Company Registration in Sweden

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What is Company Registration in Sweden?

In Sweden Company incorporation process includes drafting of the articles of association, passport copies, the specimen signatures and other forms obtained from the company registration office.

Under company incorporation process, some public notary procedures must be taken care of and registered office is also necessary for company formation in Sweden. Another requirement of company incorporation is bank account and hiring a local accountant for the newly established company.

Types of Business Entities

In Sweden the most popular form of business Limited Liability Company. Under this type of company there is a requirement of minimum share capital of 50,000 SEK.

Limited Liability Company must be set up with at least one shareholder and two directors. Under this, the main benefit is that the liability of its members is limited to their contribution to the capital.

Article of association is the main document of such company which consists company’s internal regulations, details regarding the shareholders and capital and in certain cases an availability term. In this type of company, main decisions are taken by the general meeting of the shareholders.

Swedish Joint Stock Company 

Under this, for incorporation the same number of shareholders is allowed but there is a requirement of initial capital of at least 500,000 SEK. In this type of company shares are transferable to a third party and in some cases it can be registered to the Stock Market.

MINOR FORMS OF SWEDISH BUSINESS

  • General Partnership in Sweden

General partnership is established by two or more partners who share the same liabilities as well as they share the same managerial power. Under this, profits are equally divided between the members. In case of liquidation their personal assets can be affected.

  • Limited Partnership in Sweden

It is a form of partnership which is established by two types of individuals:

  • at least one member having general liability and
  • at least one member is a limited partner with liability to the extent of their contribution to the capital.
  • Sole proprietorship

There is no requirement of a minimum share capital and there is unlimited liability of the owner. In the case of liquidation or dissolution process profits can be used as desired but personal assets can be affected.

Incorporation Procedure

Firstly the desired name must be checked before using it in elaborating the company’s document sat the Swedish Companies Registration Office. Before registering a company in case the name is unique, founders must proceed further by opening a bank account for depositing the minimum capital.

After the completion of all the procedure and drafting of articles of association, entrepreneur can proceed with the Swedish Companies Registration Office for incorporation process and it will deliver a registration certificate.

Registration process can be performed in person or it can also be done online through an application developed by the Swedish Companies Registration Office.

An announcement regarding the setting up of the new company is made in the Swedish Official Gazette after issuing the registration certificate. Using an online application, registration at the tax authorities can be performed at the same time or in person at the Tax authorities.

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