Set up a company in Portugal

Portugal is an open country towards foreign investment, having a stable and moreover growing economy. It is a profitable choice for setting up a business on its territory. Establishing a company in Portugal has recently been simplified, and it is finished in a very short period of time.

Preliminary activities before registering a public and private limited company in Portugal
Before registration of a company in Portugal the founders of either a public or a private company must ensure that their company's name isn't used by another firm. This procedure can be done through a search conducted at the National Registry of Collective Entities (Registro Nacional de Pessoas Colectivas, RNPC). This institution issues a certificate of approval of the company name.

Registering the public and private limited company at the one-stop shop in Portugal
Public and private limited companies must be registered in order to function and commercial registration is immediate. In order to obtain the certificate the founders must submit an application along with the articles of association and the certificate of the name approval. Within 15 days of incorporation the shareholders must submit a declaration of commencement of activities. The founders must visit the one-stop shop, in order to obtain the company corporate tax number, the company's Social Security number, and the commercial register of the company's incorporation and the declaration of commencement of business activities.

Registering with the Social Security Regional Center in Portugal
If the company hires employees they must be registered for social security, 24 hours before they start their activity. This application is submitted at the Centros de Formalidades das Empresas and it must contain the tax identification card, minutes of company and a copy of the declaration of commencement business activities.

Notifying the Labor Inspectorate
The founders must inform the Labor Inspectorate of their existence and provide the company name and its tax number, the company's object of activity and the office address.

Setting up a Portuguese company from abroad
A foreign entrepreneur may establish freely a company in Portugal, provided that he or she obeys the rules in function. The Institute of Foreign Investment, which supervises foreign business activities, permits foreign involvement in any sectors, except power production, transport services, and the arms industry. In order for o foreign individual to set up a company in Portugal from abroad he or she must designate an authorized representative to incorporate the company and translations in Portuguese language must be done.

How long does it take to found a Portuguese company?
The registration process is very short, each procedure being completed in a minimum of one day. In total the minimum period of time in which a Portuguese company is established and ready to function is 6 days. However the period of time may vary, as there may be some other aspects from case to case.

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