Andorra's Entrepreneur Residence Permit (D.4) allows foreign entrepreneurs selected for the government's entrepreneurship program to establish residence in the Principality. Created by Law 42/2022 on the Digital Economy, Entrepreneurship and Innovation, it targets entrepreneurs whose projects contribute to Andorra's digital economy, entrepreneurship, or innovation sectors. A key advantage is exemption from the €50,000 payment to the Autoritat Financera Andorrana (AFA) that applies to standard self-employed (compte propi) residence — there is no lump-sum capital or deposit requirement for this permit.
The initial authorization is granted for 1 year with successive 1-year renewals. Renewal requires continued participation in the entrepreneur program and maintaining the 90-day minimum annual residence. From 2029, Catalan language proficiency will be required for renewals: A1 level for the first renewal and A2 level for the second renewal.
Spouses (including registered civil partners) and minor children may accompany the main applicant. Family reunification is available after the main applicant has resided in Andorra for at least 3 months. Each dependant requires proof of an additional minimum wage of income (≈€1,525.33/month in 2026), separate health insurance, a criminal record certificate (for adults), and civil status documentation.
Holders who meet the IRPF (personal income tax) requirements become Andorran tax residents. IRPF rates are: 0% on the first €24,000 of general income, 5% between €24,000–€40,000, and 10% above €40,000 (the maximum rate). Savings income is exempt up to €3,000, then taxed at 10%. The tax filing period runs 1 April – 30 September. Companies established under the digital economy and entrepreneurship framework benefit from favorable treatment under Law 42/2022.
The application follows a two-stage process. First, apply to the Ministry of Economy for selection into the entrepreneur program — the Ministry assesses each project on a case-by-case basis and is described as highly selective, favoring technological, innovative, and digitalized profiles; this stage is free of charge. Upon receiving a favorable resolution, book an in-person appointment with the Immigration Department to submit the full residence application. The immigration processing fee is €224.61. The Immigration Department has a maximum of 2 months to process the application.
For inquiries about the entrepreneur program, contact [email protected] or +376 875 700.
Andorra is not part of the EU or Schengen Area. Entry is only possible by land through France or Spain, so non-EU nationals may need a Schengen visa for transit. The entrepreneur permit quota has been reported as exhausted in certain periods, with waiting lists opened. Following the 2025 Omnibus Law and its 2026 consolidation (Llei 2/2026, in force 13 February 2026), the €50,000 AFA payment for standard self-employed residence became a definitive non-refundable payment to the State — while the exemption for digital-economy, entrepreneurship, and innovation companies was preserved, further increasing the relative advantage of this permit.