How to register a Swedish company?

Sweden is known for its innovation-driven economy, world-class infrastructure, and business-friendly environment. Whether you’re a tech entrepreneur, an exporter, or launching a consultancy, setting up a Swedish company can provide easy access to the EU market, a stable legal framework, and digital administration. Here’s how to do it.

1. Choose the Right Legal Form of your Swedish company

Sweden offers several company types for incorporation, but foreign investors most commonly choose one of the following:

• Aktiebolag (AB) – Limited Liability Company
  This is the most popular form for local and foreign entrepreneurs. Requires a minimum share capital of SEK 25,000 and can be formed by one or more individuals or legal entities.

• Handelsbolag (HB) – General Partnership
  Suitable for two or more partners who share unlimited liability. Less common among foreign investors due to the liability risks.

• Kommanditbolag (KB) – Limited Partnership
  Involves at least one general partner with unlimited liability and one limited partner. Used for specific investment projects.

• Enskild Firma – Sole Proprietorship
  For single-person businesses. Only available to Swedish residents or EU nationals with a Swedish personal ID number.

For most foreign-owned ventures, the Aktiebolag (AB) is the preferred choice due to its limited liability, credibility, and ease of scaling.

2. Can a Non-Resident Be a Director of a Swedish company?

Yes, a non-resident can be a director of a Swedish company. However, there are a few conditions to be aware of:

• At least 50% of the board members must be residents of the European Economic Area (EEA).

• If no EEA-resident director is available, an exemption must be applied for from the Swedish Companies Registration Office (Bolagsverket).

• It’s mandatory to appoint a resident contact person in Sweden if the board does not have an EEA-resident.

This means that non-EU entrepreneurs often appoint a local representative or use third-party services to meet compliance rules.

3. Registration Process of your Swedish company

To register your company in Sweden, Damalion guides you with these steps:

1. Choose a company name – Check availability on Bolagsverket’s portal.

2. Deposit the share capital – At least SEK 25,000 for an AB, to a Swedish bank account.

3. Prepare registration documents – Including Articles of Association, formation statement, and proof of capital.

4. Submit to Bolagsverket – Online or via post. The process typically takes 7–14 business days.

5. Register for taxes with the Swedish Tax Agency (Skatteverket) – including F-tax (corporate tax), VAT (if applicable), and employer registration if hiring staff.

4. Swedish Corporate Tax Regime

Sweden has a competitive tax environment:

• Corporate income tax: Flat rate of 20.6%

• Withholding tax on dividends: 30% (reduced via tax treaties or EU Parent-Subsidiary Directive)

• VAT: Standard rate is 25%, with reduced rates of 12% and 6% for specific goods/services

• No capital duty or net worth tax

Foreign-owned AB companies are taxed in the same way as local firms. Sweden has over 80 double tax treaties that can reduce withholding tax rates on dividends, royalties, and interest. Registering a company in Sweden involves legal, tax, and regulatory considerations—but you don’t need to do it alone. Damalion provides expert guidance and end-to-end assistance, from choosing the right legal structure to acting as your local representative and securing tax registrations. If you are ready to launch your Swedish business, contact Damalion today to get started with tailored, professional support.

How to register a Swedish company — entity options (AB, branch, sole trader), name check, founders & board, shares and capital, filings with Bolagsverket, tax registrations (Skatteverket), bank & UBO, and a facilitator-led path from scoping to activation.

For entrepreneurs, family offices, SPVs and international groups • Damalion facilitates scoping, document prep and provider coordination so filings move efficiently. Approvals remain at the authorities’ and banks’ discretion.

Last updated:

What speeds up Swedish company formation?

Decide the right form early (typically aktiebolag, “AB”), prepare a clean founder/board profile, align share structure and capital, and submit complete, consistent information. We facilitate name checks, constitutional documents and filings so Bolagsverket and Skatteverket can review without back-and-forth.

Core documents & data

• Proposed company name(s) and business description (SNI activity).
• Founders/UBOs: passports/IDs, addresses, PEP/sanctions declarations.
• Board & managing director details; auditor if required by thresholds.
• Articles of Association and share structure; share capital deposit evidence where applicable.
• Registered office address in Sweden (or c/o service if permitted).
• Tax/VAT (F-tax, VAT, employer) registrations and expected activity (revenues, staff, countries).
• For branches (filial): parent company register extract, resolutions, local representative.

Entity types at a glance

Topic	AB (Private Limited)	Branch (Filial)	Sole Trader (Enskild firma)
Legal personality	Separate legal entity	No separate entity (extension of foreign company)	Individual
Liability	Limited to company assets	Liability at parent level	Unlimited personal liability
Formation	Articles, board, share capital, Bolagsverket filing	Register with Bolagsverket; local representative	Register with Skatteverket; optional name via Bolagsverket
Typical use	Operating company, holding, SPV	Local presence for foreign company	Small business / freelancer
Accounting	Annual accounts, filing, possible audit (thresholds)	Swedish accounts for branch activities	Simplified bookkeeping

Damalion support — step by step

1. Scope & fit. Choose entity, board, shares and registered office; confirm name viability.
2. Draft & sign. Articles, founder resolutions, director consents; gather IDs and UBO data.
3. Capital & bank. Arrange share capital deposit (if applicable) and obtain deposit certificate.
4. File with Bolagsverket. Submit application, supporting documents and pay fees.
5. Tax registrations. Apply for F-tax, VAT and employer registrations with Skatteverket.
6. UBO & registers. File beneficial ownership and any mandatory registers.
7. Activation. Open operational bank account, e-services access, invoicing and payroll setup.

Costs and timelines

• Authority fees (Bolagsverket filings; tax registrations are typically free).
• Professional drafting, address, and facilitation fees as applicable.
• Share capital for AB, where applicable, plus banking costs.
• Typical pathway from complete file to registration: a few days to a few weeks, depending on name checks, completeness and any follow-ups.

Related reading

• Swedish corporate income tax
• Swedish tax regime on dividend distribution
• Swedish Company setup

Frequently asked questions

Which Swedish entity should I choose?

Most foreign founders use a private limited company (AB). Branches suit existing foreign companies; sole trader is for individuals.

How do I check if my company name is available?

Propose several names. We pre-screen and file the name with Bolagsverket during incorporation.

Do I need a Swedish address?

Yes, a registered office address in Sweden is required. We can arrange compliant address solutions.

What are the board requirements?

ABs require a board; composition and residency rules apply. We help structure a compliant board and appoint a managing director if needed.

Is an auditor mandatory?

Only when size thresholds are met or if chosen voluntarily. We confirm applicability based on your projected metrics.

What is F-tax and do I need it?

F-tax confirms you handle your own taxes. Most operating companies apply for F-tax with Skatteverket.

When do I register for VAT?

Register before taxable supplies begin. We prepare the VAT application with expected revenues and activity.

Can I incorporate remotely?

Yes. Most steps can be done remotely with properly executed documents and KYC/AML checks.

How is share capital handled?

For AB, capital is deposited and evidenced by a bank certificate before registration. We coordinate the process.

Do I need a Swedish bank account before registration?

A temporary deposit account may be used for share capital; the operational account is typically opened after registration.

How long does registration take?

From a few days to a few weeks after a complete submission and name clearance.

Do foreign owners face restrictions?

Foreign founders can own Swedish companies. Standard KYC/AML applies to UBOs and directors.

What ongoing compliance is required?

Bookkeeping, annual accounts, tax filings, and, if applicable, audits and employer reporting.

Can I use a shelf company?

Yes. Acquiring a ready-made AB can shorten timelines. We arrange documentation and updates post-acquisition.

What if Bolagsverket rejects my filing?

They will note deficiencies. We correct the file and resubmit; in some cases an alternative name or amendment is required.

10 must-see tourist spots for a 24-hour business trip to Stockholm!

Here are 10 must-see tourist spots for a 24-hour business trip to Stockholm, each linked to its official website:

1. Gamla Stan / Old Town – Stroll through the medieval heart of Stockholm with its cobbled streets, colorful facades, and key landmarks like the Royal Palace and Storkyrkan.
🔗 Stockholm

2.The Royal Palace (Kungliga Slottet) – One of Europe’s largest palaces, open year-round with several museums and the changing of the guard.
🔗 Kungliga slotten

3. Vasa Museum (Vasamuseet) – See the impeccably preserved 17th-century warship Vasa and learn its dramatic story.
🔗 Official website – Vasamuseet (site name included as URL)
4. ABBA The Museum – Dive into Swedish pop culture with interactive exhibits celebrating the legendary group.
🔗 Official website – ABBA The Museum

5. Skansen Open-Air Museum – Experience Sweden’s cultural history with historic buildings, folk crafts, and Nordic wildlife.
🔗 Official website – Skansen

6. Djurgården & Royal National City Park – A lush island retreat that includes museums, parks, and the Gröna Lund amusement park
🔗 Official website – Royal Djurgården

7. Stockholm City Hall (Stadshuset) – Iconic venue for the Nobel banquet, offering guided tours and a tower with panoramic city views.
🔗 Official website – Stadshuset

8. Moderna Museet – Sweden’s leading modern art museum with cutting-edge temporary exhibitions.
🔗 Official website – Moderna Museet

9. Fotografiska – A top international destination for contemporary photography lovers with excellent exhibitions and dining.
🔗 Official website – Fotografiska

10. Gröna Lund – Classic amusement park with rides, concerts, and colorful fun—perfect for a bite of excitement.
🔗 Official website – Gröna Lund

Quick Tips for a 24‑Hour Trip:

• Morning: Explore Gamla Stan, visit the Royal Palace, then catch a boat to Djurgården.

• Midday: Grab lunch at Fotografiska Café, then stroll through Skansen or the Vasa Museum.

• Afternoon: Enjoy art at Moderna Museet, then walk through Royal Djurgården’s green spaces.

• Evening: Take the City Hall tower tour, then unwind with dinner near Gröna Lund or along the waterfront.

Enjoy your whirlwind visit through Stockholm’s history, culture and charm—even in just one day!