With leading industralised countries continuing to struggle with their economies, most have increased the level of taxes on both businesses and individuals to raise revenue, and it has led many business people and individual entrepreneurs to consider whether moving to a tax haven might make financial sense.

But the image of tax havens is that they are only for the super-rich who have a team of accountants and tax lawyers to advise them of how best to minimalise their tax bills - tax havens aren't for owners of successful medium and small size companies and individuals with a couple of million in the bank - because to move to one involves buying a property that costs more than that in the first place.

And a look at the cost of real estate in Monaco will confirm that for many. A studio apartment for one person costs more than a million Euros, while two bedroom apartments with a view range between three and eight million.

But there is a tax haven that has the same tax benefits as Monaco, where property prices are a fifth of the price, and buying a good size modern apartment including closing costs and establishing residency can be obtained for under 500,000 Euros - and the good news is that it's not in a far off country no-one's ever heard of and run by a military regime, but in Europe and has a democratically elected government, is a member of the Unted Nations, and has France and Spain as neighbours.

That country is Andorra, and while it may be one of the smallest countries in the world, it's got not just favourable taxes but a great infrastructure too, and welcomes those who qualify for residency to move there.

The Andorra residency requirements are pretty straightforward for those interested in moving to a low tax jurisdiction:

A certificate of good conduct from the police where the applicant currently lives, an Andorra bank account (accounts can be opened pending further funds for a hundred Euros - very favourable compared to Monaco where the banks ask for 300,000 Euros - a private health policy and evidence of a property in Andorra. The applicant will also need a marriage or divorce certificate, or to declare that they are single.

There is an interview within a few weeks of the application being presented when the applicant will be asked to attend an interview with the residency office, this is conducted in Catalan but services exist where someone who knows the Andorra residency process will accompany the applicant and translate from Catalan to English - something the residency office is used to.

The final piece of the jigsaw is a deposit to the government, that is returned if residency is given up of 30,000 Euros. For the partner of the primary applicant it reduces to 7,000 Euros - the same amount is also applicable for any children who might be making the move to Andorra.

The main cost is the property the applicant is going to live in, and 500,000 Euros as a budget to include all costs of gaining residency including the property in Andorra means that the budget will be 450,000 Euros or less, which allows for typical closing costs of 4.5%.

One example of an Andorra property for sale is a three bedroom two bathroom fourth floor apartment with 130m2 of living space in the town of La Massana. Located close to the shops, banks, restaurants and other amenities it comes with a garage and is in a quiet area.

La Massana is popular among those who take Andorra residency as it's just ten minutes from the capital la Vella, has good public transport links, and for those with children it's where the International School is located.

An alternative and still within budget is a duplex three bedroom, three bathroom duplex 140m2 apartment in the traditional village of Ordino. It has a spacious living area, a 12m2 terrace and good views, and is currently on the market for 425,000 Euros.

Both of which go to show that you don't have to be a millionaire to live in a modern tax haven, which has a friendly welcoming local population with an infrastructure equivalent to many Western European countries, and gaining residency and owning your own home can be achieved on a budget of under half a million Euros.

The latest property for sale in Andorra and their guide to residency is available at www.propertyandorra.com