Pros and Cons, regarding best, or cheapest and best way to acquire GV citizenship either through a GV fund or making a direct equity investment in a PT company with a project / development that meets all the legal criteria.
As a developer of health and wellness hotel complex in the Algarve (50% long term users) we are seeking views and personal observations from participants of this forum (whether they just want to acquire a second passport or looking for permanent stay in Portugal) and their thoughts on the best way to set up and structure a GV fund or GV investment opportunity, with this information to hand, we are looking to create the quickest, easiest and lowest cost method for applicants to acquire a Visa through what will be our own unique setup.
The 2 options.
First option, “Transfer capital of at least €350,000, destined to acquire units in investment or venture capital funds aimed at providing capital to companies that meet certain requirements.”
Second option, “Capital transfer of the amount equal to or above €350,000 for the establishment/reinforcement of a commercial company with its head office in Portugal.”
They both have good points and not so good points going for them, with the GV fund tending to be more expensive overall, the company equity investment opportunity downside, is the commitment to providing 5 permanent jobs per €350.000 tranche, not really a problem though as we will probably end up with many times more.
The second option has the potential to be more flexible from our point of view, we are working on a structure so that any initial equity investment will attract a 5% pa ROI and will also have the possibility to be rolled over into a longer term shareholder profit sharing position, with a 10% return pa over any extended term.
Which ever route we go down initially (maybe both eventually) we are only looking to attract a small number of GV investors up to 10% of our equity, we would be in a position with both procedures to offer the 5% ROI with a guaranteed return of €437,500 after the 5 year period required, €656,250 if the 10% 5 year extension option is taken up.
Other possibilities we are considering within the company equity option could be salaried employment depending on skill level, also the potential for low cost long term living as a valued shareholder, if the extended option was taken up and the long term 10% ROI reduced to 5% that low cost living could turn into free living for life with a free and clear annual €21,875 disposable income.
Just think about that last paragraph for a moment, no more rent and rates to pay ever again, no more energy bills, no water or sewage bills, no maintenance or insurance costs, no cooking or cleaning, no washing or ironing, no food or drinks to buy, all meals would be free of charge in one of the restaurants, teas coffee’s and snacks in the coffee bar any time, many other benefits also available, this free living for life is for two people so doubly beneficial.
Also living on site would have many other benefits, free use of all the hotel leisure facilities including a nice big heated pool and his and hers saunas, as a valued shareholder free transfers to and from the airport, use of the company car pool, plus all excursions that are provided for the hotel guests, just to put a slight dampener on this, any active shareholder would need to fit in with the ethos of the project and be compatible in all other ways.
For those who maybe interested to find out more in the aftermath of this fact finding exercise, message me for more details. (genuine interest only please)
Just to let you know we are working with some of the best lawyers in Portugal regarding this proposition, so don’t disregard this opportunity as being too good to be true, also take note, the value of our assets will always be more than 500% of any equity we take on.
So if anyone here has time to make any constructive comments regarding these two basic funding options it will be very much appreciated, it should be noted that all the above info is only an exercise at this time and is not as yet set in stone, so anyone interested to invest with us under the GV scheme should contact us directly and negotiate any investment or equity funding based on their own personal circumstances.
warm regards peter