Starting a Business in Portugal
Portugal is increasingly startup-friendly. You can register as self-employed (trabalhador independente) in minutes, or form a company (Lda or SA) through Empresa na Hora. The process is relatively fast and affordable.
Decide on the business structure
Sole trader (Empresario em Nome Individual): simplest, personal liability. Lda (Limitada): limited liability company, minimum 1 EUR capital, most common for small businesses. SA (Sociedade Anonima): for larger businesses, minimum 50,000 EUR.
For self-employed (Recibos Verdes)
Open activity at Portal das Financas: Cidadaos > Atividade > Inicio de Atividade. Choose your CAE code (activity classification). No capital required. You issue Recibos Verdes (green receipts) for each invoice.
For company formation (Empresa na Hora)
Visit any Empresa na Hora desk (at Conservatoria or Loja do Cidadao). Choose a pre-approved company name, define the articles of association, and register — all in one visit. Cost: ~360 EUR.
Register for Social Security
Self-employed: register at Seguranca Social within 12 months of first invoice. Companies: register as an employer before hiring.
Understand your tax obligations
Self-employed: quarterly IVA (if not exempt), quarterly Social Security declarations, annual IRS. Companies: IRC (corporate tax at 21%), monthly IVA, monthly employee contributions, TOC (certified accountant) required.
Get a certified accountant (for companies)
All Lda and SA companies must have a TOC (Tecnico Oficial de Contas). Cost: 100-500 EUR/month depending on complexity.
Open a business bank account
Required for companies. Self-employed can use personal accounts but a separate business account is recommended for clarity.
Watch out
- ●Self-employed workers have a 12-month Social Security exemption from first invoice, but must still register
- ●IVA exemption applies if annual turnover is under 14,500 EUR (2026 threshold — verify current year)
- ●D2 visa holders must show business activity at renewal — keep records of invoices and contracts
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