Company Formation in Sweden

Company Formation in Sweden

Company formation in Sweden is simple as our legal team prepares and takes care of all the documentation for you to start business in Sweden quickly. Our Stockholm office provides a wide range of corporate services tailored to fit your needs. We can provide you with a turnkey solution with all necessary business services.

How we can support you in starting business in Sweden:

Setting up a new limited liability company, including new shelf companies ready for business

VAT,  F-tax and trade union registrations, including on-going accounting and reporting

Registered office address, registered agent and local representative service, banking support

The most time and cost efficient approach to register a company is to purchase a new shelf company, which can be done fully remotely with no travel to Sweden needed. The alternative founding process by oneself is a challenge to non-residents due to various requirements (e.g. share capital payment). Hence in most cases, non-residents of Sweden opt for a new or aged shelf company to avoid bureaucracy as we have already taken care of all the preparations and requirements. However, we do assist with new incorporations on request. We will help you to choose the best approach according to your objectives. Swedish company formation pricing starts from 1980 EUR, for more information contact us for a free case evaluation and a detailed price quote »

Company in Sweden

We'll get you started in Sweden!

We have helped hundreds of businesses to set up in Sweden. We offer time and cost efficient remote setup packages with no travel needed. Our pricing for company formation in Sweden starts from 1980 euros.

Priced from 1980 euros
Remote setup in 5 to 10 days
New shelf companies available
Aged shelf companies available
VAT and tax registrations support

Limited Liability Company in Sweden

The Swedish limited liability company (Aktiebolag or AB in Swedish) is the most common form of business in Sweden. Our new limited liability shelf companies are registered in the Commercial Registry with an active registration number and no previous activity – in some cases we also create the new company as tailor-made according to your order or support in the founding process if that should be preferred. Our Swedish shelf companies come with a 100% clean balance sheet guarantee and the full share capital payment of 50 000 SEK (approx. 5000 EUR) registered. Further, you can also choose your preferred business name for the company.

Running a limited company in Sweden comes with certain requirements on residency as there are restrictions for the management board members outside of the European Economic Area. Additionally, a local registered agent with a Swedish ID code has to be appointed in case there are no Swedish residents in the management board. We can provide all necessary services and we will work out a solution specific for your project.

The Swedish company setup can be carried out fully remotely with no travel. Alternatively, you are also welcome to schedule an appointment at our office in Stockholm for the documentation signing. We prepare the full package of legal documentation and submit all applications on your behalf, we only ask for your signatures. After the Commercial Registry has processed all changes we forward the full legal documentation to you. It usually takes 5-10 business days for the registry to update their database to show the new board member(s) and company information. It can take an additional 2-4 weeks for certain tax registrations such as the VAT and F-tax registration depending on the workload of the local governmental authorities.

What are the steps?

Step 1: Get in touch for consultation
Let us know of your target objectives and we propose the best solution for your consideration. Preliminary consultation and detailed price quotes are free of charge.

Step 2: We take care of everything
We collect and prepare all legal documentation and forward for your confirmation and signatures. As an option we offer full remote service, no travel is needed for the company formation in Sweden.

Step 3: Start business in Sweden
We take care of all applications and set up any corporate services needed. We notify you when the process is finalized and when your company in Sweden is ready for business.

Corporate Services in Sweden

We provide a full range of corporate services in Sweden including company formations, VAT and tax registrations, legal and tax advisory, virtual registered office, accounting&payroll, consultation in joining with trade unions, licensing and bank account opening support. Corporate secretarial services on request.

Our virtual office service is a flexible solution for companies who do not need a physical office in Sweden. Our legal address in Stockholm will be used for registering with the Commercial Registry and as the administrative address for the company to receive postage. The postage sent to your company will be forwarded to you by e-mail (scanned copy) or by regular mail on request. We can also set up individual local telephone and fax numbers as well as a local domain name with web hosting for your company.

Our accounting department can take care of all of your Swedish company bookkeeping, as well as consult about financial and tax questions. The monthly cost of bookkeeping depends on the company profile, for example on the number of transactions and payroll calculations. We can also provide the VAT registration form and assistance with its completion. Financial statements have to be submitted annually while VAT returns and social tax declarations have to be submitted quarterly.

We work with several banks (e.g. Swedbank) to ensure the most time efficient opening of a business bank account for your company in Sweden. To set up the account, a board member has to be present for a face to face meeting during the first application stage. The payment card and online banking security token are received in the second stage. Our team member can be appointed to receive these on your behalf and they will then be forwarded to you. Our compliance team will consult on choosing the best bank for your business and provide support through the account opening process.

It is also possible to open a fully functioning business bank account with an individual IBAN account number and with a VISA payment card for your company in Sweden, fully remotely over the internet and no visit required. We have covered this option in our Knowledge Center: Online bank account with IBAN and payment card

If all members of the board of directors are residing outside of Sweden then the company must have a contact person in Sweden who can accept correspondence with the government on behalf of the company. This representative (delgivningsbar person) must be registered in the Swedish population register with a local ID code. Our team member can be appointed to fill this legal requirement.

The management board member (styrelseledamot) and deputy management board member (suppleant) of a Swedish limited company must reside within the European Union (EU) or the European Economic Area (EEA). Half of the company’s board members must also reside within the EU/EEA and the same rule applies for the deputy board members. Please note that the requirements concern residency, not citizenship. If you cannot fulfil the requirements of residence you must apply for exemption. We can support in preparing, submitting and processing your exemption application.

Small companies are exempted from the requirement of appointing an auditor. However, an auditor has to be appointed and an audit is required when one of the following criteria are exceeded for two consecutive years:

  • Annual net sales of 3 000 000 SEK and more
  • Balance sheet volume of 1 500 000 SEK and more
  • An average of 3 employees in the financial year

Taxation basics in Sweden

We have listed the main corporate taxation key points in Sweden. For more specific tax related questions contact us for consultation with our country specific tax specialist.

From 2019 the corporate tax rate in Sweden is 21,4%. From 2021 the rate will decrease to 20,6%. The standard flat rate of 21,4% is applied on all income of corporate entities, while resident legal entities are liable for tax on their worldwide income unless special exemptions or tax treaties apply, non-resident entities are taxed on the income that originates from Sweden.

Sweden levies a basic tax rate of 30% on dividends; however, there are potentially reduced rates under applicable tax treaties.

The standard Swedish VAT rate is 25% applied to all good and services with reduced rates of 12% and 6% on applicable items. The 12% rate applies to some food items, hotel accommodations, and restaurants and the reduced rate of 6% applies to domestic transport, books, periodicals, and admissions fees to cultural and sporting events. There is tax exemption on supplies for healthcare, financial services, education and international/inter-community travel. A VAT registration is always required within Sweden when selling to consumers.

Employer contribution to social society is 20.70% for employees born 1952 or later and 10.21% for employees born 1938-1951. Sweden has no defined minimum wage, but wages are based on collective agreements between employers and trade unions/workers. All workers in Sweden are covered under such agreements.

Frequently Asked Questions

Below we have included the frequently asked questions for company formation and corporate services in Sweden and the appropriate answers.

What documentation is needed?

In order to register and process your order we ask for you your passport scan, residential address (w. utility bill) and contact details.

How long does it take?

It usually takes 5-10 business days for the Commercial Registry to process the company setup. The processing times are updated daily depending on the registry work-load. It is possible to check the latest status here: current processing times. It can take an additional 2-4 weeks for certain tax registrations such as the VAT registration depending on the workload of the local governmental authorities.

Do I have to come to Sweden?

The company setup procedures can be processed fully remotely with travel to Sweden not required.

Why prefer the shelf company?

The most cost and time efficient alternative to forming a new company from scratch is to acquire a shelf company, which is very common in Sweden. The advantage of the shelf company is that the business can start functioning at once and that the company already has a registration number. Further, we have already pre-registered the share capital payment, hence no separate transfers are needed at the setup phase. Only before the end of the first fiscal year the new management board has to transfer the share capital of 50 000 SEK to the company bank account for compliance. You may also find useful information here: starting business in Sweden.

What if I am not from the EU?

The Swedish commercial code sets forward the requirement to have 1 management board member and 1 board deputy member who are residents of the European Economic Area. It is possible to legally bypass this requirement by applying for an exemption from the registry. We have processed many such successful exemption applications for participants from Asia, Africa, Switzerland and USA.

How much does it cost?

Our pricing for both new company formation and new shelf companies in Sweden starts at 1980 EUR. The final cost of your project will depend on further services required such as local registered office address, registered agent service or similar. Also the annual costs will depend on the list of required services. We would be glad to provide a detailed quote specific to your project.

Do I need registered office address?

Having a local registered office address is mandatory for every Swedish company and usually it can’t be a residential address. The legal address will be shown in the commercial registry and the official letters addressed to the company will be sent to this address. We provide a virtual registered office address as a service and forward the postage received as scanned copies to your e-mail.

Can I choose the company name?

Yes, you can choose the company business name. It is subject to registry availability. Usually 3 business name options are provided to the registry and the registry provides their final confirmation on one. You may check availability for the name: Bolagsverket or Allabolag.se

How do I open the bank account?

There is no shortage of international and local banks in Sweden and banking systems are highly advanced, however opening a bank account can be challenging and take time. It is not possible to open the bank account by proxy or by Power of Attorney, a face to face meeting is required at the bank. However, as a solution for a quick start it is also possible to open with a fintech bank in the European Union which can be done online with no visit needed and then proceed to opening with a local traditional bank in Sweden in later steps.

What about reporting requirements?

Irrespective of size, the Swedish limited company has to file annual accounts with the commercial registry once a year. Small companies are exempted from the requirement of appointing an auditor. VAT returns and social tax declarations have to be submitted quarterly. Our accounting department can take care of all reporting requirements on your behalf.

How to register for VAT?

We support in preparation and submission for VAT registration and all other necessary tax registries on your behalf.

How do I get started?

In the first step please let us know of your objectives for setting up a company in Sweden. In the second step we propose the best solution with a step-by-step overview and a detailed price quote for company formation in Sweden. In the third step we take care of all legal documentation and applications.

Questions? Interested in starting business in Sweden?

Questions regarding company formation in Sweden will be answered promptly by contacting us through the contact form below. If you would like to receive a prompt overview of procedures and pricing break-down for your project we kindly ask to include preliminary information, for example how many participants will be in the company structure and which country residency they hold. Our country manager will respond shortly with more information to address your case including detailed procedures, timing and pricing break-down.

Contact details

Our office in Sweden is located in central Stockholm. Please schedule an appointment beforehand to be connected with our country manager.

Call our head office at +372.50.43.245

E-mail us at info@maxcorp.eu

Office address:
Fleminggatan 20, 112 26 Stockholm, Sweden