Company Formation Sweden

Company formation in Sweden is performed on the basis of some actions that are rather standard. Company formation in Sweden includes drafting the articles of association, the passport copies, the specimen signatures and other forms obtained from the company registration office. Some public notary procedures must be taken care of. A registered office in Sweden is necessary for company formation in Sweden, as well as a bank account and hiring a local accountant for the newly established company in Sweden.

TYPES OF COMPANIES

• Aktiebolag (A.B. - Limited Liability company) – this is the most popular type of business in Sweden and it requires a minimum share capital of 100,000 SEK to be established. It has to be set up by at least one shareholder and one director.
• Aktiebolag (A.B. - Joint Stock company) – the same number of shareholders is allowed for setting up a joint stock company in Sweden, but the initial capital has to be at least 500,000 SEK. This structure is designated for larger businesses
• Swedish Branch, Subsidiary or Representative Office – it can be either a separate entity or an extension of the parent company.

INCORPORATION PROCEDURE IN SWEDEN

Company formation in Sweden involves a rather long procedure, therefore many foreign investors give up easily or choose to purchase a company that has already been established in Sweden. It is important to mention that if the only founder if a company is a legal entity, company formation in Sweden has to submit to the rules of an EEA member state.

Company registration in Sweden requires the existence of a registered office. The incorporation procedure in Sweden can be performed by a shareholder of the company or a legal representative appointed by power of attorney. The legal representative must have the certified copied of documents in order to complete the company registration in Sweden.

Company registration in Sweden is followed by VAT registration if the company falls under the regulations of value added tax. Two weeks before beginning the commercial trading, the company must apply for VAT registration in Sweden. The VAT number is issued by the Swedish Tax Agency.

Another step that has to be taken in order for the company formation to be completed is the employment of personnel. An employer in Sweden must offer high standard conditions of work and high salaries. The average income per person can reach 6,000 EUR per month. In order to find the best candidates for the jobs you offer, it may be recommended to collaborate with recruitment agencies and websites in Sweden.

ECONOMY OVERVIEW IN SWEDEN

Sweden’s economy is one of the top economies in Europe. Foreign trade plays an important role for the country. Germany is the main partner when it comes to imports in Sweden. Still, the Netherlands, Luxembourg and the UK are the main investors in Sweden.

Sweden represents 2% of the total European share. Foreign investments contribute to the gross domestic product of Sweden with almost a third of the total GDP. The World Bank actually considers Sweden to be the third nation in the world in terms of friendliness and connection with international markets.

The main fields that help the improvement of the economy in Sweden are based on forestry, iron, steel, precision equipment, mining, agriculture and motor vehicles. However, many foreign investments go to pharmaceuticals and chemicals sectors in Sweden. While European countries have a tendency to increase the rate of investments in Sweden, the United States reduced its investments in Sweden during the past period of time.