Reasons to Go Ahead With Company Formation in Andorra
Every resident living in Andorra has legal rights to set up a business. You have several business opportunities to set up your business in Andorra. Located between Spain and France, Andorra serves as a perfect spot in the middle of two power-house economies in Europe. Setting up a business in Andorra means you get an exposure to the local market in both regions. A range of economic services provided while Andorra Company Formation includes professional services, multilingual call and service centres, and more. It covers intellectual property design, international franchising, international consultancy, online marketing, intellectual property licensing, online sales, and more.
Things That You Should Know Before Andorra Company Formation
- The different types of Companies Formation in Andorra include Societat Limitada (S.L.), Societat Anonima (S.A.), Societat Colectiva (S.C.), and Sole Proprietorship.
- Unlike other traditional “offshore jurisdictions”, there is no offshore entity model. So, the company registering must have a registered office plus administrator (director).
- A minimum of two shareholders can form a Limited Liability Company in Andorra. Moreover, companies registered should prepare quarterly along with annual reports associated with tax declarations filings.
- The social securities charges in the country for several companies are 15.5%.
- The minimum numbers of directors required to register a company in Andorra are one. The minimum share capital required is €3000 for company formation in the country.
- Interested investors should choose three different denominations for preference. Andorra Government then confirms the name within the next 10 days.
- Every non-resident companion must appeal prior agreement of the foreign investment in a Company of Andorra.
- You must explain the origin of funds, activity, and your profile with transparency while demanding to open a bank account.
- The country has the lowest VAT or sales tax in Europe at 4.5%.
- The average wage of Andorra is about €2100 per month. The monthly minimum wage of the country is about €1083.33.
- In Andorra, about 8% of the land is suitable for construction purposes. In terms of business opportunities in Andorra, tourism serves as the major sector.
Why People Prefer to Set Up a Business in Andorra?
Here are some benefits of company formation in Andorra:
- Setting up a business in Andorra means you the investor can benefit from favourable banking policies, a stable economic climate, and more.
- Companies involved in activities like international management of intangibles have to pay only 2% corporate tax on profits.
- Andorra serves as one of the most interesting locations for distance selling and e-commerce companies from the country.
- Thanks to high-quality equipment that the healthcare system of Andorra is very efficient.
- Reasonable tax laws and rules serve as a great opportunity to do business in Andorra. It includes a 10% maximum corporate tax on gained profits.
- The infrastructure of Andorra is more attractive for foreign residents and established companies.
- Building rental costs in Andorra are lower. For only €400, one can settle headquarters for their company and can take pleasure from all the benefits offered by Principality.
- While the coverage rate in the European Union is near to 21%, Andorra offers a 100% fibre-optic coverage on all its territory.
Where Can I Get Support for Setting Up a Business in Andorra?
Concerned about doing business in Andorra? At 3E Accounting Firm, we have an extensive network of professionals who are expert to help people for Andorra Company Formation. Our partners have tremendous capabilities, professionalism, and insight to guide you to register a company in Andorra.
Contact us at 3E Accounting and get benefits from the best services offered, including business creation, tax residence, management, and more.