International Entrepreneurship · Business Relocation · Residency and Professional Activities
An increasing number of entrepreneurs, consultants and independent professionals are considering developing their business activities from Andorra.
Some already operate successful businesses abroad and are exploring the possibility of relocating. Others are planning to establish a new company, work with international clients or create a professional base from which to manage their projects.
However, before making such an important decision, one essential question arises: what is the most appropriate way to conduct business activities in Andorra?
Is it necessary to establish an Andorran company? Can you operate as a self-employed professional? Is it possible to retain a company in France, Spain or another country while living in the Principality?
The answer depends on several factors, including the nature of the business, its existing corporate structure, the entrepreneur's residency status and where the professional activities are actually carried out.
At NEXORY GROUP, we believe that relocating a business involves much more than changing an address. It is a strategic decision that requires careful legal, tax and administrative planning.
1. Before Moving to Andorra, Understand Your Business Structure
Not all businesses have the same requirements.
An independent consultant providing digital services to international clients may have very different needs from an entrepreneur managing a company with employees, offices and commercial operations in another country.
Before starting any procedures, several important questions should be considered:
What professional activities do you currently carry out?
Are you self-employed, or do you already own a company?
Where are your main clients located?
From which country are your services actually provided?
Do you have employees, business partners or establishments abroad?
Are you also planning to relocate your personal residence to Andorra?
These questions help identify the available options and prevent decisions being made without fully understanding their consequences.
The objective is to establish a structure that reflects the reality of the business rather than simply choosing the option that appears most attractive on paper.
2. Setting Up a Company in Andorra: An Option for Entrepreneurs
One of the most common approaches is to establish an Andorran company.
This option may be appropriate for entrepreneurs wishing to develop business activities from the Principality, organise their international operations or create a separate corporate structure for new projects.
In Andorra, the most commonly used legal structures include the Limited Liability Company (SL) and the Single-Member Limited Liability Company (SLU).
The choice depends primarily on the number of shareholders, the intended organisation and the nature of the business.
Company incorporation may involve several procedures, including reserving a company name, obtaining foreign investment authorisation where required, completing banking formalities, signing incorporation documents before a notary and registering the company.
The necessary authorisations for carrying out the proposed economic activity must also be examined.
It is important to understand that establishing a company in Andorra does not automatically grant the right to live and work in the country.
When an entrepreneur also wishes to relocate personally, company incorporation and immigration procedures should be planned together.
3. Working as a Self-Employed Professional in Andorra: What Does It Really Mean?
The concept of self-employment can sometimes create confusion among international professionals.
In Andorra, residence and work on a self-employed basis is a specific immigration authorisation category that allows individuals to conduct economic activities under the conditions established by law.
It should not automatically be equated with the self-employed or sole trader regimes available in countries such as France, Spain or the United Kingdom.
Depending on the applicant's circumstances and the proposed activity, different requirements may apply concerning the business structure, shareholding, effective professional activity, social security registration and administrative authorisations.
Specific immigration requirements and the availability of permits under applicable quota systems must also be considered.
For this reason, it is essential to assess the applicant's personal and professional circumstances before initiating the process.
A suitable corporate structure does not, by itself, guarantee eligibility for a residence and work permit.
4. Can You Keep a Foreign Company While Living in Andorra?
This is one of the most frequently asked questions among entrepreneurs who already own companies in France, Spain or other countries.
In principle, an individual may hold shares in foreign companies while residing in Andorra, provided that the relevant legal requirements are met.
However, it is essential to distinguish between owning a company, managing it and actively carrying out professional activities from Andorran territory.
An entrepreneur's personal relocation does not automatically change the tax residence of their company.
Nor does it mean that the economic activities of a foreign company can be transferred to Andorra without legal or tax consequences.
If strategic decisions, effective management or a significant part of the company's operations are conducted from the Principality, questions may arise concerning corporate tax residence, the existence of a permanent establishment and tax obligations in different jurisdictions.
For this reason, retaining a foreign company while living in Andorra requires an individual assessment.
5. What If You Work with International Clients from Andorra?
Many professionals operate businesses that do not depend on a fixed physical location.
Consultants, software developers, marketing specialists, technology professionals and international service providers may work with clients based in different countries.
However, having clients abroad does not eliminate the legal obligations associated with the country from which the work is actually performed.
It is necessary to determine the appropriate business structure, the authorisation required to carry out the activity and the applicable tax and social security obligations.
The nature of contractual relationships with clients should also be examined.
In certain circumstances, specific residence categories linked to remote work may be available, provided that the relevant legal conditions are satisfied.
Working remotely from Andorra does not mean that every professional can relocate and carry out their activities without the appropriate authorisation.
6. Residency in Andorra: A Separate Matter That Requires Careful Planning
When an entrepreneur also intends to relocate their personal residence, it is necessary to determine which immigration authorisation category is appropriate.
Andorran legislation provides for different residence categories, each with its own requirements and objectives.
Residence and work on a self-employed basis may be suitable for certain entrepreneurial projects, while other categories are designed for different circumstances.
It is also important to distinguish between administrative residency and tax residency.
An individual may satisfy the conditions for obtaining a residence permit without automatically resolving all matters relating to their international tax residence.
For this reason, relocation should be assessed from both an immigration and a tax perspective.
7. Taxation: Moving Your Residence Does Not Automatically Move Your Company
Andorra offers a competitive tax environment, with a standard corporate income tax rate of 10% and a general Indirect General Tax (IGI) rate of 4.5%.
However, these tax rates alone are not sufficient to determine the tax implications of an international business.
When an entrepreneur relocates, several factors must be examined, including personal tax residence, the place of effective management of their companies, the taxation of income and the obligations that may remain in countries where economic activities continue.
Double taxation agreements and applicable international tax rules may also play an important role.
For example, an entrepreneur living in Andorra while retaining an operating company in France or Spain may continue to have tax obligations in those countries.
Tax planning must reflect the actual economic and operational circumstances of the business.
The objective should not simply be to achieve a lower tax burden, but to establish a legally sound and sustainable business structure.
8. Social Security and Administrative Obligations
Conducting professional activities in Andorra may involve registration and contribution obligations with the Caixa Andorrana de Seguretat Social (CASS), depending on the professional's circumstances and the applicable regime.
Where employees, contractors or activities across several countries are involved, the analysis may become more complex.
It is important to establish where work is actually performed, which social security legislation applies and whether additional obligations arise.
Commercial authorisations, professional registrations and requirements specific to certain activities must also be considered.
Regulated professions, for example, may require additional procedures before they can legally be practised in Andorra, including the recognition of qualifications and professional authorisations.
Appropriate planning makes it possible to identify these obligations before the business begins operating.
9. Three Common Situations Among International Entrepreneurs
To better understand the differences between the available options, consider three practical examples.
Case 1. A French consultant wishing to relocate to Andorra
A professional providing consulting services to international clients wishes to move their residence and conduct their business from the Principality.
In this situation, it will be necessary to assess the appropriate business structure, residence and work authorisations, professional activity requirements and international tax implications.
Case 2. A Spanish entrepreneur retaining a company in Spain
An entrepreneur wishes to live in Andorra while their company continues operating in Spain, where it maintains employees and clients.
The assessment should focus on where the company is effectively managed, which functions are personally performed by the entrepreneur and how tax and administrative obligations are allocated between the two countries.
Case 3. A technology professional working remotely
A software developer provides services to clients or companies located abroad and wishes to establish themselves in Andorra.
Before starting the process, their contractual relationship, potential residence category and legal conditions for working from the Principality must be examined.
These examples illustrate why there is no single solution suitable for every professional.
10. Why Preparing a Business Relocation Roadmap Is Essential
Relocating professional activities to another country involves decisions that affect both the business and the entrepreneur's personal life.
For this reason, preparing a clear roadmap is highly recommended.
This planning should include an assessment of the existing activity, the proposed business structure, necessary authorisations, banking arrangements, tax obligations and residency requirements.
It is also advisable to anticipate potential costs and timelines before making financial or contractual commitments.
A well-organised relocation can help minimise unexpected complications and support the continuity of business operations.
NEXORY GROUP: Supporting Your Business Journey in Andorra
At NEXORY GROUP, we work with entrepreneurs, business owners and international professionals who wish to establish or develop their projects in Andorra.
We understand that every situation is different.
Some clients need to incorporate a new company. Others wish to reorganise an existing business, explore an investment opportunity or prepare their personal relocation to the Principality.
Our approach begins with understanding each client's project, objectives and expectations.
From there, we coordinate corporate formalities, foreign investment procedures, administrative requirements and the relevant immigration processes, working alongside the appropriate tax, accounting, banking and notarial professionals.
We believe in building close professional relationships based on trust, transparency and a long-term business perspective.
Are you considering relocating your professional activities to Andorra?
The NEXORY GROUP team can help you assess your circumstances and define the first steps towards establishing your business with an appropriate structure.
NEXORY GROUP — Your Business. Our Commitment.
Editorial note: This article is provided for general information purposes and reflects the general regulatory framework understood as of November 2026. Immigration, professional activity, foreign investment and taxation requirements should be verified against current legislation and the specific circumstances of each applicant.