Aurenav Sweden - Company Formation

Company Formation Services

Starting and running a business in Sweden can be a path full of pitfalls. Aurenav provides support and guidance through the incorporation of your company or registration of your business presence in Sweden.

Our Company Formation Solution includes the following for a fixed fee:

Corporate Form Advice

Identifying the most suitable corporate form for your business in Sweden can have a significant economical impact. In order to avoid bad surprises, you also need to be aware of the Swedish tax laws and common practices, which can be hard to track especially for non Swedish speakers. In particular, the criterion of permanent establishment is crucial when determining the corporate form that a business should take. Aurenav can help you determine the corporate form that best suits your business in Sweden.

Incorporation / Registration of a business form

Incorporation of Limited Liability Company		A limited liability company (Swedish AB) is a Swedish company having a permanent establishment in Sweden. Incorporating a limited liability company requires a minimum share capital of SEK 50,000 for private companies and SEK 500,000 for public companies. Limited liability companies have to keep a Swedish compliant bookkeeping, file an annual report in Swedish and in many cases also go through an annual audit with an authorized auditor. Limited Companies must also in practice have a company bank account in its own name, into which the share capital is to be deposited before the incorporation can be finalized. Thereby, the incorporation is dependent on the owner/parent company's ability and willingness to fulfill the compliance controls of their Swedish bank of choice. This process typically requires the company's intended owner(s) or manager(s) to book a personal meeting with the bank in Sweden, which can be time-consuming and requires much in terms of documentation and personal involvement on the part of the Customer. For this reason, many foreign enterprises and entrepreneurs prefer to first establish themselves on the Swedish market by registering a Branch or Representation Office, neither of which would require a local bank account at the time of registration. For individuals working in a consultant capacity, our Umbrella Employment program can also offer a worthwhile option.
Incorporation of a Branch		A branch is a foreign based company having a permanent establishment in Sweden. No minimum share capital is required in order to incorporate a branch in Sweden. The branch must keep a Swedish compliant bookkeeping and can under certain conditions be required to file an annual report in Swedish and undergo an annual audit with an authorized auditor.
Registration of Representation Office		A representation office is a foreign presence in Sweden, which generally lacks a permanent establishment. A Representation Office is a registration with the Swedish tax authorities by a foreign company (or organization) for the purpose of paying employee social security fees and income tax or in some cases to pay Swedish VAT or corporate income tax. All business activities in Sweden must be reported to the foreign company and booked as such. As long as it lack a permanent establishment in Sweden a representation office benefit from a tax break on social costs and pension premiums are tax free.

Register as an Employer

All companies that have employees in Sweden are required to register with the Swedish Tax Authority. Registration may also apply to companies with employees that are paying their social taxes to Sweden through a reciprocal tax treaty between Sweden and the nation in which they are working. Aurenav can help your company register with the Swedish Tax Authority.