A business in Andorra can operate through a company or as an empresari individual in the personâs own name. An SL or SLU generally suits a small or medium-sized activity and requires minimum capital of 3,000 euros, while an SA or SAU requires 60,000 euros and is designed for more capital-intensive structures. A company receives legal personality after registration and must have its registered office in Andorra. The individual entrepreneur structure has lower formation complexity but exposes present and future personal assets to business liabilities. The starting process may include obtaining an NIA, reserving a company name with three proposals, securing foreign-investment authorisation where required, opening a capital account, obtaining a bank certificate, signing a notarial deed, completing KYC and beneficial-owner forms, and registering with the Registre de Societats Mercantils. The business then needs an NRT, a commercial name and opening approval from the relevant ComĂș, registration with the Registre de Comerç i IndĂșstria, CASS registration and any sector-specific permits. The activity description must match the corporate object and the actual invoices. A non-resident foreign individual or legal entity normally needs an NIA and foreign-investment authorisation before incorporation. The application can require a recent criminal record, curriculum vitae, certified identification, KYC information and a business plan; approval does not automatically grant residence or a right to work. Approved foreign investment must generally demonstrate effective economic activity within 18 months through commerce registration, minimum turnover, accounting and tax compliance. Self-employed residence has additional conditions, including a legally incorporated company, a participation above 34 percent, effective management and control, active commerce registration within the applicable period and, where required, a 50,000-euro non-remunerated deposit with the Autoritat Financera Andorrana. The ComĂș and the Govern de Andorra handle commercial access according to the activity. The procedure may be conjunta, ComĂș-based or Govern-based; listed activities with a public-facing area of no more than 200 square metres may qualify for a simplified procedure. The stated response period is up to one month for the simplified procedure and up to two months for the ordinary procedure, while ordinary administrative silence is negative. A false or inaccurate responsible declaration can lead to refusal, cancellation, immediate cessation and sanctions. Formation and operating costs include capital, notarial, legal, KYC, parish, sector, accounting, administration, CASS and tax expenses. Published reference fees include 5.69 euros for social name reservation, 300 euros for the foreign-investment procedure, 1,016.67 euros for SL registration and 1,480.54 euros for SA registration. An active business also pays an annual Registre de Comerç fee of 214.21 euros; registry fees for an SL or SA without active commerce or with patrimonial status are listed as 851 euros and 935.50 euros respectively, subject to change. Companies must maintain their registered office, approved activity, accounting, annual accounts, tax filings, beneficial-owner information and applicable ComĂș, sector and CASS registrations. Annual accounts must be approved within the first six months after the financial year ends, filed electronically through the tax office and retained as signed originals at the registered office for six years. Failure to deposit accounts for one year can trigger a BOPA notice, blocked subsequent registrations and a current portal sanction of 601 to 2,000 euros. The general corporate income tax rate is 10 percent and the general IGI rate is 4.5 percent, with special IGI rates depending on the transaction. Self-employed workers and employees may fall under CASS according to their status. The compte propi contribution base can range from 25 percent to 137.5 percent of the previous yearâs average wage; the 2026 reference for the 25 percent base is 668.13 euros with a monthly quota of 146.99 euros for the general and retirement branches. New activities may request the 25 percent base for the first 12 months, and monthly payment is due within the first 15 calendar days after the contribution month. The current CASS table and the applicable status determine the exact amount. Punt Empresa, the Govern dâAndorraâs Taller dâemprenedors and the Cambra de Comerç, IndĂșstria i Serveis dâAndorra provide information, advice or business-plan support, but they do not replace authorisations, tax rulings or legal advice. When an activity changes its name, address, object or ownership, the ComĂș and the relevant registers must be updated. Closing a company requires dissolution, liquidation and cancellation in the Registre de Societats Mercantils, while an individual activity requires the relevant commerce deregistration; creditors, assets, tax, CASS, contracts and worker obligations must be settled before closure.
Business in Andorra
Entrepreneurship in Andorra includes starting, operating, developing and closing a self-employed activity or company. Common legal forms are the limited-liability SL or SLU, the capital-intensive SA or SAU, and the individual entrepreneur structure as persona fĂsica. Registration, parish approval, tax duties, CASS contributions and sector permits determine whether the activity can operate lawfully.
Tip
Choose the legal form by comparing expected activity, capital needs and personal-liability exposure, not only formation cost. For foreign founders, separate company formation from residence and work permissions because one approval does not automatically provide the other. Treat parish approval, tax, accounting, beneficial-owner and CASS duties as operating conditions that must be planned before invoices or contracts begin.

