Open a company in Portugal and an account with a Lithuanian PSP – from 5,299 EUR

An own business gives the possibility for self-fulfillment and simultaneously allows earning a living. Research the market, meet the demand, create innovative products – there are multiple ways to leave a mark in history or simply enjoy a hobby that brings profit.  

A business company registered in Portugal will give a number of weighty advantages to its owner. An experienced entrepreneur or a start-upper, anyone is going to like the business environment in this country. Free access to the EU markets, reasonable rent prices, and a fast company registration procedure make Portugal worth considering without any doubt.

Company registration in Portugal

The majority of foreign business people in Portugal register an LDA (Sociedade por quotas) in the country. This form of company ownership is very similar to an LLC. One person is enough to establish this type of company. The company founder can also be its sole director. One euro can be registered as the company charter capital.

The following information has to be provided at the initial stage of company registration in Portugal:

• A short description of the prospective company business activities;
• Company owners’ names, nationalities, and countries of residence;
• Company name in the Portuguese language;
• Company management structure.

The key document for company registration, namely, the Articles of Association, must contain this information.

The following documents have to be submitted to the Commercial Registry in Portugal:

• The Articles of Association;
• Company owners’ passport copies;
• Proofs of their residential addresses.

A special note has to be made on choosing the legal name for your Portuguese company. The Registry has a list of preapproved company names and you can choose one of them. You are also entitled to suggest a unique name for your company, one that is not contained in the Registrar’s list. In this case, however, you will have to wait for 15 extra days until the unique company name is approved and, besides, pay additional 1,200 EUR for the name approval service.

If you settle with one of the preapproved company names, the company registration procedure is going to take about ten business days only.

While company registration is in progress, you can gain access to the Commercial Registration Certificate. Bankers regard this document as a proof of your company legality and reliability. Online access to this Certificate is included in the overall cost of the combined service that we are promoting here. Registering the company under an original name is not included in the price, though.

Tax ID for non-residents

Any foreign national who wants to start a business in Portugal has to obtain a Tax ID. All foreign company owners, directors, and other officers shall have personal Tax ID’s. In addition to that, the company itself also must have a Tax ID but a corporate one.

Registering a company in Portugal is impossible without the prospective owner holding a personal Tax ID. When the company is registered, it can open a bank account only if it has a corporate Tax ID.

EU citizens and legal residents are going to face no problems whatsoever acquiring a Portuguese Tax ID. All they have to do is meet with a tax officer and file an application. Non-residents of EU countries, however, will have to undergo a bureaucratic procedure in order to acquire a Tax ID in Portugal. Moreover, they will have to use the services of a tax representative in Portugal who will introduce them to the country’s tax authorities.  

The cost of the tax representative services is already included in the overall price of the combined service that is described here. There is another option you can use, though. If you become a legal resident of Portugal yourself, you will not need anybody to introduce you to the tax authorities. We suggest that you consider acquiring legal residency in Portugal seriously, as this would bring a number of advantages to you. We will be happy to assist you in this matter: with our experience, the process will go smoothly and it will not take too much time nor money.

The costs of company registration in Portugal

The following company registration costs are included in the total service price of 5,299 EUR:

• Company registration under one of the preapproved names;
• Apostilled package of documents required for applying for banking services outside Portugal;
• Tax representative in Portugal for three months;
• Tax ID acquisition;
• Accounting support for three months;
• Company legal address rent for three months;
• Online access to the Commercial Registration Certificate for three months.

Registering the company under an original name will add another 1,200 EUR to the total service price.

Even though company maintenance in Portugal is NOT going to cost a fortune, some expenditures will have to be incurred anyway:

• Access to the Commercial Registration Certificate – 150 EUR per year;
• Accountant’s services (mandatory) – from 3,600 EUR per year;
• Company legal address rent (mandatory) – from 3,000 EUR per year.

We also offer concierge service packages that will reduce the price of each individual service. These are called Family Office packages and you can find their descriptions in the table below.   

Set up a euro account for your Portuguese company with a Lithuanian PSP

The financial world is changing rapidly nowadays and new instruments come into use. Payment Service Providers (PSP’s) offer financial services similar to those found in the traditional banks. However, the contemporary PSP’s are much more accessible and much less bureaucratic than banks.

We invite you to consider the possibility to open an account with a European PSP registered in Lithuania. Such an account will give you much more flexibility in comparison to a traditional bank account while guaranteeing as much security. This offer should be of especial interest to you if your business activities involve online payments of any kind.

Open a corporate account with a European PSP: why do that?

Whether you have a long-standing company or you are starting a new business, the choice of the payment instruments that you are going to use is of vital importance. The payment system that we are promoting here is a highly functional one. By use of their services, you can perform the following actions:

• Accept credit card payments;
• Make money transfers to your counteragents;
• Receive money transfers;
• Pay salaries;
• Pay the bills for the goods and services that you purchase;
• Make bulk payments;
• Make fast payments within SEPA zone;
• Exchange currencies.

When you integrate with the modern alternative payment system, you will give your customers an opportunity to pay for your products and services in a fast, secure, and convenient way – via the Internet. 

Whatever your business niche is, a corporate account with the Lithuanian PSP will not only simplify electronic payment procedures but also allow adjusting your financial flows.

Remote account opening with the European PSP: the tariffs and terms of service

This Payment Service Provider is a licensed electronic money issuer that has the right to provide payment services in all 31 states of the EEA (European Economic Area). 

The activities of this company are supervised by the State Bank of Lithuania in accordance with the electronic money provisions. This allows ensuring the security of all financial operations performed by the PSP. Its clients also enjoy a high level of transaction confidentiality. 

As any other financial institution, this Lithuanian PSP has its own corporate rules and policies that determine the terms of services that it provides. Below we will answer some basic questions about the PSP mechanisms, provisions, and requirements.

Is it possible to open an account with this PSP on a remote basis?

Yes, it is quite possible to do that. You will have to provide scanned copies of your personal as well as corporate documents in order to set up an account for your Portuguese-based company with this PSP. Client identification procedures are taken seriously there but this can be done remotely and within a short timeframe.

You can also choose to pay a personal visit to one of the company offices located in Vilnius, Warsaw, Budapest, Tel-Aviv, and Singapore.

Who can open an account with this PSP?

Naturally, all EEA residents can establish accounts in this payment system. In addition to that, the US and the CIS citizens are also entitled to open accounts there.

Companies that work in the IT sphere and those dealing in cryptocurrencies are also welcome to apply for services provided that they can supply the necessary licenses.

Are there any limitations in service provision?

The Lithuanian PSP will deny services to the following types of companies in all likelihood:

• Companies dealing in remote sales of medications;
• Companies dealing in remote sales of BADS (Bioactive Dietary Supplements);
• Companies that are registered in the sanctioned countries;
• Companies dealing in precious stones;
• Lottery organizers;
• Armor and ammunition manufacturers and traders;
• Companies dealing in binary options;
• Online casinos.

Are there Internet banking opportunities and technical support?

Yes, the company platform has a comfortable interface in the English language. Technical support is available 24/7 in English and Russian.

Does the PSP issue plastic cards?

Not yet, but they will start issuing MasterCard pay cards in 2020. You can place an early order for a card with the Lithuanian PSP right now. Please contact us via [email protected] and we will do it on your behalf.  

Is there a mobile banking opportunity?

No, currently the PSP does not provide mobile banking opportunities.

Are there minimal initial deposit and minimal balance requirements?

No, there are neither of those. The payment that you will have to make when setting up a corporate account with this PSP is the account opening fee. When the account is opened, there can be zero euros on it and it will still remain active.

What currencies are available?

The incoming payment must be made in euros only. However, you can make transfers in the following currencies with this PSP:

AED, AUD, BGN, CAD, CHF, CNY, CZN, DKK, EUR, GBP, HKD, HRK, HUF, ILS, JPY, MXN, NOK, NZD, OMR, PLN, QAR, RON, SAR, SEK, SGD, THB, TRY, USD, and ZAR

PSP tariffs for opening a corporate account

What documents are required to open a corporate account with the PSP?

Corporate documents have to be scanned in high quality. In most cases, these documents have to be apostilled. Some additional documents may be requested in the process of application consideration. In rare cases, applicants may be asked to mail some apostilled paper document copies. The required package of corporate documents includes the following ones:

1. Certificate of incorporation;
2. Articles of association;
3. Memorandum of association;
4. Proof of address (if not already specified in the above documents);
5. Company By-Laws;
6. Authorized Signatory List (including signatory powers);
7. Business plan approved by board of directors and notarized;
8. Company register extract issued within the last 3 months;
9. Certificate of Good Standing;
10. Certificate of Commencement of Business;
11. Board resolution signed by the board of directors and notarized;
12. Register of members/ shareholders or other documents showing the company ownership structure;
13. Power of attorney for the user if not an authorized company officer;
14. Company beneficial owners’ chart;
15. Company licenses;
16. AML Compliance policy in case the company is required to maintain AML compliance controls.

Company officers’ personal documents:

• Company directors’, beneficiaries’, and shareholders’ passport copies. The passports shall be valid for at least two more months on the day of copy submission.  
• Proofs of addresses issued within the last 3 months, which can be any of the following: utility bills (water, electricity, heating, etc.); bank statements; mobile phone operator bills.

For client identification purposes the following is required:

1. Front and back of the ID card or residence permit to be captured through direct live video recording (session link will be shared after application review);
2. Main page of the passport and hard cover, back side of the passport to be captured through direct live video recording (session link will be shared after application review).
3. A selfie to be captured through direct live video recording (session link will be shared after application review). The face and shoulders must be visible in the picture, the picture must be clearly visible and separated from the objects in the environment. There should be no head covers, face covers, or ear covers in the selfie unless same covers are present in the ID or passport provided.

Beneficiary company owners and directors who are not going to use the account will have to be identified anyway by submitting scanned copies of their passports.

The application for services will be considered within 24 hours. Thus, you should expect a response from the Lithuanian PSP within this timeframe. If you are in a hurry, you can order the first-in-the-line additional service that will cost extra 250 EUR.

Request our combined service

Unlike most other EU member states, Portugal welcomes foreign investors. The reason for this is clear, as the country has to do everything it can in order to sooner restore its economy that suffered greatly in the global economic crisis of over a decade ago. You may think that it is too difficult and too expensive to establish a business company in Western Europe these days. But it is neither of those if you look at Portugal. With our assistance, you can have a company registered in this country within ten days without even having to leave home.

As far as your company bank account is concerned, opening it with a PSP instead of traditional bank will have a number of significant advantages. New Payment Service Providers appear on the market at an amazing speed, as there is strong demand for their services. They are very fast, very efficient, and their security is guaranteed by national financial regulations. The slow and clumsy banks are starting to feel the pressure already.

We agree that the PSP commissions applied to the client companies with the highest risk profiles are quite substantial. But we hope that yours is not going to be a high-risk business anyway. Even if it is, no traditional bank would accept you as a client anyway while the PSP we have described above will do it, even though at a cost.

If you find the offer that we are making attractive, please write to us to [email protected] to discuss the details. If you would like to ask us any questions or find out about other solutions that we offer, please use the same address to contact us. We would be happy to add you on our extensive client list!