For many international investors, Portugal is synonymous with the historic charm of Lisbon and the riverside beauty of Porto. However, there are real estate markets with better opportunities and less competition.
If you are looking to open a franchise or start a business in Portugal, the real “hidden gems” offer lower overheads, high quality of life, and untapped consumer bases. Here is where you should be looking.
1. Braga: The Tech and Youth Capital
Located in the north, Braga is consistently ranked as one of the cities with the highest quality of life in Europe. It is one of the youngest cities in Portugal, thanks to the University of Minho.
Why invest here
A young population means a high adoption rate for new trends, from fitness franchises to specialized education and modern dining concepts.
The Advantage
Labor costs and commercial rents are significantly more accessible than in Porto, just 45 minutes away.
Best for
EdTech, fast-casual dining, and services for young families.
2. Aveiro: The "Portuguese Venice" of Innovation
Aveiro is much more than its famous canals and ovos moles. It is a powerful industrial and technological hub, home to a world-class university and a booming telecommunications cluster.
Why invest here
Aveiro has a high purchasing power driven by a stable middle class of engineers and specialized professionals.
The Advantage
The city serves as a gateway between the north and the center of the country, offering excellent logistics.
Best for
Tech-based services, B2B franchises, and sustainable retail.
3. The Algarve: Beyond Seasonal Tourism
While the Algarve has always been a tourism magnet, there is a growing trend of “digital nomads” and retirees moving there year-round, especially to cities like Faro, Loulé, and Lagos
Why invest here
The region is moving away from “summer-only” business models. There is a massive demand for year-round services like high-end health clinics, international schools, and home renovation franchises.
The Advantage
A highly international population that is already familiar with global franchise brands.
Best for
Health & Wellness, property management, and specialized pet services.
4. Coimbra: The Knowledge Hub
Strategically located in the center of Portugal, Coimbra is the country’s historic university city. However, it is also becoming a center for healthcare excellence and biotechnology.
Why invest here
Coimbra serves a vast catchment area of surrounding smaller towns. It is a stable market with a constant influx of thousands of students and high-income medical professionals.
The Advantage
Centrality. It’s the perfect mid-point for businesses looking to bridge the gap between Lisbon and the North.
Best for
Bookstores, health & wellness, and student housing-related franchises.
5. Viseu: The Best City to Live
Viseu has been voted several times by the Portuguese as the best city to live in terms of quality of life, safety, and green spaces.
Why invest here
It is a major regional hub for the interior. People from all over the central-interior region travel to Viseu for shopping and services.
The Advantage
Low competition. Many international franchises haven’t reached Viseu yet, offering a “first-mover advantage.”
Best for
Household goods, beauty & aesthetics, and automotive services.
Are you ready to explore Portugal's emerging markets?
There are countless small and medium-sized cities, each with its own charm and plenty of opportunities to start a business.
Contact us, and we’ll help you find the right business and the best-suited city.