How to Open a Company in Portugal (LDA vs. Sole Trader)

Choosing the right structure

Most foreign founders in Portugal end up with one of three setups. A Trabalhador Independente (sole trader / 'green receipts') is the fastest and cheapest way to invoice clients — no company, no share capital, and you simply register an activity at Finanças. A Sociedade Unipessoal por Quotas (Unipessoal LDA) is a single-shareholder limited company that protects your personal assets and is the standard choice for solo founders, consultants, and small SaaS businesses. A Sociedade por Quotas (LDA) is the same structure with two or more shareholders — used when you have co-founders or investors. Public limited companies (SA) only make sense once you raise serious capital or plan to list shares.

What you'll need before you start

Whichever structure you pick, the document stack is broadly the same. Get these in place first to avoid back-and-forth at the registry.

• NIF (Portuguese tax number) for every shareholder and director
• NISS (Social Security number) — auto-issued or applied for via Segurança Social Direta
• Portuguese bank account in the company's name (opened after incorporation, but pre-arrange the appointment)
• Proposed company name — either pick one from the pre-approved list or request a Certificado de Admissibilidade from the RNPC (~€75, 1–10 days)
• Registered office address in Portugal (your home address is allowed)
• Defined CAE code(s) — the Portuguese activity classification for what you'll actually do
• Initial share capital — legally as low as €1 per shareholder for an LDA, but €1,000–€5,000 is more credible to banks

Empresa na Hora — incorporate in 60 minutes

Empresa na Hora ('Company on the Spot') is Portugal's flagship one-stop incorporation service, available at IRN counters and select Lojas de Empresa nationwide. You walk in, pick a name and articles of association from a pre-approved list, sign, pay, and walk out with a tax number (NIPC), a registry certificate, and a Social Security registration in roughly an hour. The fee is €360 flat. The catch: you must accept the standard articles unchanged, so it doesn't suit shareholder agreements with custom voting rights, vesting, or preferred shares.

Empresa Online — incorporate from your laptop

Empresa Online lets you incorporate fully digitally via the portaldaempresa.pt portal, with the same €360 fee. You'll need a Cartão de Cidadão or Chave Móvel Digital to sign — which in practice means at least one shareholder must already be Portuguese-resident or have these credentials. Non-residents typically use a Portuguese lawyer with power of attorney to handle the online filing on their behalf. Turnaround is 1–3 business days.

After incorporation: what happens in the first 30 days

Incorporation is just the start. Several filings are due within tight deadlines, and missing them triggers fines that snowball fast.

• RCBE (beneficial ownership register) — mandatory filing within 30 days of incorporation, free, done online
• Open the company bank account and deposit share capital (most banks need a 1–2 week appointment)
• Register a Certified Accountant (TOC/Contabilista Certificado) with Finanças — legally required for any LDA
• Activate your Portal das Finanças and Segurança Social Direta access for the company
• Register for IVA (VAT) if you'll cross the €15,000 turnover threshold or invoice EU clients
• If hiring: register each worker with Segurança Social before their first day

Realistic costs in 2026

Budget for the setup itself plus the first year of running costs — many founders forget the latter.

• Empresa na Hora / Online incorporation: €360
• Custom incorporation via lawyer/notary: €800–€2,500
• RNPC name certificate (if not using pre-approved name): ~€75
• Certified accountant retainer: €80–€250/month for a small LDA
• Annual accounts filing (IES): €85, plus accountant time
• Minimum share capital: €1 legally, €1,000+ recommended
• Estimated total first-year cost (Unipessoal LDA, no employees): €2,000–€4,500

Sole trader vs LDA — the real trade-off

Sole traders pay personal income tax (IRS) on profits, can opt into the simplified regime (Regime Simplificado) up to €200k turnover, and have minimal admin. The downside: unlimited personal liability and a hard ceiling on credibility with larger clients, banks, and investors. An LDA caps your liability at the share capital, lets you separate salary and dividends for tax planning (especially powerful under NHR 2.0 / IFICI), and is essentially required if you want to hire, raise, or sell. The cost is mandatory accounting and a heavier compliance calendar.