Which type of companis exist in Sweden?

  • Public Limited Company (PAB shorten for PublikaAktiebolag)
  • Private Limited Company (AB shorten for Privat Aktiebolag)
  • Partnership (HB shorten for Handelsbolag)
  • Limited Partnership (KB shorten for Kommanditbolag)
  • Sole Trader (ENshorten for Enskild näringsidkare)

What is the minimum capital in the different types companies?

  • Public Limited Company (PAB) – SEK 500000
  • Private Limited Company (AB) – SEK 50000
  • Partnership (HB shorten for Handelsbolag- SEK 0
  • Limited Partnership (KB shorten for Kommanditbolag)- SEK 0
  • Sole Trader (EF shorten for Enskild näringsidkare) – SEK 0

Are there any demands to the management of a company?

The management of an PABhas to comprise of:

  • Board of directors of minimum three (3)and
  • Chief executive manager

The management of an AB has to comprise of:

  • Board of directors of minimum one.

Which documents are required in order to establish, register a company in Sweden?

To found a company the following documents needs to be issued:

  • Articles of Incorporation
  • Articles of Association
  • Rules of procedure
  • Shareholders’ Register

The documents need to include the following information.

  • Founder of the company
  • The Company’s name
  • Date of incorporation
  • The address of the Company
  • The company’s objective
  • Share Capital
  • Fiscal year

How is the registration process?

The founding of a company must be done through the Swedish Business Agency (Bolagsverket) by filing a digital or written application. The application can be done by anyone, but there are special requirements related to documenting the presence of the share capital.

The following condition/requirement shall however be met before filing the application:

  • The Articles of Incorporation and the Articles of Association have to be executed
  • The share capital has to be paid/present (*)

(*) The share capital has to be confirmed by a bank or an authorized public accountat

Is the ownership public?

The ownership is not filed in any Public Owners’ Register, but on demand the company must present the shareholders register.

Can a foreign person or company owe shares in a Swedish Company?

Foreign persons and companies can own shares in a Swedish Company as long as the money laundry acts requirement for documentation is met.

What is the company tax rate in Sweden?

The company tax rate in Sweden for AB and PAB is 21,4 %.

The rules for issuing dividend.

An AB and PAB can issue dividend to the shareholders of any free equity after filing the first annual statement of the Company.

Bond equity will be the share capital and capital provided with issuing new shares in the company to premium rate.