Company registration in Denmark - COREDO

Company registration in Denmark

Over the past decade, Denmark has consistently held a position among the top ten countries with the most favourable conditions for conducting business. Foreign investors find this jurisdiction appealing for various reasons, including the government’s positive stance toward external investments.

Denmark boasts one of the most stable economic systems in Europe, marked by a steady currency, low inflation, and a well-balanced state budget. The country’s economy thrives on metalworking, mechanical engineering, high-tech industries, and the oil and gas sector. In recent years, there has been significant growth in renewable energy, biotechnology, and pharmaceuticals. Denmark also has an excellent transport infrastructure, especially shipping and highways.


Many business owners choose Denmark as their company’s location due to the country’s stable economic situation. However, this jurisdiction offers more than just economic stability; it includes other advantages such as:

  • Prestige and recognition in Europe.
  • A favourable geographical location providing easy access to European markets.
  • Well-developed infrastructure, fostering a modern and dynamic business environment.
  • A flexible system of tax benefits.
  • Availability of double tax treaties with more than 80 countries.

There are some drawbacks to doing business in Denmark, including relatively high taxes (since 2016, the corporate tax rate on income is 22%, and the VAT rate is 25%) and the high cost of living in the country.


Denmark provides a diverse array of legal forms for launching a business. The most popular among them are:

  • A/S — Open Joint Stock Company. Requires at least one founder and authorised capital starting from DKK 500,000 (approximately 67,000 euros). Participants in this joint stock company are not personally liable for the company’s debts.
  • ApS — Private Limited Company. Ideal for small and medium enterprises. It can be registered by a single shareholder, and the minimum paid-up capital must be DKK 80,000 (around 10,700 euros).
  • IVS — Private Limited Company. A recently popular choice, suitable for startups and small businesses. Shares similarities with ApS but can be registered with a share capital of just 1 crown.
  • K/S — Limited Liability Partnership. Requires a minimum of two partners, with one of them having unlimited liability.
  • I.S. — General Partnership. Necessitates at least two founders, each of whom shares equal responsibility for the obligations.


In Denmark, there are no residency requirements for founders of any companies, except for limited partnerships where the general partner must be a citizen of a country with which Denmark has a double tax treaty. Both individuals and legal entities can register a company.

To register a company in Denmark, one needs to prepare a package of constituent documents, draft a charter, and create a business plan. All documentation must be in Danish and English. A local legal address and a Danish bank account are mandatory. Completed documents should be submitted to the Danish Business Administration. After registration, the owners’ names will be listed in the Public State Register. Additionally, registration with the Danish Customs and Tax Administration (SKAT) is necessary. Companies in trade, insurance, education, accounting, and other licensed services must obtain appropriate permissions.

Typically, registering a new legal entity in Denmark takes about 14 working days, though it may take longer in some cases. COREDO specialists can assist in navigating Danish legislation and ensuring a swift company registration process in Denmark.


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