How to Open a Company in Portugal in 2026: Complete Guide

Listen to articleFree

Opening a company in Portugal has never been more accessible. With simplified processes, reduced costs and an increasingly competitive tax framework - the general IRC rate dropped to 19% and SMEs benefit from 15% on the first €50,000 - 2026 is an excellent year to start a business.

In this guide, Grupo YOUR explains step by step everything you need to know to set up your company, from choosing the legal form to the legal obligations you will need to meet.

Step 1 - Validate Your Idea and Prepare a Business Plan

Before dealing with any bureaucracy, take time to validate your idea. Conduct a market analysis to understand whether your product or service has demand, who the competition is and who your target audience is.

A well-structured business plan is essential - not only to guide the start of the business, but also if you need financing from banks, investors or support programs such as IAPMEI, IEFP or Portugal 2030.

Step 2 - Choose the Legal Form

This decision affects partner liability, required capital and how the company is taxed. The most common options are:

Sole Proprietor (ENI): For simple, single-person businesses. No minimum share capital required, but the entrepreneur has unlimited personal liability.

Single-Member Limited Company (Unipessoal Lda.): The most popular choice for solo entrepreneurs wanting asset protection. Minimum share capital of just €1.

Limited Liability Company (Lda.): For two or more partners. Minimum share capital of €1 per partner. The most widely used model by SMEs in Portugal.

Public Limited Company (SA): For larger projects. Requires minimum share capital of €50,000 and at least 5 shareholders.

The support of a certified accountant at this stage is essential to avoid costly mistakes later.

Step 3 - Choose the Company Name

The company name must be unique and approved by the National Registry of Legal Persons (RNPC). You have two options:

Pre-approved names (free and immediate)

Certificate of Admissibility (€75 or €150 with urgency): for a custom name, takes 2-3 weeks

Step 4 - Incorporate the Company

In Portugal, you can create your company in two ways:

Empresa na Hora (in person)

Visit an Empresa na Hora counter. All partners must be present. The process takes less than 60 minutes and costs €360.

Empresa Online (remote)

Through the Empresa Online portal, you can set up the company from home. All partners need a Citizen Card with active digital signature or Digital Mobile Key. Cost is €220 with pre-approved articles or €360 with custom articles.

Step 5 - Declare the Start of Activity

After incorporation, you have 15 days to submit the Start of Activity Declaration to the Tax Authority (AT), defining your CAE, VAT regime and nominating a certified accountant.

Step 6 - Open a Business Bank Account

Opening a bank account in the company's name is mandatory to deposit the share capital (within 5 business days) and manage all business transactions.

Step 7 - Register with Social Security

Registration with Social Security is automatic upon incorporation, but you must ensure that managers and employees are properly registered.

Step 8 - Complete the Central Register of Beneficial Owners (RCBE)

The RCBE is a legal obligation requiring identification of all natural persons who hold ownership or effective control of the company.

Step 9 - Prepare Operations

Certified accountant: Mandatory for all companies with organized accounting

Certified invoicing software: Mandatory for companies with organized accounting or turnover above €50,000

SAF-T submission: Monthly mandatory transmission by the 5th of the following month

Licenses and authorizations: Depending on the business sector

How Much Does It Cost to Open a Company in 2026?

Accountant fees typically range from €150 to €300 per month.

Key Obligations After Opening

✅ Periodic VAT returns (monthly or quarterly)

✅ IRC advance payments (July, September and December)

✅ Annual Model 22 declaration (by end of May)

✅ IES (Simplified Business Information)

✅ Monthly SAF-T submission to AT

✅ Social Security contributions

✅ Annual RCBE update

Support and Incentives Available in 2026

Several public support programs exist for company creation: IEFP support for unemployed entrepreneurs, IAPMEI acceleration programs, and Portugal 2030 funding for productive investment and innovation.

Tax incentives such as RFAI, SIFIDE and ICE can substantially reduce IRC in the early years.

Conclusion

Opening a company in Portugal in 2026 is an accessible, fast and increasingly digital process. With minimum share capital of just €1, incorporation costs from €220 and a favourable tax framework, barriers to entry have never been lower.

Grupo YOUR accompanies you through every phase: from choosing the legal form to ongoing accounting management and tax planning. Contact us and start your project on the right foot.

---

This article is for informational purposes only and does not replace professional advice.

31 Mar 2026

IRS Jovem: Automatic Tax Filing Arrives This Week

Young taxpayers can now access automatic IRS filing from April 1st. Learn what changes in the IRS Jovem regime.

Read article

31 Mar 2026

IRS Refund in 2026: Why You Might Receive Less This Year?

Many taxpayers will notice a difference in their IRS refund this year. Find out why and how to maximise what you receive.

Read article

31 Mar 2026

How to Pay Less Tax in 2026: The Complete Guide for Portuguese Companies

Complete tax planning guide for Portuguese companies in 2026. IRC, tax benefits, SIFIDE, RFAI, SME strategies and more.

Read article