Active residence – Work permit and residency for company founders and shareholders
The best residency option for company owners in Andorra is the work permit for shareholders.
This work permit is granted by either founding a company in Andorra, the acquisition of a company or participating in a local company. A foreigner can start his or her own business or acquire more than 20 percent of an existing company, which will then enable him/her to apply for this shareholder work permit. The applicant must furthermore take up a position as managing director or member of the board of directors.
As managing director of your own company, you will get the active residency immediately after the foundation of your company. The company must have a proper commercial activity (services, trade, etc.) and you must hold at least 21% of the shares of the company. In addition, payments to the Andorran social insurance have to be made as a self-employed manager. This will allow you to have a valid insurance cover in Andorra (health and pension insurance).
The active residency is an option for those, who plan to work actively in Andorra as self-employed individuals and spend at least 183 days within Andorra (excluding holidays and business trips). You also must leave a bond / security deposit payment of 15.000 EUR to the government / the financial authority regulating body of AFA.
Special requirements for the active residency
• A permanent residence in Andorra (more than 183 days a year, can be interrupted by business trips and holidays)
• Contribution to the Andorran social insurance system with approximately EUR 465 per month (right to access to the Andorran, French and Spanish health system)
• Establishment or acquisition of a local company (with a stake of more than 20%)
• Leave a bond / security deposit payment of 15.000 EUR to the government / the financial authority regulating body of AFA
• Exercising a position in the administration of the company