Company registration in Sweden

AVAILABLE TYPES OF BUSINESS ORGANISATION IN SWEDEN

Among the array of business legal structures accessible in Sweden, foreign businessmen commonly opt for the following:

• Enskild firma — an individual enterprise, often favoured by start-up entrepreneurs. As a sole proprietorship is not considered a legal entity, its income is subject to income tax.
• Privat Aktiebolag — a closed company with limited liability, which can be established by a single shareholder, whether a natural person or a legal entity, without specific citizenship requirements. The minimum authorised capital is SEK 100,000 (approximately EUR 9,000) and can be paid in cash or various assets.
• Publikt Aktiebolag — a public joint-stock company, requiring only one shareholder for registration. The authorised capital must be at least SEK 500,000 (approximately EUR 47,000).
• Handelsbolag and Kommanditbolag — an unlimited liability partnership and a limited liability partnership, respectively. Both require a minimum of two partners, who may be either Swedish residents or non-residents, to establish the company. There are no specific requirements regarding the amount of authorised capital.
• Ekonomisk förening — an economic association, This specific Swedish legal entity form resembles an open cooperative enterprise. Three individuals or legal entities are required for registration.