taxation for professionals and investors who fit these profiles.
Additional Tax Benefits
Portugal provides R&D tax incentives (SIFIDE) with up to 82.5% deductions, Investment Tax Credits (RFAI) with up to 25% deductions, and regional investment incentives. Notably, Portugal has no wealth tax, inheritance tax does not apply to spouses or direct descendants, and crypto assets held for over one year are not taxed. Tax exemptions on dividends and capital gains from non-blacklisted jurisdictions enhance financial appeal.
WHY TFRA
Expert legal guidance for international investors in Portugal.
TFRA is uniquely positioned to guide international investors through Portugal’s business landscape with comprehensive legal expertise and deep local knowledge. As a member of Ally Law, a global legal service group, TFRA combines international perspective with specialized Portuguese legal experience.
Comprehensive Services
TFRA provides end-to-end support for international investment in Portugal, from initial business setup and company incorporation to ongoing compliance and tax optimization. The firm’s expertise spans corporate law, tax planning, real estate transactions, and regulatory compliance.
Local Expertise, Global Standards
With offices strategically located in Lisbon, TFRA offers immediate access to Portuguese authorities and business networks while maintaining international service standards. The firm’s deep understanding of Portuguese bureaucracy and legal requirements ensures smooth business establishment and operation.
Proven Track Record
TFRA has successfully guided numerous international clients through Portugal’s investment landscape, leveraging comprehensive knowledge of tax incentives, visa programs, and business opportunities. The firm’s multilingual capabilities and cultural understanding facilitate seamless communication with international clients.
Take the first step towards establishing your business in one of Europe's most attractive investment destinations.
TFRA’s experienced legal team is ready to guide you through every aspect of your Portuguese investment journey.
Contact TFRA today for a comprehensive consultation on your investment opportunities in Portugal.
Whether you’re interested in the Golden Visa Program, seeking tax optimization through the NHR Program, or planning to establish your business operations, TFRA provides the expertise and local knowledge you need for success.
Get in touch: +351 217 815 660 | lawfirm@tfra.pt | www.tfra.pt
Start your Portuguese investment journey with confidence – Schedule a 30m meeting today