Active (self-employed) residency in Andorra: conditions and procedure

What is active (self-employed) residency?

Andorran law calls it the “residence and work permit for self-employment” (Llei 9/2012, art. 28 ter). It allows you to reside in Andorra and carry on a self-employed activity there, for Andorran and foreign clients alike. This is what distinguishes it from the professional with international reach, at least 85% of whose services must be used abroad, and from the digital nomad.

There are two routes:

• the company route, open to all sectors: setting up an Andorran company and running it;
• the regulated liberal professions route, which requires the authorisation to practise issued by the Govern and, where applicable, registration with the professional body.

The authorisations are subject to quotas. The law requires the Govern to set separate numbers for the liberal professions and for the other cases (art. 23.12). Decree 75/2026 sets the 2026 quota at 200 authorisations: 30 for liberal professions (excluding doctors), 20 for doctors and 150 for the other cases of self-employment. To see where this status stands among the others, see Types of residency, or find your residency status in 4 questions.

Active residency: employee or self-employed, two separate authorisations

The expression “active residency” covers two different authorisations. Employees of an Andorran company fall under the employee work permit: general quota, no payment to the AFA, but no change of sector and no self-employed activity in the first year (art. 28). The self-employed fall under the residence and work permit for self-employment, with its own quota, the €50,000 payment and 183 days of presence a year (art. 23.12, 38 ter and 58 ter). You can hold only one authorisation at a time (art. 20).

Active residency: the conditions since Llei 2/2026 (34%, €50,000)

For the company route, the law requires a “reservation” of the authorisation, followed by a period of 6 months to prove the conditions (art. 38 ter, as worded by Llei 2/2026).

The authorisation is issued only once these conditions are met, with the exception of the registered business, which can be proven afterwards within the 3-month period.

Projects exempt from the payment

The €50,000 payment is not due when the company has been set up to carry out a project selected by an entity recognised by the Govern, or to develop the digital economy, entrepreneurship or innovation in Andorra, provided that it is an activity with high technological added value according to the criteria laid down by regulation. The law gives a demanding definition of this notion:

Liberal professions: a separate route

For a qualified professional, the law also provides for a reservation of the authorisation, followed by a period of 3 months to provide proof of the authorisation to practise issued by the Govern and, where applicable, of registration with the professional association (art. 38 ter, 2.A). Failing that, the reservation lapses. For this route, the law provides for neither the €50,000 payment nor the condition of holding a share in a company.

On renewal, the liberal professional must have resided and worked in Andorra permanently and effectively, and not just for 183 days, and must continue to provide proof of their authorisation to practise and their registration with the professional body (art. 58 ter).

Setting up your Andorran company: the key steps

The company is the foundation of active (self-employed) residency: the law refers to setting up an Andorran company in which you hold more than 34%, and taking over an existing company is not expressly provided for (art. 38 ter). In summary:

• obtain the foreign investment authorisation, required in advance for a non-resident;
• reserve the company name and deposit the capital, at least €3,000 for an SL (private limited company);
• sign the deed of incorporation before an Andorran notary, then have the company entered in the Companies Register;
• register the company with the tax authority (NRT), open a registered business and register with the CASS.

After the reservation of your residence authorisation, you have at most 6 months to prove the incorporation of the company, your shareholding and your management role. Order of the steps, timescales and official costs: see our guide to setting up a company in Andorra.

The procedure, from reservation to residence card

1. 1

   Prepare the company

   Foreign investment authorisation, incorporation and entry in the register, following the steps above. The minimum capital of an SL is €3,000.

2. 2

   Submit the application and pay €50,000

   At the Immigration Service, in person and by appointment. The payment to the AFA is made at the time of submission. The fee is €190.96, and the maximum response time shown by e-tràmits is 60 working days: see the documents and timescales for a residence application.

3. 3

   Prove the conditions within 6 months

   Company incorporated, shareholding of more than 34%, director’s position with effective management. Without this proof, the reservation lapses.

4. 4

   Open the registered business within 3 months

   The company must hold a registered business that is in operation within 3 months of the application being registered.

5. 5

   Medical examination, card and registration with the comú

   After approval, register with the comú of your parish within 3 months. The obligation to pay CASS contributions starts 30 days after the company is entered in the Companies Register.

To bring your spouse and children, see the applicable rules and the points to have confirmed in our guide to family reunification in Andorra.

Renewing: 183 days and a real activity

The first authorisation lasts one year; three two-year renewals follow, then ten-year renewals after seven years (art. 28 ter). At each renewal, you must prove:

• at least 183 days of residence and work in Andorra in the year;
• that the initial conditions are still met: shareholding of more than 34%, effective management, active company;
• a real economic activity, demonstrated by the turnover of the company and of its registered business;
• the certificate of residence from the comú and the CASS points statement.

According to the e-tràmits page, the application must be submitted within the 60 days before expiry; the fee is €22.61. Once the ten-year permit has been reached, the law allows an exceptional renewal for those who have had a real activity during the previous authorisations and obtained their initial authorisation before the age of 60 (art. 58 ter).

How much does active residency cost for a self-employed person?

Over the first two years, a single person spends about €59,000 for good, excluding housing and professional fees. Indicative calculation: payment of €50,000, initial and renewal fees, 12 months of CASS at €146.99 then 12 months at €587.95.

2026 amounts. On the reduced 25% base, health cover requires a supplement of €85.72 a month according to the CASS information sheet of February 2026 (about €90 with the July minimum wage, indicative calculation). People under 35 fall under a special regime.

The other statuses are compared in Costs and AFA deposit, and the contribution bases in CASS: social security contributions.

Tax: the company and its director

The company pays corporate income tax at a rate of 10%, with minimum taxation equal to 30% of the gross tax. A director who is an Andorran tax resident pays IRPF on their remuneration, according to an effective scale of 0, 5 and 10%; dividends paid by an Andorran company are exempt. The 183 days required for renewal almost coincide with the threshold for Andorran tax residency (more than 183 days in the year), but France applies its own criteria (home, main activity, centre of economic interests): see Tax residency.

A company with no real activity does not meet the conditions for residency, and the question of substance also arises from a tax perspective. Read our guide to economic substance and have your arrangement validated by a professional before committing yourself.