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). |
| 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
The process is straightforward and, in Sweden, largely digital. In outline:
- Choose your company type and name. Most founders pick the AB (aktiebolag); we confirm the name is available.
- Verify your identity. 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.
- File the incorporation. Once documents are signed, registration usually completes in around 1-2 weeks.
- Open a business account and register for tax/VAT. 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.
We handle each step with licensed local counsel, so the paperwork, registered address and filings are done correctly the first time.
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 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.