A member of the European Union and the Schengen Area, which means that its residents enjoy free movement and access to numerous benefits and opportunities within the bloc, Portugal is also a captivating country with a pleasant climate and a high quality of life to embrace. It is mainly these draws that bring foreign citizens to Portugal. Obviously, they are interested in obtaining a Portuguese residence permit, which can potentially lead to permanent residency and citizenship after five years.
Overseas company owners or those with the status of sole proprietors enjoy an option to apply for a Portuguese residence permit (D2 Visa). This program is a vogue with foreign business circles, as it enables non-resident entrepreneurs and their family members to get a residence permit by fulfilling certain mandatory requirements. The D2 Visa also grants the investor the right to travel freely in the Schengen area, acquire citizenship, live in the country for a long time, and enjoy multiple tax incentives, including those given by the status of a Non-Habitual Resident (NHR).
Depending on your goals and duration of the stay, you may apply for different types of residence permits in Portugal. The D2 visa, a.k.a. the Immigrant Entrepreneur Visa or the Startup Visa, is one of them. It is designed for non-EU/EEA/Swiss nationals who want to start or expand a business in Portugal or work as freelancers or independent service providers.
Advantages of D2 visas and residence permits
The D2 visa allows the applicant to enter Portugal and the Schengen area and to stay for up to four months there, during which they must apply for a residence permit at the Immigration and Borders Service (SEF). The above residence permit is valid for one year and can be renewed for two more years, and then for three-year periods until the fifth year of residence. After that, the applicant is free to apply for permanent residence or citizenship, provided that they meet the necessary conditions.
Successful applicants for the D2 visa and Portuguese residence permit enjoy several perks they wouldn’t be eligible for otherwise:
- They do not face the requirement to invest the legally stipulated minimum amount in the country’s economy or create a minimum number of jobs, unlike other investment-based visas (e.g., the Golden Visa).
- The applicant for the D2 visa is allowed to bring their family members (spouse, children, and parents) under the family reunification scheme into the country. Thereafter, these individuals will be granted the same rights and benefits as the main applicant.
- Access to the Portuguese public health system, social security, education, and other public services is something any aspiring potential resident is striving for.
- With the D2 visa under your belt, you will enjoy tax benefits under the Non-Habitual Resident (NHR) regime, which grants tax exemptions or reductions for certain types of income for 10 years.
- The entrepreneurial ecosystem and the incentives that Portugal offers for startups and innovation (with incubators, accelerators, funding, and networking opportunities among them) will make your heart sing.
Eligibility criteria for the D2 visa
Are you dreaming of living and doing business in Portugal? Here are the criteria you shall meet to be eligible for the D2 visa:
- Be a third-country national, i.e., not a citizen of the EU/EEA/Switzerland.
- Have a valid passport and a clean criminal record.
- Possess health insurance that covers you in Portugal and the Schengen area.
- Have sufficient financial means to support yourself and your family in Portugal. The minimum amount required is 100% of the minimum wage (EUR 665 per month) for the main applicant, plus 50% for each adult family member and 30% for each child.
- Develop a business plan that demonstrates the viability, relevance, and impact of your business in Portugal, in terms of social, economic, technological, scientific, or cultural aspects.
- Prove that you have set up a company or a branch office in Portugal, or have the financial resources to do so. The latter may be obtained through a loan from a Portuguese bank or a foreign bank with a branch in Portugal. The recommended amount is at least EUR 5,000.
Requirements for obtaining a residence permit
Take a look at the documents the applicant must submit to the SEF within four months of entering Portugal to obtain a residence permit based on the D2 visa:
- visa application form, duly filled and signed
- two passport-sized color photographs
- valid passport and a copy of the main pages
- certificate of no criminal record from the country of origin and from Portugal, apostilled if applicable
- declaration of consent for the SEF to access your Portuguese criminal record
- proof of accommodation in Portugal (it can be a rental contract or, say, a property deed)
- proof of income from your business (think invoices, contracts, or tax returns)
- proof of company or branch office registration in Portugal (be prepared to produce a certificate of incorporation, tax identification number, or social security registration)
- proof of financial resources to set up a company in Portugal or invest therein (this may be a bank statement, loan agreement, or share purchase agreement)
- business plan that outlines the objectives, strategies, and expected results of your business activity in Portugal.
- declaration of the reasons for choosing Portugal as the location for your business.
Following the submission, the SEF will review the application and may request additional documents or information if necessary. To assess their motivation, knowledge, and integration in Portugal, the Portuguese authority will also interview the applicant. Expect the SEF to issue a decision within 90 days of receiving the completed application. If the decision is positive, you will get a residence card that proves your legal status in Portugal.
Would you like to move to Portugal on the D2 or any other type of visa but have no idea where to start your journey? Act smart and visit International Wealth Info first for some trustworthy background information or simply rely on the assistance of skilled agents and experts from International Wealth! Besides, don’t think twice to get help from them if you need to sign a long-term rental contract for a property in Portugal or open a bank account.
