5 Good Reasons to Incorporate your Company in Portugal (Madeira)!

We at SFM are passionate about continuously providing the best service and options for our clients, which is why we extensively research the best jurisdictions where to setup companies. This month we are adding Portugal (Madeira) to our list of jurisdictions, and we are excited to share with you more insights about the interesting benefits that this jurisdiction offers.

Without further ado, we present you the 5 good reasons to incorporate your company in Madeira:

1. Low corporate taxation: A Madeira Local company can benefit from a low Corporate Tax rate of as modest as 11.9%, up to 25,000 € taxable profit, which makes it one of the lowest rates in the region. Furthermore, this entity can later migrate to become a Madeira IBC that will offer additional corporate taxation benefits reaching the 5% rate.
2. A new hotspot in Europe.: The Island of Madeira serves as an important financial, commercial and tourist hub: This factor only, could explain the constant influx of entrepreneurs and self-employed freelancing nomads that point to Madeira for their next destination...
3. Low operation costs: The enthusiastic entrepreneur can also expect lower operation and maintenance costs along with a sustainable socio-political situation, a developed transport infrastructure and reasonable prices for real estate, goods, and services.
4. Golden Visa: Investors from non-EU countries may be eligible for a special visa, enabling them and their immediate family to work or study legally in the country and to travel within the Schengen area, provided that certain minimum amounts are invested. The investment must be maintained for a minimum period of 5 years. After this initial period, the investor may immediately apply for a permanent residency permit, followed by full Portuguese citizenship application. (please also find the following link to the Portuguese Border Authority where detail of the types of eligible investments for the Golden Visa are available: (https://www.sef.pt/en/pages/conteudo-detalhe.aspx?nID=21)
5. Reliable banking partners: The Portuguese financial system is fully integrated with the international and European financial markets, so when it comes to managing your business transactions, you will have a reliable partner working by your side.

The list of reasons does not just end there; Portugal in general and Madeira have, over the years, become one of the top European destinations for purchasing property for investment and retirement. This is due to Portugal’s political and social stability, geographic location enabling people from across Europe to fly over in a couple of hours and obviously the fantastic climate.

Being part of the European Union, Euro Zone and Schengen Agreement, the country provides an excellent quality of life and with its wonderful climate, is certainly the main reason it is a premium tourism destination.

These are all factors to consider, making Portugal and Madeira in particular, an excellent choice of location for individuals who wish to gain access to Europe, or for Europeans who wish to obtain a less aggressive personal taxation.

We at SFM, are proud to constantly enhance our scope of services with quality products and services, and the formation of your next company in Madeira will not be the exception.

Contact SFM today to incorporate your Madeira company.