---
title: "Andorra company formation: steps, costs, timescales (2026)"
url: https://andorrefiscal.fr/en/business/set-up-a-company
description: "Setting up a company in Andorra, even as a non-resident: SL from €3,000, €300 investment authorisation, notary, register, licence, timescales."
updated: 2026-10-11
language: en
publisher: Andorre Fiscal (https://andorrefiscal.fr)
---

# Setting up a company in Andorra

> Markdown version of the page https://andorrefiscal.fr/en/business/set-up-a-company (Andorre Fiscal), up to date as of 11 October 2026. To cite this page, use its address: https://andorrefiscal.fr/en/business/set-up-a-company

To set up a company in Andorra, a non-resident first obtains a foreign investment authorisation, signs the deed of incorporation before an Andorran notary, then obtains a business licence before being able to invoice. Here are the steps as set out in the texts and on the Govern’s pages, their legal time limits and the official costs known at 10 October 2026.

By [the Andorre Fiscal editorial team](https://andorrefiscal.fr/en/about#redaction) · Verified on 11 October 2026 · [12 official sources](https://andorrefiscal.fr/en/business/set-up-a-company#sources)

- **€3,000** minimum capital for an SL, €60,000 for an SA
- **€300** fee for the foreign investment authorisation
- **2 months** to respond, plus a possible one-month extension
- **30 days** after registration: the director’s CASS contributions begin

## Key points

- Two forms exist: the SL, with minimum capital of €3,000, and the SA, with €60,000; the capital is fully paid up on subscription.
- A non-resident must obtain a prior foreign investment authorisation: €300, a two-month time limit that can be extended by one month, implied refusal if there is no response.
- The company comes into existence on its entry in the Companies Register, after a notarial deed; it must then obtain a business licence in order to invoice.
- It obtains an NRT from the tax administration and registers with the CASS; its director starts paying contributions 30 days after registration.
- Setting up a company does not give residency: self-employed residency also requires €50,000, non-refundable, and 183 days of presence a year for renewal.

## SL or SA: which form should you choose?

The choice depends mainly on the capital to be tied up and on the number of shareholders: Llei 20/2007 provides for two forms of company, the [SL and the SA](https://andorrefiscal.fr/en/glossary#sl-sa), whose rules are largely the same. The registered office must be located in Andorra (art. 4).

**SL or SA: the useful differences at 11 October 2026**

| Criterion | SL | SA |
| --- | --- | --- |
| Minimum capital | **€3,000** | **€60,000** |
| Securities | Participations | Shares |
| Paying up of the capital | In full on subscription | In full on subscription |
| Fee for entry in the register | €1,016.67 | €1,480.54 |
| Annual fee without a business licence | €851 | €935.50 |

Capital: Llei 20/2007, art. 14 and 15. Fees: the Govern’s “Fase de constitució de la societat” page, consulted on 11 October 2026; these amounts are revised periodically.

The capital is contributed in cash or in kind, never in the form of work or services (art. 17); a contribution in kind is in principle valued by an independent expert. The securities are registered in the name of their real holder: nominees are prohibited (art. 15).

The company is managed by a sole director, several directors or a board of directors.

Without a company, only a regulated profession allows you, when settling in Andorra, to [work in your own name (professió titulada)](https://andorrefiscal.fr/en/business/self-employed). Dedicated guides cover [e-commerce, SaaS or online consulting](https://andorrefiscal.fr/en/business/online-business) and how to [transfer an existing business from France](https://andorrefiscal.fr/en/business/moving-your-business-from-france).

### SLU and SAU: the single-shareholder company

A company may have just one shareholder: it is then a “single-member” company and adds the letter U to its abbreviation (SLU, SAU), with the same capital rules and, according to the Govern, the same registration fee as the SL or the SA. If a company becomes single-member during its life, the sole shareholder has one month to have this situation entered in the Companies Register, together with their identity; failing that, they are personally, unlimitedly and jointly and severally liable for the debts incurred during that period (Llei 20/2007, art. 2).

### Holding company: an SL or an SA used to hold shares

The law provides no specific form for holding companies: a holding company is an SL or an SA whose purpose is to hold equity interests. A company that holds securities is exempt from registering a business licence to prove its effective activity (regulation of 9 April 2025, art. 7), but pays the annual fee for asset-holding companies or companies without a business licence: €851 for an SL, €935.50 for an SA. Taxation, conditions and risks: see our guide to the [holding company in Andorra](https://andorrefiscal.fr/en/business/holding-company).

## Do you need a foreign investment authorisation?

Yes, if you do not reside in Andorra. Llei 5/2025 classifies as direct foreign investment the acquisition by a non-resident of a holding in an Andorran company, including on its incorporation, and makes it subject to prior administrative authorisation (art. 6.1). Only a holding of 10% or less is exempt, provided that foreign investors hold less than 25% of the capital; it must nevertheless be declared.

> “Direct foreign investment in the Principality of Andorra requires prior administrative authorisation, except where, as a result of the acquisition, the investor becomes the holder of a shareholding […] equal to or less than 10% of the company’s capital or of the voting rights, provided that the shareholding of foreign investors in the company’s capital is […] less than 25% […].”
>
> — [Llei 5/2025, art. 6.1 (free translation)](https://www.portaljuridicandorra.ad/L2025005)

A person already legally resident in Andorra is not a foreign investor when acquiring shares in a company: the law covers them only for real estate (art. 1.1).

The application is filed online after the company name has been reserved, together with, among other things, a criminal record certificate less than three months old, a CV, a certified copy of the passport and a business plan. The ministry has **two months** to decide, which can be extended by **one month**; if there is no response, the application is deemed refused (art. 10).

> **Caution: Six months to sign, or the authorisation lapses**
>
> The authorised investment must be carried out, that is, recorded in a notarial deed, within the time limit set by the authorisation or, failing that, within six months. A single three-month extension is possible, applied for before the deadline (regulation of 9 April 2025, art. 4).

Cases requiring authorisation, possible refusals, penalties: see our guide to the [foreign investment authorisation](https://andorrefiscal.fr/en/business/foreign-investment).

## Setting up a company in Andorra from France, without living there

It is possible: none of the texts we have read requires you to reside in Andorra or to have an Andorran shareholder in order to found a company. A non-resident can hold all of its capital, after the prior foreign investment authorisation (Llei 5/2025, art. 6.1). Shares are registered in the name of their real holder: nominees are prohibited, and entries in their name are void (Llei 20/2007, art. 15).

Three limits are worth knowing before you start:

- the company gives you **no right to residency**, even if you are its director (Llei 5/2025, art. 6.6);
- if it is foreign-owned, it must carry on an **effective activity** within 18 months, on pain of nullity;
- on the French side, a company managed from France may be taxed there, by virtue of its place of effective management or of a permanent establishment (tax treaty, art. 4 and 5), and a director who remains domiciled in France declares their income there.

Running a company domiciled in Andorra from France is the most exposed configuration: first read what [domiciling your company in Andorra](https://andorrefiscal.fr/en/business/economic-substance) involves.

## The documents to gather

Each step has its own forms. Here, grouped together, are the documents the Govern requires for a company founded by non-residents; foreign documents given to the notary must be apostilled and, if necessary, translated.

- for each shareholder’s NIA, a **certified copy of the passport**;
- for the company name, a form with **three names**, the detailed corporate purpose and the chosen form (SL, SLU, SA or SAU);
- for the foreign investment authorisation, one form per future shareholder or director, with a **criminal record certificate less than three months old**, an up-to-date CV with photo, a certified copy of the passport or identity card and a **business plan**: target market, added value, activity, amounts invested;
- for the bank, a **know-your-customer (KYC) form** per shareholder, in which the matrimonial property regime matters, and the supporting documents required under the anti-money laundering rules;
- for the notary, the company name and investment decisions, the signed articles of association, the **bank certificate for the capital**, proof of payment of the registration fee and of the professional fees, and the **beneficial ownership form**;
- after registration, for the tax administration, the forms for corporate income tax (850 A), IGI (900 or 910 A) and the declaration of existence (001 to 001 C).

## The 8 steps to set up a company in Andorra

This process follows the Govern’s “Creació d’una empresa a Andorra” page and Llei 20/2007; some steps can be carried out in parallel.

1. Obtain an NIA and an electronic certificate

   Each non-resident shareholder applies for their administrative identification number (NIA), in person or online, with a certified copy of their passport. The electronic certificate then makes it possible to complete procedures online.
2. Reserve the company name

   The form proposes three names and precisely describes the activities of the corporate purpose. The fee is €5.69 according to the Govern. The certificate is valid for six months: the company must be registered within that period (regulation of 16 April 2014, art. 61).
3. Obtain the foreign investment authorisation

   One application for each non-resident shareholder or director, with the file described above. Fee: €300.
4. Choose the registered office

   An address in one of the seven parishes: a property you have bought, a rented office or a coworking space, the Govern states. The address appears in the articles of association.
5. Open an account “in formation” and deposit the capital

   The notary must receive a bank certificate confirming the deposit of the capital in the name of the future company (2014 regulation, art. 41). The bank first carries out its checks on identity and on the origin of the funds: see how to [open a business bank account in Andorra](https://andorrefiscal.fr/en/business/business-bank-account).
6. Have the articles of association drafted

   By a professional in Andorran company law. The corporate purpose must match the company name reservation and the foreign investment application.
7. Sign the deed of incorporation before an Andorran notary

   The Govern lists five notaries in practice. Foreign documents must be apostilled and, if necessary, translated. The registration fee and the notary’s fees are paid before signing, and a form declaring the beneficial owners is submitted.
8. Have the company entered in the register

   The notary sends the deed to the Companies Register within 15 days; the register enters the company or refuses to do so within the following 15 days (Llei 20/2007, art. 6 bis and 7). The company then acquires legal personality. According to the Govern, the deed and the registration card can be collected 30 days after signing.

> **Good to know: Before registration, you are personally liable**
>
> Shareholders and directors are personally and jointly and severally liable for acts carried out in the company’s name before its registration, unless the company subsequently takes them over (Llei 20/2007, art. 12). Avoid signing contracts before that date.

## After registration: NRT, business licence and CASS

A registered company is not yet entitled to operate: three procedures remain to be completed, in the order indicated by the Govern.

1. Register with the tax administration and obtain the NRT

   The company registers with the Department of Taxation and Borders (Departament de Tributs i de Fronteres), with the corporate income tax, IGI and declaration of existence forms. It thereby obtains its [NRT](https://andorrefiscal.fr/en/glossary#nrt) (número de registre tributari), the single identifier for all State taxes (Llei 5/2014, art. 53; corporate income tax regulation, art. 41).
2. Reserve the trade name and obtain the business licence

   Any commercial, industrial or service activity must be authorised by the [comú](https://andorrefiscal.fr/en/glossary#comu) (parish council) of the parish, which passes it on to the Govern’s Register of Commerce and Industry. You first reserve a trade name (€5.56 according to the Govern), then file the application for the business licence, for activities consistent with the corporate purpose.

   The procedure is simplified for certain activities and for premises with a public area of 200 m² or less, and ordinary in other cases. The business licence card obtained allows you to start the activity and to issue invoices.
3. Register with the CASS

   The company registers with the [CASS](https://andorrefiscal.fr/en/glossary#cass), the Andorran social security system (form CASS-0079), so that it can declare its employees. Its director is affiliated as a self-employed worker: the obligation to pay contributions begins **30 days after entry in the Companies Register**. During the first 12 months, the director can apply for the reduced 25% base, i.e. €146.99 a month in 2026, compared with €587.95 on the standard base: see [CASS contributions in Andorra](https://andorrefiscal.fr/en/tax/social-security-cass).

## How long does it take to set up a company in Andorra?

No text sets an overall duration. Here are the known legal or maximum time limits; the actual duration depends on the file and on the administration’s responses. The Govern indicates, for example, that an application for a business licence is usually examined in 2 to 3 weeks.

**Legal time limits for setting up a company**

| Step | Time limit | Source |
| --- | --- | --- |
| Validity of the company name reservation | 6 months | Regulation of 16 April 2014, art. 61 |
| Response to the foreign investment application | 2 months, plus 1 month of extension; silence = refusal | Llei 5/2025, art. 10 |
| Completion of the authorised investment | 6 months, plus 3 months once only | Regulation of 9 April 2025, art. 4 |
| Transmission of the deed by the notary | 15 days | Llei 20/2007, art. 7 |
| Decision of the Companies Register | 15 days; silence = refusal | Llei 20/2007, art. 6 bis; 2014 regulation, art. 19 |
| Obtaining the business licence | 1 month (simplified procedure), 2 months (ordinary procedure) | Govern, Punt Empresa |
| Start of the director’s CASS contributions | 30 days after registration | CASS |
| Proof of an effective activity (foreign capital) | 18 months, then 3 months to prove it | Llei 5/2025, art. 6.3; 2025 regulation, art. 7 |

Maximum or regulatory time limits, not guaranteed durations. Indicative calculation: 3 months at most for the authorisation (2 + 1), 1 month for the deed and the register (15 + 15 days) and 2 months at most for a business licence under the ordinary procedure, i.e. about 6 months if every maximum time limit is reached, excluding the preparation of the file and appointments.

## How much does it cost to set up a company in Andorra?

The public fees are known; professional fees, which are freely set, are not: we do not publish any.

**Official costs known at 11 October 2026**

| Item | Amount | Note |
| --- | --- | --- |
| Reservation of the company name | €5.69 | Govern |
| Foreign investment authorisation | €300 | Govern, e-tràmits |
| Fee for entry in the Companies Register | €1,016.67 (SL); €1,480.54 (SA) | Govern |
| Reservation of the trade name | €5.56 | Comú; amount revisable each year |
| Comú activity tax | Variable | Depending on the activity, the number of activities and the parish |
| Notary, drafting of the articles of association, translations, apostilles | Not published | Fees freely set: ask for quotes |
| Share capital | €3,000 (SL); €60,000 (SA) | Remains an asset of the company, not an expense |
| **Total fixed public fees** | **€1,327.92 (SL); €1,791.79 (SA)** | Excluding the comú tax, professional fees and capital |

Govern amounts checked on 11 October 2026; trade name as recorded on 10 October 2026.

> **Example: The minimum public fees, SL or SA**
>
> For an SL: €5.69 (company name) + €300 (foreign investment authorisation) + €1,016.67 (registration) + €5.56 (trade name) = **€1,327.92**. For an SA, registration rises to €1,480.54: **€1,791.79**. Excluding the comú activity tax, professional fees and capital.
>
> Indicative calculation: sum of the fees in the table for a company set up by a single non-resident investor; each non-resident shareholder or director fills in their own authorisation application form.

Thereafter, every year, a company without a business licence pays an annual fee of €851 (SL) or €935.50 (SA); a company that operates under a business licence pays only the contribution to the Register of Commerce and Industry, €214.21, according to the Govern. If the company is the basis for your self-employed residency, add the **€50,000** payment to the [AFA](https://andorrefiscal.fr/en/glossary#afa), the Andorran Financial Authority, which is not refundable.

## Does setting up a company give you residency?

> **Common misconception**
>
> “Setting up a company in Andorra gives you the right to residency.”
>
> **In fact.** Llei 5/2025 provides that direct foreign investment does not, in itself, give any right to residency, even if the investor is a director of the company or works for it (art. 6.6). Residency is applied for separately, from the Immigration Service.

Self-employed residency, called “residence and work for self-employment”, relies on the company, with additional conditions (Llei 9/2012, art. 38 ter):

- reserve the authorisation, then provide proof within **6 months** of the foreign investment authorisation and of the incorporation of a company in which you hold **more than 34%**;
- sit on the company’s administrative body and exercise **effective management** there;
- pay **€50,000** to the AFA when submitting the application, a sum that is final except in the event of an initial refusal; an exemption exists for certain digital economy, entrepreneurship or innovation projects with high technological value;
- prove within **3 months** that the company holds a registered and active business licence;
- for renewal, have resided and worked in Andorra for at least **183 days** a year and demonstrate a genuine activity through the company’s income.

These authorisations are subject to quotas: Decree 75/2026 makes 200 residence and work authorisations for self-employment available. The details are in our guide to [active (self-employed) residency](https://andorrefiscal.fr/en/residency/self-employed-residency).

## After incorporation: taxes, accounts and effective activity

Once set up, the company must:

- pay [corporate income tax](https://andorrefiscal.fr/en/tax/andorra-corporate-tax) at 10% every year, file IGI returns and file its accounts: see the [accounting and tax calendar of an Andorran company](https://andorrefiscal.fr/en/business/accounting-and-filings);
- if it is foreign-owned, prove an effective activity within 18 months (registered business licence, accounts filed, at least 75% of the forecasts in the application, account with a bank established in Andorra), on pain of nullity (Llei 5/2025, art. 17): see the [evidence of economic substance](https://andorrefiscal.fr/en/business/economic-substance#preuves).

## Frequently asked questions

### Can a non-resident hold 100% of an Andorran company?

Yes. Llei 5/2025 does not cap a foreign investor’s holding in an Andorran company: it makes the transaction subject to prior authorisation, which may be refused, in particular on grounds of public order, security or the fight against money laundering. To obtain self-employed residency, you must in any event hold more than 34% of the capital.

### Must the capital be paid in full on incorporation?

Yes. Participations and shares must be subscribed at no less than their nominal value and fully paid up by an actual contribution (Llei 20/2007, art. 15). For a cash contribution, the notary requires a bank certificate confirming that the funds have been deposited in the name of the future company.

### Can you domicile your company in a coworking space?

Yes for the registered office: the Govern mentions a rented office and a coworking space among the possible options. Depending on the activity and the procedure, the business licence can also be registered there. A mere address is not, however, enough to demonstrate a genuine activity, which is required to renew residency and, for foreign-owned companies, by Llei 5/2025.

### Do foreign documents need to be apostilled?

Yes. The Govern states that documents given to the notary must be apostilled and, if necessary, translated. Plan these formalities in your own country ahead of the signing appointment, as they take time.

### What happens if the company remains inactive?

A company without a business licence pays an annual fee (€851 for an SL according to the Govern) and must still file its accounts. If it is held by foreign investors, it must prove an effective activity within 18 months of its incorporation; otherwise, the Govern may declare it null and void and impose fines.

### Do you have to live in Andorra to set up a company there?

No. A non-resident can set up an Andorran company and hold all of its capital, after a prior foreign investment authorisation. The company does not, however, give them residency, and if they run it from France, it risks being taxed there: place of effective management or permanent establishment.

[Read: Basing your company in Andorra](https://andorrefiscal.fr/en/business/economic-substance)

### Can you set up your Andorran company remotely?

In part. The NIA, the reservation of the company name and the foreign investment authorisation are applied for online on the Govern’s e-government portal (seu electrònica), directly or through a representative entered in the electronic register of representatives. The deed of incorporation, on the other hand, is signed before an Andorran notary, with foreign documents apostilled and, if necessary, translated: check with the notary the conditions for any representation.

### Are there offshore companies in Andorra?

Not in the sense of an exempt company with no activity. Every Andorran company is subject to corporate income tax of 10%, with minimum taxation since 2024, and files its accounts with the Companies Register. If its capital is foreign, it must also prove an effective activity within 18 months, on pain of nullity.

[Read: Corporate income tax](https://andorrefiscal.fr/en/tax/andorra-corporate-tax)

## Sources

1. [Llei 20/2007 on public and private limited companies, consolidated version](https://www.portaljuridicandorra.ad/L2007020) — Forms, single-member company, registered office, minimum capital, paying up, prohibition of nominees, incorporation and register (art. 1 to 21 and 47).
2. [Regulation of 16 April 2014 implementing the law on companies](https://www.portaljuridicandorra.ad/R20140416C_1) — Certificate of deposit of the capital, validity of the company name, register time limits.
3. [Llei 5/2025, Title I: foreign investment, consolidated version](https://www.portaljuridicandorra.ad/L2025005) — Prior authorisation, exemptions, effective activity, nullity, no right to residency.
4. [Regulation of 9 April 2025 on foreign investment](https://www.portaljuridicandorra.ad/R20250409A) — Procedure, time limit for formalising the investment, proof of effective activity.
5. [Govern: setting up a business in Andorra (Punt Empresa)](https://www.govern.ad/ca/tematiques/empresa-i-emprenedoria/creacio-i-modificacio-d-empreses/punt-empresa/creacio-d-una-empresa-a-andorra) — Official steps, documents required, tax forms, business licence (generally 2 to 3 weeks) and CASS; consulted on 11 October 2026.
6. [Govern: company incorporation phase (Punt Empresa)](https://www.govern.ad/ca/tematiques/empresa-i-emprenedoria/creacio-i-modificacio-d-empreses/punt-empresa/fase-de-constitucio-de-la-societat) — Fees for the company name, foreign investment and registration, annual fee for asset-holding companies or companies without a business licence, beneficial ownership form; consulted on 11 October 2026.
7. [e-tràmits: application for a foreign investment authorisation](https://www.e-tramits.ad/tramits/ca/inversio-estrangera/p/GV001612) — Fee of €300, response within 2 months plus 1, filing by the applicant or a registered representative.
8. [Llei 95/2010 on corporate income tax, consolidated version](https://www.portaljuridicandorra.ad/L2010095) — Rate of 10%, minimum taxation (art. 41 and 43).
9. [France–Andorra tax treaty (Decree No. 2015-878)](https://www.legifrance.gouv.fr/jorf/id/JORFTEXT000030907404) — Place of effective management and permanent establishment (art. 4 and 5).
10. [Llei 9/2012, qualified law on immigration, consolidated version](https://www.portaljuridicandorra.ad/L2012009) — Self-employed residency: more than 34%, €50,000, 183 days (art. 38 ter and 58 ter).
11. [CASS: contributions of self-employed workers](https://www.cass.ad/cotitzacions-del-treballadors-per-compte-propi) — Contributions due 30 days after the registration of a new company; 2026 bases.
12. [Decree 75/2026 of 11 March 2026 (self-employed), BOPA No. 26 of 2026](https://bopadocuments.blob.core.windows.net/bopa-documents/038026/html/GD_2026_03_12_12_07_09.html) — 200 residence and work authorisations for self-employment.

Consolidated texts on the Portal jurídic d’Andorra have no official value: only the version published in the BOPA is authentic. [How we verify](https://andorrefiscal.fr/en/methodology).

**General information, not advice.** This guide sets out the rules in force on 11 October 2026, based on official texts. It is no substitute for a professional review of your situation (lawyer, tax adviser, gestoria). Spotted an error or a change? [Write to us](https://andorrefiscal.fr/en/contact).

## Further reading

- [Foreign investment](https://andorrefiscal.fr/en/business/foreign-investment): The prior authorisation
- [Self-employed residency](https://andorrefiscal.fr/en/residency/self-employed-residency): Working for yourself or through your company
- [Business bank account](https://andorrefiscal.fr/en/business/business-bank-account): Opening the company’s account
- [Accounting and obligations](https://andorrefiscal.fr/en/business/accounting-and-filings): Returns, calendar, gestoria
- [Corporate income tax](https://andorrefiscal.fr/en/tax/andorra-corporate-tax): Rates, regimes and obligations
- [Entrepreneur, company director](https://andorrefiscal.fr/en/profiles/entrepreneur): Setting up or relocating a company