Company set up (Incorporation) in Portugal may seem like a complicated, lengthy & bureaucratic process. Partially this is true, but only for those who are not prepared. In this article, we'll give an overview of the entire process step by step, so you know what to expect — and how Kilobanan facilitates the process so you don't need to worry about it.
Opening a company in Portugal may be driven by many reasons: immigration, personal, or even political. However, the primary question one should ask is: what tax regime makes the most financial sense in my specific situation?
We’ve already shared an Overview of corporate taxes in Portugal in our blog. It gives a glimpse of what to expect in terms of tax burden on your operations. It's also important to understand that, although the corporate tax base can be reduced by business expenses, not all expenses are deductible. We’ve covered the topic of Deductible and non-deductible business expenses in another article — this is crucial when assessing the economics of your future operations.
Kilobanan value:
Tax planning and forecasting is often the trickiest part of the whole process. It may even reveal that incorporation isn’t the best move from a financial perspective. At this stage, Kilobanan’s financial specialists on Consultation can analyze your current and future profile, run a tax simulation, and compare available regimes to help you choose the most cost-effective one.
Once it's clear that setting up a company makes sense, you can move on to the next step.
To open any kind of business activity in Portugal — whether a company or sole entrepreneurship — you'll need:
Kilobanan value:
Although we don’t specialize in visa or immigration, we work with a network of trusted partners and communities who can assist with getting your initial documents and relocation. You can check our partners list via this in our Partners section.
Once prerequisites are in place, you’re ready for incorporation.
Incorporation with Kilobanan is quick and simple. Just fill out an online form and make a down payment — we’ll take care of the rest. Here’s what we’ll need:
Kilobanan value:
We deliver a complete incorporation package, including:
Although the registration process can take 1.5 to 2 months, Kilobanan monitors it regularly and handles any requests from the authorities.
Once the company is registered, the next step is opening a company bank account. This part is less predictable since each bank has its own compliance process. It’s important to do this within 2 weeks after registration to avoid delays in starting operations.
While you can use any EU-based bank account for some operations, you’ll still need at least one Portuguese bank account — government payments are processed through the Multibanco system, which is only supported by local banks.
Kilobanan value:
We’re not a bank, but we provide the correct documentation needed to pass compliance reviews. While we can’t guarantee account approval, we maximize your chances.
You can’t run a company in Portugal without a certified accountant.
Kilobanan value:
We automatically assign a certified accountant to your company during incorporation. Our monthly accounting plans are comprehensive and competitively priced. You can check our pricing or request a quote on our Pricing page.
Once the accounting contract is signed, your company is ready to start.
Running a business in Portugal is fairly straightforward, but there may be specifics depending on your industry. One universal requirement: you must issue official invoices and submit valid expense documents to justify your business costs.
Sometimes your company may need legal updates — like changing shareholder details or expanding operations — which are offered as add-ons.
Kilobanan value:
Our Digital invoicing app is made for ease-of-use — you can issue certified invoices in just 3 clicks. No accounting knowledge needed. You can also upload expense documents via photo or file in seconds. Plus, Kilobanan is your single point of contact for company and personal finance questions.
For E-commerce clients we offer a simple way to start global sales with automatic global VAT tax calculation, and as business grows, transition to an API integration service, which allows to issue official invoices automatically from every sale on your marketplace of choice.
Every beginning has an end. If you decide to close your company, this process needs to be planned in advance. It may take up to 6 months for authorities to process your request. During that time, your company must still meet its basic obligations — tax, social security, and accounting.
Also, remaining company assets are considered distributed to owners, which may affect their personal taxes.
Kilobanan value:
Just like our incorporation service, we offer a turnkey company termination package (only for companies originally set up by Kilobanan), including full legal and accounting support.
Starting and running a business in Portugal may seem complex, but with the right partner, you can delegate tax, legal, and accounting operations to professionals — and stay focused on your business. Book an intro consultation with one of our specialists and let's get your incorporation process started!
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