Foreign investors who come to Sweden must decide upon one type of company from the structures that are mentioned in the company law. They have to think it through so that the company they set up suits their field of activity and their objectives.
Usually, this type of company is the first option for the majority of the foreign investors. It is a type of business that can be set up by one or more natural persons or legal entities. The minimum share capital required is 50,000 SEK and it is divided into shares. However, these shares cannot be sold on the stock market.
The management structure of a Public AB in Sweden is pretty much the same as for a Private AB. The difference is that the capital provided for the incorporation must be at least 100,000 SEK and the shares can be issued on the stock market.
Setting up a partnership in Sweden requires at least two partners, who can be either individuals or legal entities. No minimum capital is necessary for establishing a partnership in Sweden. The liability of the partners is general and fully shared to the extent of their initial contributions in the partnership.
Limited partnerships are rather similar with general partnerships in Sweden. At least two members must set up a partnership and there is no required capital. The difference is that at least one member has to have general liability and at least one member is a limited partner, with liability to the extent of their own contribution.
This is actually considered a limited company in Sweden and it is the company that has only one shareholder. His role is also to represent the company and to be fully liable for the company’s obligations. No minimum capital is required in order to set up a sole proprietorship in Sweden.