What type of commercial companies are the most common?

Sociedad anónima (SA) , Sociedad limitada (SL)

Sociedad Anónima (SA)

The minimum constitution capital is € 60,000. It is normally the option chosen by large companies, whose capital can be distributed among all its shareholders or in a single person in the case of wanting to opt for a Unipersonal Limited Company (SAU).

Limited company (SL)

Requires a minimum initial capital of € 3,000, which can be distributed among several partners or in one person if you opt for a Limited Liability Company (SLU).

Upon registration in the Companies Registry, both SA and SL have their own legal personality.

Every Andorran society is obliged to have a registered office in the country.

What is the process for creating a mercantile company?

Currently, in one or two / three months it is possible to have the company in operation.

You should:

  1. Request the reservation of corporate name in Government. This certification has an expiration of 6 months from its issuance and during its validity confers a reservation of name in favor of the future grantors of the deed.
  2. Request authorization of foreign investment in Government, for foreign investments with a participation superior to 10% of the capital stock.
  3. Request the opening of a bank account in one of the country’s financial entities.
  4. Raise the public deed to the public before an Andorran notary for the constitution of the company.
  5. Register the company in the Andorran Mercantile Registry (or in the Commerce and Industry Registry if the company carries out a commercial, industrial or service activity). This registration is mandatory and is the one that will give the company legal personality.
  6. Request the opening of the store (for which it will be necessary to have the local electrical bulletin and a current extinguisher contract)