D2 or D7 Visa: Which One Should You Choose to Live in Portugal?

In recent years, Portugal has been attracting a lot of attention from foreign investors and entrepreneurs who are interested in taking advantage of Portugal's residency programs. Two of the most popular options are the D2 and D7 visas. In this article, we will explore the eligibility requirements, benefits, and application process for both visas and help you decide which one is right for you.

Introduction to Portugal's residency programs

Portugal has developed a number of residency programs to attract foreign investors, entrepreneurs, highly skilled professionals, and retirees to the country. These programs offer a range of benefits, including tax incentives, access to healthcare, education, and social services, as well as the ability to live and work in Portugal.

The main residency programs available in Portugal are the Golden Visa Program, the D2 visa, and the D7 visa. They provide a gateway to the European Union, a high standard of living, and favorable tax regimes for investors and retirees.

Understanding the D2 and D7 visas

• The D2 visa, also known as the "start-up visa," is designed for entrepreneurs who want to start a new business in Portugal. The D2 visa allows the applicant to live and work in Portugal for up to one year, with the possibility of renewal. To be eligible for the D2 visa, the applicant must have a business plan and sufficient financial resources to support themselves and their business.
• The D7 visa, also known as the "passive income visa," is designed for retirees, investors, and individuals with passive income who want to live in Portugal. The D7 visa allows the applicant to live in Portugal for up to two years, with the possibility of renewal. To be eligible for the D7 visa, the applicant must have a regular source of passive income or sufficient financial resources to support themselves and their dependents.

Eligibility requirements for the D2 visa

The D2 visa is a type of long-term visa in Portugal that allows foreign entrepreneurs to establish and operate their businesses in the country. To be eligible for the D2 visa, applicants must meet the following requirements:

1. Entrepreneurship: The primary requirement for the D2 visa is to establish a business in Portugal. The business can be in any field, including technology, tourism, manufacturing, or services. The applicant must present a detailed business plan that outlines the nature of the business, investment details, and projected employment opportunities.
2. Investment: The applicant must invest a minimum of €5,000 in the business. The investment can be in the form of capital, intellectual property, or machinery.
3. Education: Applicants must have completed secondary education or hold a professional qualification relevant to their business.
4. Health insurance: Applicants must have valid health insurance coverage in Portugal.
5. No criminal record: Applicants must provide a certificate of good conduct from their home country or any other country where they have lived for the past year.
6. Financial resources: Applicants must demonstrate that they have sufficient financial resources to support themselves and their dependents during their stay in Portugal.

Generally, the D2 visa is an attractive option for foreign entrepreneurs who wish to set up and manage their businesses in Portugal. It provides an opportunity to tap into the country's vibrant and growing economy while enjoying its high standard of living and quality of life.

Eligibility requirements for the D7 visa

The D7 visa is a type of long-term visa in Portugal that is designed for individuals who have a steady income from pensions, investments, or freelance work and wish to reside in the country. To be eligible for the D7 visa, applicants must meet the following requirements:

1. Sufficient income: The applicant must have a steady income that is sufficient to support themselves and any dependents without needing to work in Portugal. The minimum income required is determined by the Portuguese government each year and can be adjusted for each dependent. In 2023, the minimum monthly wage for a single applicant will be €760; for a spouse, it will be€380will be and for each child, it €228. 
2. Health insurance: Applicants must have valid health insurance coverage in Portugal.
3. No criminal record: Applicants must provide a certificate of good conduct from their home country or any other country where they have lived for the past year.
4. Proof of accommodation: Applicants must show proof of accommodation in Portugal, such as a rental contract or ownership of a property.
5. Financial resources: Applicants must demonstrate that they have sufficient financial resources to support themselves and their dependents during their stay in Portugal.

The D7 is the most preferred type of visa in Portugal among foreigners due to its simple requirements and procedure.

Benefits of the D2 and D7 visas

The D2 visa offers a number of benefits for entrepreneurs who want to start a business in Portugal. These benefits are as follows:

• The ability to live and work in Portugal for up to two years, with the possibility of renewal;
• access to the Portuguese market and the European Union;
• tax incentives for new businesses;
• access to business incubators and accelerators;
• The opportunity to network with other entrepreneurs and investors in Portugal

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On the other hand, the D7 visa offers a number of benefits for retirees, investors, and individuals with passive income who want to live in Portugal. These advantages include:

• The ability to live in Portugal for up to two years, with the possibility of renewal;
• Tax exemption schemes for non-habitual residents;
• Access to healthcare, education, and social services in Portugal;
• There is no minimum stay requirement in Portugal;
• The ability to travel freely within the Schengen Area;
• The opportunity to enjoy Portugal's culture, cuisine, and quality of life.

Processing time and fees for the D2 and D7 visas

The processing time and fees for the D2 and D7 visas in Portugal can vary depending on several factors, such as the nationality of the applicant, the complexity of the application, and the volume of applications being processed at the time. Here's a general overview of the processing time and fees for these visas:

• D2 visa: The processing time for a D2 visa application can vary from two to six months, depending on the complexity of the application and the volume of applications being processed at the time. The fees for a D2 visa application are about €83 per application. If the visa is approved, there is also a fee of about €150 for the residence permit.
• D7 visa: The processing time for a D7 visa application can vary from two to three months, depending on the complexity of the application and the volume of applications being processed at the time. The fees for a D7 visa application are up to €90 per application. If the visa is approved, there is also a fee of €165 for the residence permit.

It's important to note that these fees and processing times are subject to change and can vary based on individual circumstances. Additionally, applicants may also need to pay additional fees for other services, such as language certification or translation of documents. It's always a good idea to check with the Portuguese embassy or consulate in your country for the most up-to-date information on fees and processing times.

Conclusion

Portugal's residency programs offer a range of benefits for foreign investors, entrepreneurs, and retirees. The D2 and D7 visas are two popular options for those who want to live and work in Portugal. It is important to consider the eligibility requirements, benefits, and application process for each visa before making a decision. Contact Golden Harbors to apply for a more suitable visa today.

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