Quick comparison
The three numbers that matter: incorporation cost, corporate tax and actual timeline.
Key points
- Portugal — LDA/Unipessoal · IRC 19% · VAT 23% · 4-8 weeks · no minimum capital
- France — SAS/SASU · corporate tax 25% (reduced 15% up to €42,500) · VAT 20% · 3-6 weeks · capital from €1
- Germany — GmbH · effective corporate tax 30-33% · VAT 19% · 6-14 weeks · capital €25,000 (€12,500 on incorporation)
When to choose each
Choose Portugal if you want to incorporate cheaply and quickly, with a low-cost back office and a nearby Iberian market. It is the natural starting point for Spanish SMEs.
Choose France if your end customer is French: a local SAS conveys trust and prevents you from being ruled out for not having a presence. The reduced corporate tax of 15% up to €42,500 in profit makes it attractive to start with.
Choose Germany if you sell to medium and large companies in the DACH region (Germany, Austria, Switzerland) or want to hire local talent. The GmbH is the credibility standard, although it costs more and takes longer.
Tax comparison
Portugal has the lowest standard rate of the three (21%), but France offers a reduced 15% for SMEs that can be lower at the start. Germany is the most expensive in effective terms (30-33% including municipal tax).
All three have a double taxation treaty with Spain, so you will not pay twice on the same profits in any of them.
Monthly accounting and tax cost
Ongoing costs follow the same order as incorporation: Portugal the cheapest, Germany the most expensive. Add payroll per employee only if you hire.
Key points
- Portugal: tailored plan
- France: tailored plan
- Germany: tailored plan
