With the new legislation introduced in Andorra in 2025, the procedure for setting up a business and obtaining residency as an investor has been reorganized and strengthened.
This regulatory framework aims to ensure the consistency of business projects, improve administrative efficiency and ensure responsible use of public resources.
Below, we explain the new process step by step, with a clear, practical and up-to-date description.
New legislation 2025
Before detailing the steps of the process, it is important to highlight the main changes in the new legislation that directly affect foreign investors:
- Prior reservation of immigration quota : It is now mandatory to request and secure a residence quota before proceeding with foreign investment if the project involves the relocation of the investor.
- Digitization of the process : Several initial steps can be carried out online, thus accelerating the process and reducing the need for travel.
- Mandatory bank account in Andorra : Opening a local bank account is a crucial requirement for setting up and running a business.
- 18-month follow-up : The government will verify the compliance of the submitted project after the company is created.
1. Initial preparation and preliminary procedures
- Digital certificate and NIA : The process begins with the application for a digital certificate and an administrative identification number (NIA), which are necessary to manage any official procedure.
- Legalization of documents : A notarized copy of the identity document must be obtained, a crucial step to move forward.
- Definition of the company's purpose : A clear and precise description of the activities that the company will carry out must be written, in accordance with Andorran legislation.
- Reservation of the business name : The name of the future business must be officially requested, ensuring that it is available and suitable for the intended activity.
2. Reservation of the immigration quota
- Mandatory prior request : If the project involves active residence , an immigration quota must be requested and secured before continuing the investment process.
- Basic processing : This step ensures that the applicant will be able to obtain residency once their business is approved.
3. Application for foreign investment authorization
- Project documentation : A dossier must be submitted, including the investor's CV, a project description report, financial forecasts and a five-year recruitment plan.
- Personal requirements : A copy of the apostilled passport and apostilled criminal record certificates from the countries of nationality and residence must be presented.
- Institutional assessment : The file will be examined by various bodies, such as the Foreign Investment Service, the Companies Register, the Commercial Register and, in some cases, the AFA (Andorran Financial Authority).
4. Company creation and registration
- Drafting of the articles of association : The articles of association of the company (SL or SA) are prepared in accordance with the regulations in force and adapted to the client's business model.
- Opening a bank account : A bank account must be opened in an Andorran bank, with a minimum deposit of €3,000. Each bank has its own compliance criteria.
- Signing at the notary's office : Once the documents are ready, the company's articles of incorporation are signed before a public notary.
- Tax and social security registration : The company is registered in the Companies Register, obtains the NRT (tax registration number) and is registered with the CASS (Andorran Social Security) as an employer.
5. Business registration and location
- Trade name reservation : The name under which the company will operate publicly is registered with the local Comú (municipality).
- Property management : A lease agreement for a physical location, coworking space, or home office is signed. The electrical bill, fire extinguisher contract, and Comú inspection are also handled.
- Business license : Once all requirements are met, a business license is obtained, and the workplace is registered with the Chamber of Commerce and the CASS.
6. Application for residency as an investor
- Application for active residency : Once the business is operational, the investor can submit an application for residency to the Immigration Service.
- Mandatory deposit : A deposit of €50,000 must be made with the Andorran Financial Authority (AFA), which is essential for processing the residency.
- Registration : The new resident must register with social security as a self-employed person or manager and with the tax authorities as a resident.
- Family reunification : If applicable, residence for the spouse and dependent children can be arranged at a later date.
7. Follow-up on the business project (18 months later)
Proof of activity : It will be necessary to demonstrate that the company is active, with an operational bank account in Andorra, commercial transactions and staff, in accordance with the business plan presented.
Administrative control : For 18 months following the creation of the company, the government will verify that the declared project is carried out as planned.
This updated procedure emphasizes transparency, the quality of business projects, and legal certainty for all parties involved.
At MCA Andorra , we guide our clients at every stage to guarantee a solid, effective creation that is fully adapted to their strategic objectives.
Are you considering starting a business and relocating to Andorra? Contact us for a free initial consultation. Our team will help you develop a personalized plan, step by step.
