(Either donation based or film production investment based).
NOTE: We presently have only a handful of €200;000 Artistic Production Golden Visa client slots available for a project in the Portuguese interior.
Guaranteed yield of 4% p.a. Principal capital guaranteed. Government pre-approval issued before capital needs to be committed.
Contact us now to avoid missing out.
Governmental Program Guidance: Cultural Production option
|€200,000+ if he project will be based in a NUTS III level location (i.e. low density).
(This is defined as an area with less than 100 inhabitants per km2, or in an area with a GDP, per capita, of less than 75% of the national average).
€250,000+ (urban areas)
|The Cultural Production track is the only GV option to feature a fast, pre-approval process – only 15 days – involving an authorized governmental entity before any capital has to be committed. (Contact us now for more details on this option.)
This pre-approval system offers applicants unparalleled peace of mind. The Cultural Production Golden Visa also offers a faster path towards residency approval than the traditional property based Golden Visa.
Applicants utilizing the latter track has seen significant approval delays due to structural changes at SEF, the country border control and immigration directorate.
(Thankfully, these bottlenecks are now being dealt with as of June 2022. The expected timeline for Cultural GV applications is around 8-10 months.)
|This is a relatively new program with no track record of investors gaining their Golden Visas or making a profit – yet.
As of 2 October 2022, at least 14 investors are awaiting pre-approval from the Portuguese authorities to make an eligible investment and proceed with their Cultural Golden Visa applications.
The application process is much simpler than with real estate investments (1 visit required, vs 2).
And while feature film funding investments traditionally carry significant downside risk, innovative pre-selling of content to distribution networks significantly mitigates such risks.
The film sector in Portugal has also obtained special concessions to keep on filming despite pandemic regulations, so future productions shouldn’t be materially impacted by future pandemic restrictions.
REAL ESTATE GOLDEN VISA
(Depending on property’s age and location):
- Residential real estate in Lisbon, Porto, Algarve and coastal areas is NOT eligible for the Golden Visa program.
- Commercial property in these areas, however, do qualify.
Governmental Program Guidance – €500K Properties option
Governmental Program Guidance – €350K Properties option
Check which areas are eligible for Golden Visa property investments by looking at this population density resource for Portugal.
To review the residential property eligibility at a parish level, consult the official government decree (in Portuguese).
NOTE: There are a number of guaranteed buy-back options (available after 6 years) at both the €280K and €350K price points.
These are offered by established Golden Visa developers, particularly in the touristic segment.
Contact us if you’d like to find out more.
|A powerful Plan B option combining flexible second residency AND a second home (or commercial property asset) in the world’s third-safest country.
A traditional asset class known, understood and previously utilized by a large percentage of applicants.
The peace of mind of owning a real asset in a growing market where both rental and sales demand currently outstrips supply.
For those opting to purchase residential real estate, a Golden Visa investment can deliver potential yield, and/or afford property owners the lifestyle benefit of spending time staying in their own vacation property.
Achieve effective portfolio diversification and jurisdictional risk hedging.
(The expected timeline for property based GV applications is around 12-14 months.
|Significant costs associated with asset acquisition, maintenance and repairs, management and eventual exit.
Projected yield may be impacted by pandemics, travel bans and air travel challenges, but also by increased regulation of short-term letting platform Airbnb.
Most buyers spend a significant amount of time shopping around for the right property, which slows the overall Golden Visa application process down considerably.
The Portuguese property market is overheating in 2022, which makes finding quality, value-for-money properties harder. Expect to pay a premium, or to deal with the additional complexities and delays of buying off-plan.
View a list of all of the Portuguese Golden Visa Investment Funds for 2022 here.
Governmental Program Guidance: Portuguese Investment Funds option
||The investment fund category has steadily grown in popularity since residential real estate in Lisbon, Porto and the Algarve is no longer eligible, thus reducing the expected yield from residential real estate.
Investment funds can potentially deliver superior returns to real estate investments – and especially if these properties are residential units located in the Portuguese interior regions.
While fund-based Golden Visa investments clearly require significant due diligence, the application process tends to be significantly faster than with property based applications.
The exit costs are also far lower than with property (if there are any at all).
The expected timeline for fund based GV applications is around 12 months.
|As with any kind of investment, Portuguese funds carry a degree of potential risk: You may not be able to recoup your full principal, and there is the risk of far more significant losses, depending on the exact nature of the fund you choose to invest in.
If you choose the fund-based Golden Visa track, you won’t be able to access your capital until the investment reaches maturity. Whereas with a real estate investment, you can sell the property as soon as you meet the program’s requirements for permanent residency and/or Portuguese citizenship.
JOB CREATION GOLDEN VISA – 10 JOBS)
Governmental Program Guidance: Job Creation option
|No minimum investment required. Create at least 10 new jobs (8 jobs if the business is situated in a low density territory.
A low density area is defined as being situated in a NUTS III level location, with less than 100 inhabitants per km2, or an area with a GDP, per capita, of less than 75% of the national average).
|Given that no minimum investment threshold is required this option could work well for Golden Visa applicants planning to launch a business that will create permanent jobs in Portugal.
This is not a very viable option if you’re looking for a low-effort Plan B.
But depending on the nature of the business and its capitalization and operational expense requirements, this could be THE cheapest Golden Visa option.
|Unlike with a real estate based Golden Visa investment, this track is most likely not going to be a “passive” investment.
Realistically, getting a Golden Visa will be a secondary benefit for Job Creation Golden Visa applicants.
And for individuals who will need to spend the majority of any given calendar year in Portugal in order to run their fledgling business, the D7 or D2 Visa categories may be viable options as well…
RESEARCH ACTIVITIES GOLDEN VISA
Governmental Program Guidance: Research Funding option
||Secure your Plan B while making a meaningful soci0-economic and/or technological contribution to your new second home country.
Gain the opportunity to plug into the Portuguese research sector.
Potentially develop, package and scale high-value intellectual property (IP) in collaboration with a Portuguese research institution.
|In many instances, this option essentially entails a non-refundable donation to fund research activities. So for most Golden Visa applicants, this option will not make much sense.
However, in the case of successful patenting and royalty payments, potential returns can be negotiated.
In contrast, the HQA Visa (see below) offers a similar but more structured approach to this, at a far lower price point, and with the ability to own 100% of all IP created during the research project.
NEW OR EXISTING COMPANY CAPITALIZATION GOLDEN VISA
Governmental Program Guidance: “Constitution of a Commercial Company” option
Create 5 new permanent job positions (if a new company)
Create 5 new OR preserve 5 existing jobs (if capitalizing an existing Portuguese enterprise).
|Enjoy full control by launching your own company.
Target higher potential yield than you could expect with a real estate based Golden Visa.
Opt for low/no operational involvement by capitalizing an existing Portuguese enterprise.
|Launching a brand new venture abroad necessarily comes with the potential risk of losing your entire principal. This option may therefore make the most sense to seasoned serial entrepreneurs.
Investing in a mature, established business could be a more viable option that requires less (or no) operational involvement.
However, depending on the nature of the business being invested in, the risk of partial – or total – loss of capital can nonetheless be significant also.
Discover the benefits of Portugal’s Highly Qualified Activity Visa program here.
||A lower price point than any of the Golden Visa investment options (€175;000 vs €200;000+).
Full Golden Visa flexibility, with similar minimum stay requirements.
Lower capital layout = lower opportunity cost.
A white-glove, concierge style solution – be as hands-on, or as hands-off, as you choose to be.
A fast process – visa approvals issued in under 30 days.
|Unless your research project and venture becomes commercially successful, the €175,000 fee is a sunk cost.
While you can leave the operational management of the project and business to your incubation partner, you will need to be involved in strategic decision-making.
Unless your enterprise achieves commercial success, your only material underlying asset will be the IP created during the research project.
CAPITAL TRANSFER GOLDEN VISA
Governmental Program Guidance: Capital Transfer option.
||The most passive of all the ARI investment options.
Enjoy a faster, simpler application process than with the Golden Visa property track.
Effective currency hedge.
No need for extensive market research (on property) or due diligence (on investment funds / companies).
|Significant opportunity costs.
Capital tied up for at least 6 years.
Bank accounts in Portugal are only guaranteed by the Deposit Guarantee Fund (Fundo de Garantia de Depósitos) for deposits of up to €100,000.