Mercan Group

Can IRA or 401K Investments Qualify for Portugal Golden Visa?

For US-based clients contemplating residency in Portugal, the golden visa still emerges as a highly attractive avenue. Portugal Golden Visa presents minimal residency prerequisites, requiring permit holders to spend an average of seven days annually in Portugal to uphold residency status. Such flexibility is particularly advantageous for those engaged in professional activities or who are not yet prepared for a complete relocation to Portugal.

With an investment of 500,000 euros, investors can delve into hospitality management while also paving their way to residency and potentially citizenship in Portugal.

One notable aspect of this opportunity is the flexibility it offers in terms of funding.

Investors can utilize funds from their Individual Retirement Accounts (IRAs) and solo 401 (k) to fuel their investment endeavors. By leveraging IRAs and 401 (k) in this manner, investors not only diversify their retirement portfolios but also open doors to international residency and citizenship program.

Based on this scheme, if Stuart invests in the Golden Visa with his IRA funds, he will save 593 365$.

*Please note that each case is different and the client should contact always an attorney to check all the details.

While IRAs/401(k) offer tax advantages, premature withdrawals come with hefty penalties and tax implications that could jeopardize long-term financial plans.

In contrast, Portugal’s Golden Visa program presents a compelling alternative, especially for those eyeing European residency and citizenship.

Through investment funds, individuals can embark on a journey towards Portuguese residency, with the enticing prospect of eventual citizenship.

When evaluating retirement investment options, it’s imperative to consider not only potential financial gains but also the associated tax consequences and supplementary benefits. While IRAs/401 (k) provide tax benefits, investors must tread carefully to avoid penalties. In contrast, Portugal’s Golden Visa program offers a pathway to residency and citizenship without tax penalties, alongside promising investment opportunities.

In summary, Portugal’s Golden Visa program stands as a beacon for investors seeking both financial security and international mobility. By strategically leveraging investment funds, individuals can secure their retirement while simultaneously paving the way for an exciting new chapter in Portugal.

Contact our team to embark on your journey towards financial security, international residency, and the possibility of European citizenship

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Know Who We Are

Welcome to Mercan Group

In Portugal since 2015, Mercan Group is responsible for the investment and development of 31 projects within the hospitality sector across the country with a portfolio of €1.2 billion. Our unique investments emphasize Mercan’s commitment to Portugal’s tourism sector through foreign investment, driving economic growth in the country and ensuring the best hospitality with unparalleled expertise and prime quality.

Our expertise in navigating the complexities of investment and residency programs ensures a seamless process for our investors. With more than 3700 investors already enjoying the privileges of our programs and 22 hotel projects under development, Mercan stands as a beacon of trust and success in the investment world.

BILLION EUROS TOTAL INVESTMENT

TOTAL INVESTORS

OPERATIONAL HOTELS

HOTELS UNDER DEVELOPMENT

Discover the Benefits of Investing in Portugal

Explore the array of benefits that come with your Golden Visa investment.

European Residency

Immediate access to live and work in Portugal, with visa-free travel across the Schengen Zone, enhancing your mobility and business flexibility.

Family Privileges

Extend residency benefits to your entire family, allowing them to enjoy the same high quality of life and education opportunities across Europe.

Tax Optimization

Leverage Portugal's unique tax benefits, including reduced rates and exemptions, which can significantly increase your investment returns.

Citizenship Pathway

After five years of residency, you are eligible to apply for Portuguese citizenship, opening up the opportunity to live and work anywhere within the EU.

Investment Security

Invest confidently with Mercan's established track record and the security of a guaranteed buyback option on your investment in Portugal.

Cultural Enrichment

Experience Portugal's rich cultural heritage and vibrant lifestyle firsthand, while enjoying the stability and security of an EU nation.

Invest in the Portugal Golden Visa Program with Mercan GROUP

The Golden Visa grants investors and their families the right to study, live, work in Portugal, and enjoy visa-free access to 26 European Union countries. They can also apply to become permanent residents or citizens after five years (not necessarily full-time) stay.

Key Investment Benefits

Investment Amount: €500,000

Processing time: about 18 months

Option 1: fixed return paid out annually and Guaranteed Buyback for the original amount.

Option 2: Payment of accured returns upon exit along with the Guaranteed Buyback :

Exit Year 8: 16% + 2% bonus = 18%

Exit Year 10: 20% + 4% bonus = 24%

Exit Year 12: 24% + 6% bonus = 30%

Tax on worldwide income: no

Language: not required

Education: not required

Mercan Hospitality Investment Funds

The Fund will hold majority stakes in three companies operating in Portugal's hospitality and tourism sector. The Fund is not a real estate fund; its activity qualifies it as a venture capital investment.

Total Investment Fund: 140 M EUR

Investment target sector: Hospitality sector in Portugal

Investment amount: 500,000 EUROS to qualify for the golden visa

Minimum Investment time: 6 years

2% Fixed Return

Guaranteed buyback

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What is a Private Equity Fund

A Private Equity Investment Fund in Portugal is a specialized investment vehicle that pools capital from investors to acquire and manage private companies, aiming for profitable exits.

The investment strategy of Mercan Funds focuses on the hospitality sector in Portugal. Specifically, Mercan Funds shall invest in companies with a high potential for growth, appreciation in value, and profitability, operating in the hospitality sector. Furthermore, targeting co-investment opportunities that promise appreciation in value over time, the strategy leverages the Mercan group’s deep market insight and operational expertise. Consequently, Investors can look forward to a diversified investment experience, with holdings spread across various hotels projects within the fund’s scope.

Commitment to the Mercan funds is in line with the prerequisites of the Portuguese Golden Visa program, with a minimum investment amount of 500,000€, providing an attractive avenue for investors seeking Portuguese residency benefits along with financial returns. Additionally, the Mercan Funds underscore investor confidence with a buyback option, enhancing investment security. The Mercan Funds represent an investment acumen and hospitality expertise, offering a platform for investors to gain from Portugal’s growing tourism and hospitality industry.

Download the free guide to access Europe and explore our project brochures.

Uncover the pathway to European residency through the Portugal Golden Visa Program with our assistance. Provide your information to access our unique project brochure and arrange a one-on-one consultation with top professionals in the field.

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Request your Guide or Schedule a Call with our Experts?

Complete the form below to receive your detailed guide or to book a personal consultation with our golden visa experts. Start your journey to European residency today!

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Partnering with Industry Leaders

Explore Our Exclusively Owned Project

BRIDGEVIEW GAIA HOTEL

This future 4-star hotel is the embodiment of Gaia’s urban life, where guests can embrace the city’s cultural heritage with a contemporary twist. The very essence of the project offers a holistic environment that encourages innovation and creativity to create an unforgettable journey along the banks of the Douro River. The hotel affirms itself as a canvas of vintage charm and modern trends, making this project the perfect place where past and present coexist harmoniously.

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ALVOR BEACH RESORT

The Torralta Area is one of the most prestigious locations on the Algarve coast. An amazing balcony above the sea, with breathtaking views over the coastline, only a few minutes away from the historic village center, and a 10-minute walk from the Torralta beach and Três Irmãos.

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PONTE DO VAU BEACH RESORT PORTIMÃO - PHASE 3

A hotel at the rhythm of the Algarve lifestyle. This beach Resort is located on the seafront just a few meters from Vau Beach. It features 3 outdoor swimming pools, a spa, gym, kids club, an exclusive private beach club close to the hotel, and a variety of relaxation areas. Its architecture, interior and exterior, was developed with respect for the surrounding environment, integrating naturally with the landscape.

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Mercan Group operates globally and is headquartered in Montreal, Canada. Our line of business includes assisting with investments, permanent residency applications, employment, student visa applications, and phone consultation services.