Company Registration in Andorra- An Overview

Aspect Details
Timeline The timeline to obtain a Company Registration in Andorra takes around 5 to 10 weeks.
Benefits

The benefits of obtaining a company registration in Andorra are as discussed below:

  • Prevents businesses from facing redundant taxes on the same income
  • Offers access to competitive and lower tax rates
  • Streamlines a relatively straightforward business setup process
  • Offers a highly developed and modern infrastructure
  • Secures a stable, secure, and legally sound environment for entrepreneurs
  • Access to favourable business regulations and adaptive policies
  • Secures high level of banking confidentiality and reliability of financial institution
Documents Needed

The documents needed to apply for company registration in Andorra are provided below:

  • A criminal record duly legalized with Hague Apostille
  • Copy of passport, legalized with the Hague Apostille
  • Documents explaining work profile and business model
  • Copy of passport, legalized with Apostille of Hague
  • Documents providing tax compliance
  • Proof of professional background and business model
  • Legalized or certified copy of applicant’s passport
  • A certificate of opening a bank account
  • Draft statutes of the company
  • A written document detailing business plan of the company
  • A valid passport of the current country of residence
  • A written document detailing business plan of the company
Eligibility Criteria

The eligibility criteria required for company registration in Andorra are as provided below:

  • Apply for Administrative Identification Number (NIA)
  • Obtain Background and Due Diligence Documents
  • Get Beneficial Ownership Declaration
  • Register official office space within the territory of the Principality of Andorra
  • Hold a minimum share capital between €3,000- €60,000 is required
  • A minimum of 1 director and 2 shareholders is required
Types

The types of business structure in Andorra are as provided below:

  • Limited Liability Company (Societat Limitada- SL)
  • Single Shareholder LLC (Societat Limitada Unipersonal- SLU)
  • Public Limited Company (Societat Anonima- SA)
  • Sole Proprietorship
  • General Partnership (Societat Col-Lectiva)
  • Andorra Branch Office
  • Andorra Representative Office
  • Andorra Holding Company
Top Businesses Seeking Company Registration in Andorra

The top businesses seeking company registration in Andorra are as provided below:

  • Cryptocurrency and Blockchain Startups
  • Hotel and Resort Businesses
  • Cross Border E-Commerce Platforms
  • Construction Firms
  • Software Development and IT Consultancy Firms
  • Private Clinics and Health Centres
  • Language Schools and Tutoring Centres
  • Legal and HR Recruitment Agencies
  • Eco-Friendly and Sustainable Products
  • Environmental Impact Assessment Services
Process

The process to obtain a full company registration in Andorra is as provided below:

  • Foreign Investment Authorization
  • Company Name Verification
  • Draft Articles of Association
  • Bank Account Opening
  • Company Registration
  • Tax and Social Security Registration
  • Start Operating Company
Post-Company Registration Compliance Requirements

The post-company registration compliance requirements are as provided below:

  • Prepare and file audited annual statement
  • Submit annual corporate income tax return
  • Register for Impost General Indirecte (IGI/ VAT)
  • Ensure appointment of a statutory auditor
  • Notify Andorran Companies Registry
  • Hold an annual general meeting of shareholders
  • Maintain proper books of accounts and records
  • Ensure compliance with labour and social security laws
How Enterslice Can Help You?
  • 10+ years of expertise in international company incorporation
  • Trusted by 500+ clients seeking company registration in Andorra
  • Deep understanding of Andorran business laws and corporate procedures
  • Seamless coordination with local Andorran Authorities
  • End-to-end documentation and incorporation support
  • Offers feasibility checks & due diligence solutions
  • Evaluate your business structure and model
  • Provides personalized solutions based on your business needs
  • Assistance with residency, visa, immigration and HR setup
  • Efficient time management based on realistic timelines
  • Proactive compliance monitoring for your business
  • Offers transparent pricing, with no hidden charges
  • Stay compliant with Andorra’s evolving corporate and tax landscape

Your Trusted Partner for Company Registration in Andorra

Now, no need to visit the government office. Let Enterslice help you with worry-free and timely company registration in Andorra.

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Understanding Company Registration in Andorra

Andorra, nestled on the southern slopes of the Pyrenees between Spain and France, is an ideal destination for entrepreneurs looking to start a business. With its business-friendly environment, attractive incentives, lower taxes, and strategic European location, Andorra offers a modernised regulatory framework that supports 100% foreign ownership.

As one of the smallest countries in Europe, the process of company registration in Andorra is fast and straightforward, specially designed to promote international investment and cross-border expansion. Whether you’re launching a startup or expanding your global footprint, company registration in Andorra ensures privacy, operational efficiency, and long-term profitability.

Connect with Enterslice to secure company registration in Andorra without the need for physical visits to government offices or dealing with complex paperwork. Moreover, the process is fully transparent, streamlined, and free from hidden charges.

Stable economy with strong EU trade links

Low corporate tax starting from 2%

0% tax on dividends and capital gains

Modern infrastructure with high-speed connectivity

Access to European and International markets

100% foreign ownership permitted

No currency controls, free capital repatriation

Business-friendly legal and tax framework

Ideal for holding, e-commerce, and investment firms

Types of Andorra Business Incorporation

The several common types of Andorra business incorporation structures, catering to different business needs and scales, are as discussed below:

SL

Limited Liability Company (Societat Limitada- SL)

A limited liability company, also known as Societat Limitada- SL, is one of the most popular choices for small to medium-sized enterprises, which allows 100% foreign ownership of both trading and non-trading companies in Andorra.

SLU

Single Shareholder LLC (Societat Limitada Unipersonal- SLU)

A single shareholder LLC, also known as Societat Limitada Unipersonal- SLU, is an ideal structure for enterprises and self-employed professionals.

SA

Public Limited Company (Societat Anonima- SA)

A public limited company, also known as Societat Anomia- SA, is a business setup designed for larger businesses planning to raise capital through share issuance.

Sole Proprietorship

Sole Proprietorship

A sole proprietorship is one of the simplest forms of business structure, directly owned and controlled by an individual, with no limit on liability and accountability for business debts.

General Partnership

General Partnership (Societat Col-Lectiva)

A general partnership, also known as Societat Col-Lectiva, is an unlimited liability company having a capital divided among the partners.

UAB

Andorra Branch Office

The Andorra branch office is an extension of an overseas company, having an independent management team and a corporate bank account based in Andorra.

Andorra Representative Office

Andorra Representative Office

Andorra representative offices, which are not allowed to make direct sales within Andorra, are entities engaged only in market research and promotion of overseas business.

Andorra Holding Company

Andorra Holding Company

An Andorra holding company is a type of business structure exclusively managing and holding participations in non-resident companies located outside Andorra.

How to Register a Company in Andorra?

The process to register a company in Andorra involves compliance with the following steps, as discussed below:

Foreign Investment Authorization

The non-residents owning over 10% of shares must apply for authorization, such as reserving the company name, obtaining Apostilled identity documents, etc.

Company Name Verification

The entrepreneurs must apply for company name verification by submitting a request to the Government of Andorra, including up to three name options, legal structures, and business activity.

Draft Articles of Association

The entrepreneurs must prepare and formalise their company’s articles of association with a notary in Andorra.

Bank Account Opening

The entrepreneurs are further advised to open a local bank account to deposit their company’s share capital, particularly regarding the source of funds (SOF) and intended business activity.

Company Registration

Upon opening of the corporate bank account, the entrepreneurs must obtain a company registration with a notary or Registrar of Companies (Registre de Societas Mercantils).

Tax and Social Security Registration

Upon successful registration, the entrepreneurs must apply for tax and social security registration with the Andorran Social Security Fund (CASS), to complete the process, after which your business can begin operations.

Start Operating Company

Once all steps have been successfully completed, the entrepreneurs must start operating the company within 6 months of the entry in the Trade Register.

Timeline for Company Formation in Andorra

The estimated timeline for company formation in Andorra generally takes around 5 to 10 weeks, depending on factors such as foreign investment approval, business activity, and document readiness.

Choose Business Structure and Name: 1 to 2 Working Days

It takes around 1 to 2 working days to choose an appropriate business structure and check business name availability with the Andorran Registrar of Companies.

Reservation of Company Name: 2 to 3 Working Days

It takes around 2 to 3 working days to check the availability and apply for a reservation with the Registre de Societats Mercantils.

Obtain Foreign Investment Approval: 5 to 10 Working Days

The timeline to obtain a foreign investment approval from the Andorran Ministry of Economy, takes around 5 to 10 working days, varying based on the type of activity and documents submitted.

Notarize Incorporation Documents: 2 to 3 Working Days

It takes around 2 to 3 working days for the notarization and preparation of incorporation documents and company statutes before incorporation.

Company Registration with Registry: 5 to 7 Working Days

It takes 5 to 7 working days to secure a company registration with the Registre de Societats Mercantils.

Open a Corporate Bank Account: 5 to 10 Working Days

It takes around 5 to 10 working days to open a corporate bank account with an Andorran bank, depending on the due diligence and the bank’s internal processes.

Register for Tax Identification Number: 2 to 3 Working Days

The time taken to apply for a tax identification number (Numero de Registre Tributari- NRT) with the Andorran tax authorities typically takes around 2 to 3 working days.

Obtain Sector-Specific Licenses: Varies

The time required to obtain sector-specific business licenses and permits varies based on the nature of the business and the regulatory requirements of the respective authorities.

Documents for Online Company Registration in Andorra

The documents needed for online company registration in Andorra are as discussed below:

A criminal record duly legalized with Hague Apostille

Copy of passport, legalized with the Hague Apostille

Documents explaining work profile and business model

Copy of passport, legalized with an Apostille of the Hague

Documents providing tax compliance

Proof of professional background and business model

Legalized or certified copy of the applicant’s passport

A certificate of opening a bank account

Draft statutes of the company

A written document detailing the business plan of the company

A valid passport of the current country of residence

A written document detailing the business plan of the company

Benefits of Online Company Registration in Andorra

The benefits of online company registration in Andorra’s infrastructure are as discussed below:

Andorra Business Incorporation

Double Taxation Treaties

Company registration in Andorra implements double taxation treaties with various European Union nations, preventing businesses from facing redundant taxes on the same income.

Competitive Tax Rates

Company registration in Andorra offers access to competitive and lower tax rates, offering a flat rate between 2% 10% per year.

Ease of Business Setup

Company registration in Andorra ensures streamlining a relatively straightforward business setup process, making it more accessible than in other countries.

Modern Infrastructure

Andorra offers a highly developed and modern infrastructure, making it convenient and efficient for businesses to operate and grow in the region.

Strategic Location

Located in the heart of Europe, Andorra’s strategic location with high connectivity creates a stable, secure, and legally sound environment for entrepreneurs seeking company formation in Andorra.

Favourable Business Regulations

Company registration in Andorra’s favourable business and regulatory environment aligns closely with the accounting standards and revenue thresholders, reducing both administrative and financial overhead.

High Confidentiality

Company registration in Andorra is known for its high level of banking confidentiality and reliability of financial institutions, offering competitive rates and a minimal requirement for corporate clients.

Corporate Flexibility

Andorra’s corporate structure policies are designed to be adaptive, enabling businesses to stay agile and responsive to market changes within the emerging sectors.

Legal Requirements for Company Registration in Andorra

The legal requirements for company registration in Andorra are as discussed below:

  • Administrative Identification Number (NIA): The Administrative Identification Number (NIA) is a unique identification number necessary to intricate the business setup in Andorra.
  • Background and Due Diligence Documents: It involves a series of records to demonstrate the applicant’s reliability and financial standing.
  • Beneficial Ownership Declaration: The shareholders and ultimate beneficial owners of your societat must be declared and filed with the appropriate government office.
  • Register Office Space: The entrepreneurs must register their official office space within the territory of the Principality of Andorra.
  • Share Capital: A minimum share capital of €3,000 is required to incorporate a limited liability company, and €60,000 is required to incorporate a joint stock company in Andorra.
  • Directors and Shareholders: A minimum of 1 director and 2 shareholders, who is are local registered agents, are required for company registration in Andorra.

Industries & Businesses Eligible for Business License in Andorra

Andorra, known for its small yet prosperous economy and attractive tax regime, offers a favourable environment for entrepreneurs obtaining a business license in Andorra:

Industries Permitted to Obtain a Business License in Andorra

  • Tourism and Hospitality Industry
  • Retail and E-Commerce Industry
  • Banking and Finance Industry
  • Renewable Energy Industry
  • Healthcare and Wellness Tourism Industry
  • Agriculture and Food Processing Industry
  • Manufacturing Industry
  • Real Estate Industry
  • Technology and Innovation Industry
  • Trade and Commerce Industry

Businesses Permitted to Obtain a Business License in Andorra

  • Cryptocurrency and Blockchain Startups
  • Hotel and Resort Businesses
  • Cross-Border E-Commerce Platforms
  • Construction Firms
  • Software Development and IT Consultancy Firms
  • Private Clinics and Health Centres
  • Language Schools and Tutoring Centres
  • Legal and HR Recruitment Agencies
  • Eco-Friendly and Sustainable Products
  • Environmental Impact Assessment Services

Post-Corporate Compliance in Andorra

Post-corporate compliance in Andorra involves adhering to regulations for ongoing business operations, as discussed below:

  • Prepare and file audited annual statement
  • Submit annual corporate income tax return
  • Register for Impost General Indirecte (IGI/ VAT)
  • Ensure appointment of a statutory auditor
  • Notify Andorran Companies Registry
  • Hold an annual general meeting of shareholders
  • Maintain proper books of accounts and records
  • Ensure compliance with labour and social security laws
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Why Trust Enterslice for Company Registration in Andorra?

Company registration in Andorra involves a modern yet evolving regulatory framework, ensuring smooth and compliant business setup. Connect Enterslice which stands out as a trusted partner offering reliable, end-to-end support, ensuring your business is established without unnecessary delays or complications.

  • 10+ years of expertise in international company incorporation
  • Trusted by 500+ entrepreneurs for Andorra business incorporation
  • Deep understanding of Andorran business laws and corporate procedures
  • Seamless coordination with local Andorran Authorities
  • End-to-end documentation and incorporation support
  • Offers feasibility checks & due diligence solutions
  • Evaluate your business structure and model
  • Provides personalized solutions based on your business needs
  • Assistance with residency, visa, immigration and HR setup
  • Efficient time management based on realistic timelines
  • Proactive compliance monitoring for your business
  • Offers transparent pricing, with no hidden charges
  • Stay compliant with Andorra’s evolving corporate and tax landscape

FAQs on Company Formation in Andorra

Have a look at the following answers to the most asked questions:

The cost to register a company in Andorra generally ranges from €4,000 to €5,500, including government fees and notary expenses, encompassing legal and notary services in Andorra.

The process to register a company in Andorra requires compliance with the following steps, as discussed below:

  • Step 1: Foreign Investment Authorization
  • Step 2: Company Name Verification
  • Step 3: Draft Articles of Association
  • Step 4: Bank Account Opening
  • Step 5: Company Registration
  • Step 6: Tax and Social Security Registration
  • Step 7: Start Operating Company

No, Andorra is not entirely a tax-free country, but it offers one of the most favourable tax regimes in Europe. While it is referred to as a VAT-free jurisdiction, it applies a very low indirect tax called Impost General Indirecte-IGI, similar to VAT.

According to the recently updated database in April 2025, there are 10,000+ companies, organisations, and proprietorships registered in Andorra.

Until, 2018, since Andorra has undergone regulatory changes, it was classified as a tax haven by the European Nations. However, after implementing several tax reforms and improving transparency, Andorra ceased to be considered a tax haven by the EU and the OECD, being recognised as a fiscally approved jurisdiction.

The business or corporate tax as defined by the Andorran Corporate Tax Laws is charged at a rate of 10% on their profits.

Cryptocurrency & blockchain startups, hotel and resort businesses, cross-border e-commerce platforms, construction firms, software development and IT consultancy firms, private clinics and health centres, language schools and tutoring centres, and legal and HR recruitment agencies are some of the common business opportunities flourishing in Andorra.

Yes, it is legally possible to incorporate a company without residing in Andorra. It allows 100% foreign ownership to non-residents, obtaining necessary foreign investment authorization from the Andorran government.

Yes, the foreign entrepreneurs are eligible to start a business in Andorra’s popular destination, allowing no restrictions on foreign ownership and investments to run a business within the country.

The benefits of company formation in Andorra are as discussed below:

  • Prevents businesses from facing redundant taxes on the same income
  • Offers access to competitive and lower tax rates
  • Streamlines a relatively straightforward business setup process
  • Offers a highly developed and modern infrastructure
  • Secures a stable, secure, and legally sound environment for entrepreneurs
  • Access to favourable business regulations and adaptive policies
  • Secures a high level of banking confidentiality and reliability of the financial institution

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