There is no doubt that for many people, starting their own business is a challenging task, which is not easy to complete in their own country in most cases, not to mention starting in foreign countries. Of course, many people will agree that starting your own business in another country, which is fundamentally different from the country of citizenship, will take a lot of effort, patience, and investment. Earlier, we repeatedly discussed the topic of business in Portugal, starting your own company in the country and the features of its conduct, and the possibility of buying a ready-made business. In this article, we are going to discuss the five most common challenges that an entrepreneur starting in the country is likely to meet.
First, most entrepreneurs bet on those products and services that are popular in their country but are considered different in Portugal. This fact cannot be ignored. Many entrepreneurs who moved permanently to the country and started their own businesses haven't been able to confidently acquire a foothold because they have relied on those products and services unclaimed in Portugal. That is why a detailed analysis of the country's market can be considered the starting point for establishing a business in Portugal. Coffee shops are one of the most striking examples. Although there are many of them in Portugal, they are mainly designed for tourists and not for residents because the Portuguese prefer visiting traditional cafes and drinking their regular coffee without adding flavorings.
The second most typical difficulty in starting a business in Portugal is comparing this country with your home country and neglecting the local culture. This problem is more comprehensive than those who are going to open their own business in Portugal. Many immigrants correlate this country with their native one for a long time and, therefore, cannot adapt to Portugal. Earlier on our WithPortugal website, we already explained to our readers some reasons why it is necessary to leave the comparison of Portugal with your home country behind and start enjoying life in such a sunny, warm and hospitable European state. At the same time, we remind you that if you have questions about immigration to Portugal, we recommend you read some articles on this topic and contact our specialist, who will no doubt give detailed answers to all the questions. Let's return to the mentioned difficulty, which consists of comparing Portugal with the native country. Before creating your own business in the country, you should clearly understand whether what you want to do in Portugal makes sense. This European country is significantly different from the countries of Eastern Europe, so many things in demand in those countries are not such in Portugal. Don't worry if you are not familiar with Portuguese culture. We recommend that you consult with our specialists, who are well-versed in all aspects of life in Portugal and will undoubtedly help you.
The third typical difficulty when starting a business in Portugal is the misconception that trade relations in this European country are the same as in your home country. In most of Eastern Europe, products and services are sold through social networks, while in Portugal, buyers prefer to see the product in person and purchase it after that. Therefore, if you want your business to be profitable and successful in this European country, you must understand how the consumer market works in Portugal. In order to study in detail the consumer market in Portugal, we recommend that you try the role of a buyer at least once in the country, as well as communicate with residents to find out their experience in buying certain products and/or services. By verifying how the consumer market in Portugal functions in practice, you can draw up a good guide for yourself on how to implement a profitable business in the country. Otherwise, you will only find closed doors that are unlikely to open.
The fourth and most dangerous difficulty in starting your business in Portugal is that the Portuguese tax system is often seen as identical to that of your home country. But, of course, it is not. The tax system of any country is unique. It has its own 'pitfalls' that must be known and taken into account to avoid falling into one unpleasant tax situation, namely not to be a tax debtor, not to receive a fine for an incorrectly completed tax action, etc. We repeatedly told our readers about the Portuguese tax system before. The taxation system in Portugal, unlike other countries, is quite simple because only the central government and municipalities, in other words, city authorities, levy taxes. For this reason, the country has a relatively small number of mandatory and individually gratuitous payments, that is, taxes directly affecting the taxpayer's wealth. However, the Portuguese taxation system differs, for example, from the taxation system in Ukraine. That is why it is crucial that when creating your own business in Portugal, you don't try to follow the same rules of the tax system that you followed in Ukraine but immediately contact an experienced and proven accountant.
The fifth and final difficulty in starting your own business is excessive attention to your product and indifference to the client. One main characteristic that directly affects your business in Portugal is your positive energy. Portugal is a country that appreciates the positive energy that comes from those who implement products or services. In other words, if you intend to establish your own business in the territory of this country, you need to consider this peculiarity of consumers. In my opinion, overcoming all the above difficulties when starting your business in Portugal will help you successfully run your company in this European country. Remember that all the data presented in our article is considered informative. If you have questions or doubts about starting a business in Portugal, we advise you to contact our specialists for more detailed information and explanations/ They will help you overcome any difficulties and obstacles on the way to your professional dream, and we only have to wish you success!