COREDO > Company Formation in Denmark

Company Formation in Denmark

Why Register a Company in Denmark

Denmark is one of the most stable and developed jurisdictions in Europe, with a high level of business trust and a predictable economic environment. The country attracts investors with a resilient economy, advanced infrastructure, a strong technological and industrial base, and access to European markets.

Despite relatively high tax rates, Denmark remains a prestigious jurisdiction with transparent regulation and an extensive double taxation treaty network.

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Comparison of Legal Forms

Form	Type	Min. Capital	Min. Founders	Liability
A/S	Public limited company	DKK 400,000	1	Limited
ApS	Private limited company	DKK 20,000	1	Limited
K/S	Limited partnership	None	2	Mixed
I/S	General partnership	None	2	Unlimited

Types of Companies in Denmark

Denmark offers a wide range of legal forms for doing business. The choice of the appropriate form depends on the scale of operations, the number of founders, the required level of liability and the company’s objectives.

A/S (Aktieselskab)

a public limited company. Suitable for large enterprises and companies planning to raise capital through public markets. The minimum share capital is DKK 400,000, of which at least 25% (DKK 100,000) must be paid up at the time of registration. At least one founder is required. Shareholders bear no personal liability for the company’s obligations. The company must have a board of directors if the number of employees exceeds 35, and annual financial statements must be audited.

ApS (Anpartsselskab)

a private limited liability company. The most popular form for small and medium-sized businesses. It can be registered by a single participant. Since 27 February 2025, the minimum share capital has been reduced to DKK 20,000 (previously DKK 40,000). This change was adopted as part of a package of measures to support entrepreneurship, aimed at lowering barriers for new business owners. The capital may be contributed in cash or, under certain conditions, in non-cash assets. Participants are liable only up to the amount of their contribution.

K/S (Kommanditselskab)

a limited partnership. It requires at least two partners: one general partner (komplementar) who bears unlimited liability for the partnership’s obligations, and one or more limited partners whose liability is restricted to the amount of their contribution. This form is frequently used in investment and development projects.

I/S (Interessentskab)

a general partnership. At least two founders are required, each bearing equal and unlimited liability for the company’s obligations with all their assets. Suitable for professional partnerships where all participants are actively involved in management. Profits and losses are distributed among the partners in accordance with the partnership agreement.

In addition to these main forms, foreign companies may open a branch (filial) in Denmark. A branch is not a separate legal entity and operates on behalf of the parent company. To register a branch, a manager authorised to represent the company in Denmark must be appointed.

It should be noted that the previously popular IVS (Iværksætterselskab) form was abolished in April 2019. All existing IVS entities were converted into ApS.

Requirements and Registration Procedure

Denmark imposes no residency requirements on company founders (with the exception of limited partnerships K/S, where the general partner must be a citizen of a country with which Denmark has concluded a double taxation agreement). Both natural persons and legal entities may act as founders.

To register a company, it is necessary to prepare a set of incorporation documents, draft the articles of association and prepare a business plan. All documentation must be prepared in Danish and English. A registered office in Denmark and a Danish bank account are mandatory requirements.

Registration is carried out through the Virk.dk system — a unified government business portal that allows electronic submission of documents. After the application is submitted, the data is forwarded to the Erhvervsstyrelsen (Danish Business Authority). The company receives a CVR number (identification number in the Central Business Register), which is used in all business operations. Information about registered companies is publicly available through the CVR register at datacvr.virk.dk.

Required Documents

To register a company in Denmark, the following documents are required:

incorporation documents (articles of association, memorandum of association);

a business plan;

proof of a registered office in Denmark;

identity documents of founders and directors;

confirmation of share capital deposit into a bank account.

For foreign founders, apostille or notarisation of documents may be required in accordance with the Hague Convention.

Registration Stages and Timelines

The prepared documents are submitted to the Erhvervsstyrelsen (Danish Business Authority). After registration, ownership data is entered into the Central Business Register (CVR). Additionally, registration with the tax authority SKAT (Skattestyrelsen) is required for tax registration and obtaining employer status (if hiring employees is planned). Companies operating in trade, insurance, education, accounting and other licensed activities must obtain the relevant permits.

The typical registration period for a new legal entity in Denmark is approximately 14 business days, although in some cases the process may take longer depending on the complexity of the corporate structure, the completeness of the documents submitted and the need for additional licences.

Service Costs

The cost of company registration in Denmark depends on the chosen legal form, the complexity of the corporate structure and the scope of required support. The cost typically includes preparation of incorporation documents, submission of registration applications, obtaining the CVR number and initial interaction with government authorities. For an individual estimate, contact the COREDO team.

Taxes and Reporting

The corporate income tax rate in Denmark is 22% (stable since 2016). The VAT rate is 25%, with no reduced rates applied in Denmark. Tax returns are filed within six months after the end of the financial year.

Employers are required to withhold income tax (A-skat) and the labour market contribution (AM-bidrag) at a rate of 8% from employee salaries and remit them to Skattestyrelsen through the eIndkomst system. In addition, employers pay mandatory contributions to the ATP pension fund.

Denmark has double taxation agreements with more than 80 countries, creating favourable conditions for international business. Dividends paid by Danish companies are subject to withholding tax at the standard rate; however, the tax amount may be reduced in accordance with the applicable double taxation agreement. The company’s financial year generally coincides with the calendar year, although a different reporting period may be selected at the time of registration.

Opening a Bank Account

After registering a company in Denmark, a corporate bank account must be opened. Danish banks apply strict client identification requirements (KYC) and verification of the origin of funds as part of anti-money laundering (AML) compliance. To open an account, the following are required: incorporation documents, the CVR number, identity documents of directors and beneficial owners, a description of planned activities and projected turnover. The account opening process may take two to four weeks depending on the bank and the company’s profile. COREDO specialists provide assistance in selecting a suitable bank and preparing the documents for account opening.

Why COREDO

COREDO has been providing legal and corporate services since 2016, ensuring full-cycle business support across dozens of European jurisdictions. The head office is located in Prague, Czech Republic. Clients receive assistance not only with company registration, but also with bank account opening, tax planning and regulatory compliance. The COREDO team operates in Russian, English and Czech, simplifying communication for Russian-speaking entrepreneurs.

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Our Experts

COREDO specialists will guide you through every stage of company registration in Denmark.

Pavel Kos

Head of Legal. A member of the COREDO team since June 2017. Specialises in corporate law, licensing and legal support for businesses across European jurisdictions.

Daniil Saprykin

Head of Customer Success. Provides comprehensive client support at every stage of company registration and business operations.

Frequently Asked Questions

Do I need to be a resident of Denmark to register a company?

No, Denmark imposes no residency requirements on founders of most company types. The exception is limited partnerships (K/S), where the general partner must be a citizen of a country with a double taxation agreement.

What is the minimum capital required for an ApS?

Since 27 February 2025, the minimum share capital for an ApS (private limited liability company) is DKK 20,000. The capital may be contributed in cash or, under certain conditions, in non-cash assets.

How long does company registration take in Denmark?

The typical registration period is approximately 14 business days. COREDO specialists will help accelerate the process and ensure all documentation is correctly prepared.

What taxes does a company pay in Denmark?

The corporate income tax rate is 22%, VAT is 25%. Employers also withhold the labour market contribution AM-bidrag (8%) from employee salaries. Denmark has double taxation agreements with more than 80 countries.

What documents are needed for registration?

The following are required: incorporation documents, a business plan, proof of a registered office, identity documents of founders and confirmation of share capital deposit.

Can a company be registered in Denmark remotely?

Yes, registration is possible through the government portal Virk.dk electronically. However, some documents may require a personal presence or an authorised representative in Denmark for signing. COREDO can act as your local representative.

What is a CVR number and why is it needed?

A CVR number is a unique company identification number in the Danish Central Business Register (Det Centrale Virksomhedsregister). It is used in all business operations, tax filings, contract execution and interaction with government authorities.

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COREDO specialists will help you register a company in Denmark in full compliance with all legal requirements. The company has been providing legal and corporate services since 2016, ensuring professional support at every stage.