Today we will be giving you some reasons why you should invest in Portugal.
Stay with us to learn about investment opportunities in Portugal, why it’s good, what to invest in and where to find businesses to buy.
We’ll also look at the Golden Visa in Portugal and the advantages and disadvantages of investing in Portugal.
Is it a good time to invest in Portugal?
If ever there was a time to invest in Portugal, it would be now.
You may be sceptical about this, but consider this for a moment.
Portugal was highly affected by the 2008 financial crisis and most rating agencies still rate Portugal as a bad place to invest. However, Portugal has bounced back, and hard!
In the last few years, Portugal has won a million awards (maybe not a million, but still) and things seem to be going great for this little country.
Advantages of investing in Portugal
There are many reasons to invest in Portugal, but here are five of the strongest reasons.
Portugal has a dedicated, young and extremely educated workforce with skills related to production and business development.
2. Quality of life
Portugal is a safe, multicultural, sunny country that offers excellent healthcare, schools and leisure.
Portugal’s strategic location makes the country an excellent base to connect to the world.
4. Market and support
Portugal is a doorway to Europe’s’ 500 million people, a massive market which can help your business obtain European funding.
Portugal’s infrastructure is very well ranked worldwide. From highways to ports and airports.
Disadvantages of investing in Portugal
Although we are pretty confident that you should consider investing in Portugal, it wouldn’t be fair to show you only the good.
There are two factors which could be a hindrance to your entrepreneurial dreams.
1. Lack of a bigger vision
There is no defined vision for the future of Portugal, where investment is concerned, so investing in certain areas may prove to be risky. You really need to do the homework and plan ahead.
Portugal tends to avoid discussing “meritocracy” and depending on the elected government, a business may suffer a huge tax raise. This may also prove a risk to future or long term investments.
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Business opportunities in Portugal
As in much of the rest of the world, Portugal has been following the trends where it comes to investment. The best opportunities and perhaps the most lucrative ones are in these areas.
Sustainability has been a new focus when it comes to investment in Portugal, with companies making an effort to be environmentally and (of course) financially sustainable. There are even Portuguese sustainable investment funds.
Bio and organic
With more and more funds being allocated to the development of Portugal’s agriculture, bio and organic businesses have been sprouting in Portugal.
If you prefer to keep a company’s structure and resources and bring a franchise to Portugal (or expand an already existing one) it might be a good idea to pursue this kind of investment. Some franchises have done fairly well in this country.
The low-cost madness
The Portuguese people have a tendency to be influenced by the “low-cost madness”. Businesses that follow this prerogative usually succeed very well in this country.
Where to invest in Portugal
Apart from the previously mentioned areas, there are two that are the “golden ticket” to invest or do business in Portugal.
With relatively low costs (when compared to other countries) and the constant rise in rent prices, real estate remains an excellent avenue to invest in Portugal The golden age is already gone, but that only means that you must search harder and maybe be a little more cautious with what you buy, but there are plenty of resources and people to help you make a solid choice.
Check out Property in Portugal for advice on purchasing a property.
With the Web Summit’s choice of Portugal and Lisbon to be the event’s hosts, a mixture of talent, money and the brightest minds of the tech world have gravitated towards Lisbon. The Portuguese business world has picked up on the trend and new tech startups and investment opportunities appear every day.
If you are considering investing in Portugal don’t forget about this niche.
You might be interested in Top 20 Portuguese Startups from Europe’s Silicon Valley.
Find a business for sale in Portugal
If you are the kind of investor that prefers to buy an already existing business and give it your own vision, here are a few resources you can scout through to find some opportunities:
- Trespasse (website is in Portuguese);
- Bolsa Portugal Negócios (website is in Portuguese); and
- Expresso (website is in Portuguese).
Don’t forget about the newspapers, they often advertise good investment opportunities.
Also, check out 5 Incredible Business Events in Portugal You Should Attend
Investing in Portugal as a foreigner to get citizenship
Investing to get citizenship programmes in Portugal are playing a major role in attracting foreign wealth and talent to this little country, much to the country’s benefit that has made billions in revenue.
But who wouldn’t like to live in charming Portugal? And even with a chance to become a citizen.
The most popular programme is the Golden Visa scheme which allows you to obtain a residence permit in Portugal.
What is the Golden Visa programme?
The Golden Visa is, in essence, a fast-track process to get Portuguese citizenship. This programme was designed by the government to attract foreign capital investment and investors. It is a fast way to get a residency permit in Portugal, and eventually Portuguese citizenship.
How to get a Golden Visa in Portugal?
You can only apply for a Golden Visa if you are a non-EU national. To apply for a Golden Visa, you need to make a substantial investment in Portugal. You can follow different investment strategies.
You can invest in the more straightforward ways by:
- Transferring at least €1 million in capital to Portugal;
- Creating a company (employing at least 10 Portuguese taxpayers); or
- Capitalising on a small and medium enterprise (SME) in Portugal worth at least €500,000.
Real estate investment
You can also invest in property by:
- Acquiring real estate worth at least €500,000; or
- Acquiring property worth at least €350,000 (the property must be in the regeneration area and over 30 years old).
Become a patron
This is my personal favourite.
You can invest by contributing to the country’s heritage, arts and scientific research by:
- Investing at least €350,000 in research activities in Portugal; or
- Investing at least €250,000 for the maintenance and recovery of Portuguese arts and culture and national heritage.
What are the requirements?
In short, to apply for a Golden Visa you must:
- Be a non-EU national;
- Invest in any of the above-mentioned areas; and
- Maintain the said investment for at least five years.
Find more information about obtaining a Golden Visa here.
Now is the time to invest in Portugal
So, as you can see, there are many ways to invest in Portugal and a lot of ways to make a difference. Whether you are thinking about investing in a new market, taking a chance at Portugal’s real estate or considering applying for a Golden Visa (or none of the above and you just wanted to know a little bit more about investment opportunities in this beautiful, sunny country), we urge you to believe in Portugal.
If unsure, start by visiting Portugal, you will fall in love with this country as we did.
Did you find this information about investing in Portugal useful? Do you have any doubts or wish to find out more about investing in Portugal? Feel free to leave a comment or a question below.