How to open a Uber TVDE business in Portugal

Uber TVDE (ride-hailing) business in Portugal is a clear and manageable process. In this blog post, we’ll walk you through each step, covering the key requirements and legal obligations. Whether you're planning to drive yourself or launch your own operation.

Uber TVDE in Portugal: An Overview

The TVDE sector (Transportes em Veículos Descaracterizados para Efecção de Transporte de Passageiros) has seen remarkable growth across Portugal, especially in major cities like Lisbon and Porto. Since the introduction of specific regulations in 2018 by the Portuguese government, platforms like Uber and Bolt have become key players in transforming urban mobility. According to the Instituto da Mobilidade e dos Transportes (IMT), the industry saw a significant rise in 2023, with around 18,000 licensed vehicles operating nationwide.

Why the TVDE Sector is Thriving in Portugal

One of the standout strengths of the TVDE industry is its flexibility and accessibility for both drivers and passengers. For drivers, it offers a chance to earn income while maintaining control over their schedules. Passengers, on the other hand, enjoy convenient, cost-effective alternatives to traditional taxi services.

A report by the European Commission revealed that nearly 50% of urban residents have used a TVDE service at least once, highlighting the growing reliance on this mode of transportation.

With urban mobility demand on the rise, 2023 is shaping up to be a year of continued expansion for the TVDE sector. More entrepreneurs are exploring how to start a TVDE operation in Portugal. While meeting initial requirements and staying compliant with regulations remain key challenges, the sector's growth potential makes it an attractive opportunity. The Instituto da Mobilidade e dos Transportes (IMT) emphasizes that adhering to legal standards is essential for ensuring passenger safety and service quality.

As the market becomes increasingly competitive, aspiring operators must stay informed about changing regulations and industry trends to remain successful. The steady expansion of TVDE services highlights their growing importance within Portugal’s transportation landscape.

TVDE in Portugal: What You Need to Get Started

If you're thinking about launching a TVDE (Transport Vehicle Driving for Hire) service in Portugal, understanding the legal requirements is crucial. Here's a step-by-step guide to help you through the essential setup process.

1. Get Your Portuguese Tax Number: The first thing you'll need is your Número de Identificação Fiscal (NIF), Portugal’s tax identification number. This is a fundamental requirement for anyone looking to start a business in the country. Whether you're a resident or a foreigner, the NIF is your starting point for all legal and financial activities.

2. Secure a Portuguese Address: You’ll also need a Portuguese address to register your activity. If your business doesn’t require a physical office, you can opt for a virtual address, a common and convenient choice for many digital or service-based businesses in Portugal.

3. Register Your Company: To operate as a legal entity, you must register your company with the Portuguese Tax Authority.

During this step, you'll receive a NIPC (Número de Identificação de Pessoa Colectiva), which is your company’s unique tax ID. This process includes choosing a business structure and officially launching your enterprise.

4. Open a Business Bank Account & Set Up Accounting: Within 15 days of registration, you’re required to open a business bank account and arrange certified accounting services.

This account is used for all company-related transactions, and proper bookkeeping is mandatory under Portuguese law. It's recommended to work with a certified accountant who can handle your financial records and tax submissions.

5. Apply for TVDE Licences: You’ll need to obtain the relevant TVDE operator and driver licences. This includes attending mandatory training and ensuring that your vehicle meets all criteria set by the Instituto da Mobilidade e dos Transportes (IMT).

6. Ensure Legal Insurance Coverage: TVDE operators must have valid commercial insurance that complies with Portuguese regulations. This typically includes liability, passenger, and vehicle coverage.

TVDE in Portugal: Creating Your Business Plan

Launching a TVDE (ride-hailing) business in Portugal requires more than just a vehicle and a license. It starts with a clear and comprehensive business plan. This blueprint will guide your operations, help you stay compliant, and increase your chances of long-term success. Here are the key components to include:

1. Market Research

Begin by analysing the demand for TVDE services in your area, especially in high-traffic cities like Lisbon, Porto, and Faro. Identify your target customers, are they tourists, commuters, or late-night travelers? Study existing competitors and explore gaps in the market. Understanding customer behavior will allow you to tailor services for maximum impact.

2. Legal Requirements

Familiarise yourself with the legal framework for operating a TVDE business in Portugal. This includes obtaining the required licenses for both the driver and operator, registering your business, and ensuring your vehicle complies with IMT regulations. Staying compliant is critical to avoiding fines or service disruptions.

3. Financial Projections

Create detailed financial forecasts, including:

Initial start-up costs (vehicle, insurance, licensing, etc.)
Ongoing expenses (fuel, maintenance, driver payments)
Estimated monthly income based on market demand

Consider potential funding sources such as personal savings, business loans, or grants. A solid financial strategy will help you sustain and scale your operations.

4. Operational Plan

Define how your business will function day-to-day:

Scheduling and managing rides
Driver recruitment and management (if applicable)
Vehicle maintenance and safety checks
Customer service protocols

A streamlined operation leads to better efficiency, cost savings, and customer satisfaction.

5. Marketing Strategy

Develop a clear strategy to attract customers. This can include:

Creating a strong online presence (website, Google Maps listing)
Using social media platforms for promotions
Partnering with hotels, hostels, or local businesses
Offering referral or loyalty incentives

Visibility and trust are essential in the highly competitive mobility sector.

6. Technology Integration

Consider investing in or partnering with platforms that offer:

A reliable mobile app or booking system
Real-time driver and vehicle tracking
Automated payment and invoicing tools

Smart use of technology can significantly improve operational efficiency and user experience.

Conclusion: Starting a TVDE business in Portugal is an exciting opportunity for motivated entrepreneurs. With careful planning, legal compliance, and a customer-focused approach, your venture can thrive in this fast-growing sector.

If you’re looking for tailored support to set up your TVDE company, whether it’s getting your NIF, registering your business, or managing accounting and tax compliance, INLIS Consulting is here to help. We offer personalized, step-by-step assistance to make the process smooth and stress-free.

Ready to launch your TVDE business in Portugal? Contact INLIS Consulting today and take your first step toward entrepreneurial success.