Category A                                                                                   

In order to become a resident of Andorra under Category A (the former passive residence permit), applicants must meet the following conditions:

• Over 18 years old.

• Provide the appropriate legalised police certificates (which prove a clean criminal record).

• Sign a document that they will reside for a minimum of 90 days per year in Andorra.

• Prove that they have a private medical insurance valid for Andorra.

• Prove that they either rent or own a residential property in the Principality of Andorra (or prove that they’ve signed a contract to buy a property within six months from the date of application).

• Prove that they dispose of sufficient means to support themselves and their dependents. One needs a bank certificate which confirms a balance of minimum 300% of the minimum Andorran annual salary for the main applicant and 100% for each additional dependent. Therefore, one has to open a bank account with a local Andorran bank and deposit the required funds (EUR 34,634.43 for the main applicant and EUR 11,544.81 for each dependent) into that bank account. These funds aren’t lost because after the bank issues the bank certificate, these funds can be used to fulfil the government bond requirement (explained in the next bullet point).

• Deposit a EUR 50,000 bond plus EUR 10,000 for each dependent at the Andorran National Institute of Finance (INAF). The bond doesn’t yield interest and is designed to cover any debts that the applicant may incur with any administration or state-owned utility company. This government bond is entirely refundable when giving up the residence permit, so this money isn’t lost (it only doesn’t yield interest).

• The applicant (head of the household) needs to sign a document which states that he/she will submit documentary proof within seven months from the date of application that he/she has invested a minimum total amount of EUR 400,000 in Andorra. Permitted investments are the following: property in Andorra, shares of or funds issued by Andorran financial institutions, public bonds issued by the Andorran government, a straight increase of the non-interest bearing government bond or a combination of all of them. It’s important to realise that the bond deposited at the INAF (EUR 50,000 for the main applicant and EUR 10,000 for each dependent) is included in this EUR 400,000 investment requirement. This means that the actual amount that needs to be invested is the balance which is computed by deducting the total amount deposited at the INAF from the minimum requirement of EUR 400,000.

                                     Category B (International Business Category)                              

This is a residence permit designed to attract international businessmen who wish to form an Andorran company but only want to spend a minimum of 90 days (more is allowed) in Andorra. 85% to 100% of the business must be conducted outside Andorra. In order to obtain this permit, applicants must meet the following conditions:

• Over 18 years old.

• Provide the appropriate legalised police certificates (which prove a clean criminal record).

• Sign a document that they will reside for a minimum of 90 days per year in Andorra.

•  Prove that they have a private medical insurance valid for Andorra.

• Prove that they either rent or own a residential property in the Principality of Andorra which satisfies the minimum requirement of an office space (minimum 20 square meters).

• Prove that they dispose of sufficient means to support themselves and their dependents. One needs a bank certificate which confirms a balance of minimum 300% of the minimum Andorran annual salary for the main applicant and 100% for each additional dependent. Therefore, one has to open a bank account with a local Andorran bank and deposit the required funds (EUR 34,634.43 for the main applicant and EUR 11,544.81 for each dependent) into that bank account. These funds aren’t lost because after the bank issues the bank certificate, these funds can be used to fulfil the government bond requirement (explained in the next bullet point).

• Deposit a EUR 50,000 bond plus EUR 10,000 for each dependent at the Andorran National Institute of Finance (INAF). The bond doesn’t yield interest and is designed to cover any debts that the applicant may incur with any administration or state-owned utility company. This government bond is entirely refundable when giving up the residence permit, so this money isn’t lost (it only doesn’t yield interest).

• Produce a business plan with a projection of the next 3 years, a detailed Curriculum Vitae and all supporting documents.

• Prove, within 7 months after the application, that the company formation has been completed.

As mentioned before, this residence permit is designed to attract international businesspeople who wish to establish an Andorran company but only want to spend a minimum of 90 days (more is allowed) in Andorra. The businessperson’s primary base of operations must be established in Andorra. The services offered by the professional must be aimed primarily at persons or entities not resident in Andorra: the professional may offer his services within the Principality but the income derived from within Andorra may not exceed 15% of the total earnings from the business activities and the professional isn’t allowed to aim for full-time employment in Andorra.

In contrast with the active residence scheme, category B residents have to pay a government bond. The good news is that they only have to spend 90 days in Andorra (versus active residence which requires a certain degree of permanence). In contrast with category A, category B residents aren’t required to invest a minimum amount of EUR 400,000 in Andorra. 

                                                       Category C                                                                             

Certain individuals can apply for a residence permit for scientific, cultural or sportive reasons. Category C can be considered as the VIP category and the Andorran government decides in its absolute discretion whether an individual qualifies for this category or not. Applicants for category C residence must meet the same conditions as applicants for Category B residence (including the government bond). In contrast with category A and in line with category B, this category isn’t required to invest a minimum amount of EUR 400,000 in Andorra.

In order to qualify for category C, an individual must be internationally recognised in his/her particular field and he/she should submit a detailed Curriculum Vitae and all supporting documents which prove his/her international standing, achievements and fame. Additionally, 85% of the professional activities must be carried on outside Andorra.