Sweden at a glance
Sweden is one of the EU jurisdictions founders most often use today, especially while the EU-wide 28th Regime (EU Inc) is still a proposal. Below are the verified essentials: company types, tax, capital, timing and whether you can set up remotely.
Company types in Sweden
- Aktiebolag (AB) The private limited company and standard vehicle for founders. Shareholders are not personally liable beyond their capital. Minimum capital SEK 25,000, with at least one director plus one alternate and a bank certificate before registration.
- Publikt aktiebolag (public AB) The public limited company able to offer shares to the public and list. Requires SEK 500,000 of capital and stricter board and auditor rules.
| Corporate tax | Flat 20.6% corporate income tax at a single national rate, in force since 1 January 2021, with no separate municipal corporate tax. Sweden's rate sits below the EU average. |
|---|---|
| VAT rate | Standard VAT (moms) is 25%, with reduced rates of 12% (for example food and accommodation) and 6% (for example books and passenger transport). |
| Dividends & payroll taxes | The closely held company (3:12) rules tax dividends within an annual allowance at 20%, with any excess taxed like salary. Top income tax sits in the mid-50s, and employer contributions are a flat 31.42%, the defining Swedish payroll number. |
| Minimum share capital | SEK 25,000 (roughly EUR 2,200) for a private aktiebolag, reduced from SEK 50,000 on 1 January 2020. A public AB requires SEK 500,000. A bank certificate (bankintyg) must confirm payment before Bolagsverket registers the company. |
| Setup time | Typically about 1 to 2 weeks. Filing online via Verksamt.se is fast for founders with a Swedish BankID, but Bolagsverket processing is around 9 to 10 working days in mid-2026. Opening a bank account to obtain the share-capital certificate is often the slowest step for non-residents. |
| Remote setup | Partial. Founders with a Swedish e-identification (BankID) can register fully online. Non-residents who lack a Swedish e-ID generally submit paper forms through a local agent under a power of attorney, and the bank account and KYC often still demand an in-person visit. |
| Director / residency | A private AB needs at least one director plus one alternate. At least half of the board, and half of the alternates, must reside in the EEA, and a managing director (if appointed) must also be EEA-resident; Bolagsverket can grant an exemption. A Swedish-resident person to receive service of process is required if no signatory is resident. |
| Banking options | Banks (SEB, Handelsbanken, Swedbank, Nordea, Danske Bank) issue the bank certificate (bankintyg) needed before registration, but account opening is often difficult for non-residents and may require an in-person visit. Wise and Revolut Business are used for daily operations but do not issue the share-capital certificate. |
| Our formation service | from around €100 to €200 (estimated). You get a fixed quote in your free plan before you commit. |
Most new private ABs can opt out of an auditor while below the small-company thresholds. A beneficial owner must be registered with Bolagsverket, and every AB files an annual report. The AB is the vehicle international founders most commonly use, including in the context of the proposed EU Inc and 28th Regime.
How to register a company in Sweden
Step by step, this is how a Sweden formation actually runs:
- Draft the AB documents. Memorandum and articles for the aktiebolag, with SEK 25,000 minimum capital.
- Deposit capital and get the bank certificate. A Swedish bank issues the bankintyg confirming the deposit; this certificate is required before registration.
- Register with Bolagsverket. Online registration (about SEK 1,900) runs on Swedish BankID; founders without it file on paper or act through a local representative.
- Tax registrations. Apply to Skatteverket for F-tax, VAT and employer registration in one filing.
- Board residency check. At least half the board and the CEO must reside in the EEA, otherwise apply for an exemption and appoint a Swedish process agent.
We handle each step with licensed local counsel, so the paperwork, registered address and filings are done correctly the first time.
What company formation in Sweden costs
Registration costs about SEK 1,900 to 2,200 (roughly EUR 170 to 200) plus the SEK 25,000 (about EUR 2,200) capital that becomes working money. Non-EEA founders may add exemption-application and representative costs. Accounting typically runs SEK 1,500 to 3,000 a month for a small AB.
Form your Swedish company in days
Tell us where you live and what you are building. Our formation service starts from around €100 to €200 (estimated); we confirm the right structure for Sweden, give you a fixed quote, and form the company with licensed counsel.
Get your free planWho can form a company in Sweden
Founders from outside the EU can own and run a Swedish company, with the cross-border requirements handled for you. We flag any residency or local-agent rule for Sweden up front, so there are no surprises.
Sweden fits founders building in the Nordic ecosystem, hiring Swedish talent or selling to Swedish enterprises, where the AB's standing pays off. Fully remote non-EEA founders face the BankID, bank-certificate and board-residency hurdles, which make lighter jurisdictions easier for a first EU entity.
After registration: what Sweden expects each year
The annual report goes to Bolagsverket within seven months of year end, and the corporate tax return follows Skatteverket's calendar. VAT is monthly, quarterly or yearly by size. Most new small ABs opt out of the auditor while under the thresholds; payroll triggers monthly employer declarations.
Sweden and the 28th Regime (EU Inc)
EU Inc, the proposed 28th Regime, would let you register one company valid across all 27 EU member states. It is not law yet (expected around 2027-2028), so a Swedish company is one of the ready options you can use today. Forming an EU company now also positions you to adopt EU Inc later, as we cover in how to prepare an EU Inc company. To weigh Sweden against other countries, see company formation in Europe.