Brazilian SMEs transferring data to Portugal: regulatory risk is already a reality.

Has it become easier to transfer data? Yes. But the penalties for those who do it the wrong way have also increased.

Many small and medium-sized enterprises, sometimes even out of ignorance, still treat the international transfer of data as a technical detail of the business, a bureaucratic matter. But, in practice, the mere circulation of personal data between Brazil and Portugal is enough to create the need to comply with both the General Data Protection Law (LGPD) and the General Data Protection Regulation (GDPR).

Even before the LGPD came into effect in Brazil, a large part of the studies, implementation programs, and practical privacy guides used the GDPR as their main reference. Therefore, it is common to say that the European regulation was the mother of the LGPD, even though the Brazilian law was adapted to the legal and business reality of the country.

In Brazil, the ANPD (National Data Protection Authority) was created as the body responsible for oversight, creation of guidelines and models, and application of sanctions. Thus, the ANPD (National Data Protection Authority) played a central role in consolidating the LGPD (Brazilian General Data Protection Law), facing the natural challenges of interpretation, oversight, and institutional maturation. At the same time, the importance of aligning the Brazilian regime with the European model has always been clear, not only due to the technical influence of the GDPR (General Data Protection Regulation), but also due to the economic relevance of relations between Brazil and the European Union.

This recognition gained new weight in early 2026 with the official announcement of the reciprocal recognition of the adequacy of data protection regimes by the ANPD and the European Commission. In practice, this makes the flow of data between Brazilian operators and entities based in the European Union more predictable.

But predictability does not mean a lack of caution. On the contrary, the convergence of regimes increases the responsibility of companies that process personal data in international operations.

And this directly affects small and medium-sized enterprises.

Imagine a Brazilian clinic that serves patients in Portugal via telemedicine or a consultancy that centralizes back-office and client management in Portugal. If you share medical records, HR documents, or billing data without the correct paperwork and enhanced security, you have a ticking time bomb on your hands.

Another business we see daily is Brazilian consulting firms that centralize part of their customer service, back office, or client management in Portugal; they may also be transferring personal data without adequate documentation.

In Portugal, the National Data Protection Commission (CNPD), the authority responsible for monitoring and applying sanctions in cases of GDPR violations, does not take its job lightly.

The history of fines imposed shows that small and medium-sized enterprises are constant targets, and fines (the infamous Portuguese fines) tend to hurt the wallet. The fatal mistake is thinking that, because you are small, you are off the radar.

When a company transfers data without properly mapping workflows, identifying and indicating the appropriate legal basis, reviewing contracts with suppliers, and without adopting proportionate technical and organizational measures, a problem is created that can grow silently and turn into a sanction.

And often, this happens in routine day-to-day operations, such as remote customer service, CRM, recruitment and HR, finance, administrative support, cloud platforms, or document exchange with clients and partners in Brazil.

The central point is simple: international data transfer doesn't begin when a large international contract arises. It often begins in routine operations.

Therefore, small and medium-sized Brazilian companies operating with Portugal urgently need to review their data workflows, the legal basis for processing, the contracts involved, and the security measures applied. Waiting for a complaint, an audit, or an incident is usually more expensive than structuring compliance in time.

Companies doing business between Brazil and Portugal need to treat data protection as part of their business strategy, not as a pro forma document to sign, put in a folder, and forgotten forever.

As you can see, there is already a real history of fines in Portugal for GDPR violations, including small and medium-sized enterprises, which shows that the risk goes far beyond a theoretical warning.

If your small or medium-sized company sends personal data to Portugal, be careful. You need to ensure that this exchange has a legal basis, whether through contracts or the current adequacy rule. Don't forget to strengthen digital security and record the entire path the data takes. It's the only way to avoid heavy fines, both from the ANPD in Brazil and the CNPD in Portugal.