Andorra is attracting more and more entrepreneurs, particularly because of its tax and economic advantages. Domiciling a business in Andorra offers unique opportunities, whether for start-ups or well-established companies. Let's take a closer look at why Andorra has become such a popular destination for company domiciliation.
Why choose Andorra for company domiciliation?
1. Tax advantages
With the Europe's lowest VATAndorra offers an attractive tax environment. Corporate tax rates are also low, often well below those of neighboring countries. What's more, the absence of taxation on dividends makes Andorra an ideal place to maximize profits.
2. Lower living and operating costs
The low cost of living, coupled with competitive operating costs, makes it economical to run a business in Andorra. These savings can be reinvested in the business to stimulate growth or increase profit margins.
3. An ideal setting for modern businesses
Andorra is particularly favourable for companies specializing in e-commerce and cryptocurrencies. Progressive legislation and a warm welcome for these new technologies encourage entrepreneurs to establish and develop their businesses in this dynamic environment.
Criteria and procedures for company domiciliation in Andorra
1. Legislative compliance
First and foremost, it's crucial to comply with Andorran legislation. This includes registering with the relevant authorities and understanding the legal requirements specific to your field of activity.
2. Share and bank capital
Some forms of business require a minimum share capital for incorporation. Establishments such as Andbank, Mora Bank and Crèdit Andorrà offer solutions for opening business accounts and depositing share capital.
3. Choice of registered office
The registered office must be established in Andorra to be valid. Companies can opt for a physical address or a domiciliation address provided by a business center, offering flexibility and local presence.
Types of domiciliation in Andorra
- Social address Legal and administrative address of the company.
- Commercial domiciliation Address where the company carries out its business activities.
- Tax domicile Address used for tax purposes.
Advantages of a domiciliation company
Opting for a domiciliation company offers not only a prestigious address, but also services such as mail management and call reception. This reinforces the company's image and ensures efficient administrative management. What's more, the confidentiality and potential savings in terms of fixed costs are significant, especially for new businesses looking to reduce their initial outlay.
