Portugal D2 Visa: A Route to EU Residency for Entrepreneurs

If an entrepreneur starts or buys a business in Portugal, they can apply for a Portugal D2 Visa. The visa allows the applicant to get a residency permit in Portugal and all the benefits of residency, e.g., the right to live in Portugal and to travel visa-free to Schengen countries. The usual processing time to obtain D2 Visa is about 3 months.

Requirements for businesses are quite easy: applicants may open a company in any sector and don’t have to get approval from Portuguese business incubators. This makes the D2 Visa one of the most attractive ways to immigrate to Portugal.

What is a Portugal D2 Visa?

The D2 Visa of Portugal is a residency visa for entrepreneurs: To get this, an applicant must open a new company there or buy an already working business or its share.

No minimum investment threshold is defined for the D2 Visa. However, an applicant must prove to have funds to start and run their business. Also, housing and money to live in Portugal for a year are required.

The visa is valid for a period of four months initially, during this time an entrepreneur must enter Portugal and apply for a residence permit, which enables them to immigrate to Portugal, start a company and work there.

A Portugal residence permit after the D2 Visa is valid for two years, and then it can be renewed for three years.

After five years of residency, one may apply for citizenship or permanent residence in Portugal. The family members can also join the entrepreneur for family reunification.

To maintain residency, business people and their family members must stay in Portugal for a minimum of 6 months every year.

Eligibility for a Portugal D2 Visa?

An entrepreneur may apply for a D2 Visa if they fulfill one of the following conditions:

• Buy a Portuguese company or a share in it;
• Already have a company abroad and a plan to open its branch in Portugal;
• Submit a comprehensive business plan for a new company in Portugal.

The business requirements are quite soft: an applicant can choose any sector, and there are no thresholds on profitability or the creation of jobs.

However, applicants must confirm that the businesses will be economically and socially beneficial for Portugal and that they have enough money for investment in their companies due to the business plans.

An entrepreneur’s spouse, their children, and parents may apply for residence permits for family reunification.

How much does it cost to get a Portugal D2 Visa?

Applicants have several costs; the most significant one is business investment. There’s no minimum threshold, but an entrepreneur must confirm to have enough money to run their company.

In addition, an applicant has to prove to have funds to live in Portugal. The necessary amount is counted due to the minimum salary in Portugal, which is €705 per month. For a year, the necessary amount is at least €8,460. Renting or purchasing housing in Portugal is obligatory, too; however, there are no requirements for an apartment’s cost or square.

Government fees and health insurance are less significant in cost than the previous expense items. Also, you will need legal services to apply; the prices depend on the chosen provider.

Benefits of a Portugal D2 Visa

1. Immigration to Portugal, a developed European country with a high level of safety, is one of the key aims of foreigners applying for a D2 Visa. The country attracts expats with a mild climate, an opportunity to live by the Atlantic Ocean, and access to affordable and still high-quality healthcare and education.
2. Running a business in Portugal: The country is considered a reliable jurisdiction with a stable economy and banking system. According to the Doing Business 2020 report, starting a business in Portugal and trading across borders while a company is registered there is easy.
3. Tax optimisation: Individuals may apply for a beneficial Non-habitual Resident status in Portugal to reduce their taxes in the first ten years of residency. This status allows one not to pay taxes on income earned outside Portugal and pay a 20% tax on income earned in the country.
4. Visa-free travelling to the Schengen Area: You may stay in this zone for 90 days out of 180; time spent in Portugal doesn’t count.
5. Citizenship application after 5 years: Suppose an entrepreneur maintains residency for five years and speaks Portuguese at the A2 level; then, they may apply for permanent residency or citizenship. These rules are among the mildest in the EU: in comparison, you must live for 7+ years in Greece or 10+ years in Italy or Spain to apply for a passport.

To get expert guidance regarding?the different Citizenship/Residency programs and which country is most suitable for you, get in touch with FlyingColour Immigration, we offer assistance in global residency, citizenship, and investment migration programs.