Starting a Business · Denmark
Starting a business in Denmark: foreigner's guide (2026)
Denmark shaded by its starting a business status
Denmark allows 100% foreign ownership of companies and offers fast, low-cost online incorporation — a private limited company (ApS) needs only DKK 20,000 capital and a CVR number obtained through virk.dk. Company formation itself is straightforward, but two frictions keep it from being uniformly 'easy' for foreigners: at least one manager must reside in the EEA, and non-EU/EEA/Swiss founders need a residence and work permit, typically via the quota-limited Start-up Denmark scheme.
Key points
Foreigners may own a Danish company entirely with no residency requirement for the owner; the company must have a registered home address in Denmark, but the owner need not live in Denmark.
A private limited company (ApS) requires DKK 20,000 in share capital (reduced from DKK 40,000, effective 27 February 2025); a public limited company (A/S) requires DKK 400,000. Capital must be deposited before registration.
Businesses register online at virk.dk to obtain a CVR number, generally at least 8 days before commencing activity; founders without a Danish MitID use the 'Registration of Non-Danish Company – Start (40.112)' self-service form.
Under the Danish Companies Act, at least one member of company management (a director or board member) must be resident within the European Economic Area.
Citizens of the Nordic countries, EU/EEA states and Switzerland may be self-employed and run a company in Denmark without a residence or work permit; non-EU/EEA/Swiss nationals must obtain one.
Non-EU/EEA/Swiss entrepreneurs typically use the Start-up Denmark scheme: an expert panel appointed by the Danish Business Authority must first approve an innovative, scalable business plan, then SIRI grants a permit (up to 2 years, extendable). The scheme is capped at 75 approved foreign nationals per calendar year.
Timeline - major decisions & events
Erhvervsstyrelsen finished the IT/system changes needed to make it practically possible to register a private limited company (ApS) with the new reduced DKK 20,000 minimum capital, completing implementation of the December 2024 reform.
LEAD | Rödl ↗Amendments to Selskabsloven entered into force halving the ApS minimum capital from DKK 40,000 to DKK 20,000, permitting public share offerings/equity crowdfunding by private limited companies, and repealing the strict shareholder-loan provisions (§§210-212).
Plesner ↗The Danish Parliament passed the bills amending Selskabsloven and the Financial Statements Act, formalising the reduced ApS capital requirement and new financing options ahead of their 1 January 2025 entry into force.
Moalem Weitemeyer ↗The Minister for Economic and Business Affairs tabled the bill to amend the Companies Act, proposing the DKK 20,000 ApS capital floor and equity crowdfunding, implementing parts of the Entrepreneurship Package.
Poul Schmith ↗The government and most parties signed the 'Iværksætterpakke' of 41 initiatives (about DKK 2.2bn for 2024-2026) to ease capital access, cut taxes and reduce administrative burdens for startups, including the pledge to lower the ApS capital requirement.
Danish Business Authority ↗Parliament abolished the DKK 1-capital IVS form citing fraud and unpaid tax risks (last new registration 8 April 2019), gave existing IVS two years to convert to ApS, and reduced the ApS minimum capital from DKK 50,000 to DKK 40,000.
U.S. Department of State ↗Via bill L 152, Denmark created the IVS, a low-barrier variant of the ApS allowing incorporation with just DKK 1 in capital (with mandatory profit retention), modelled on Germany's Unternehmergesellschaft to spur new business formation.
Folketinget ↗The Danish Business Authority was created as the central regulator for company registration, operating the CVR register and the digital Virk self-service portal through which capital companies are registered (typically within 24 hours).
Danish Business Authority ↗A single modernised Companies Act replaced the separate Public Companies Act and Private Companies Act, unifying and simplifying the rules governing both A/S and ApS companies and forming the framework still in use today.
Mondaq ↗Denmark created the CVR as the state's master register assigning every business a unique eight-digit CVR number, the foundational identifier and single point of registration for all companies operating in Denmark.
Statistics Denmark ↗Denmark - other topics
Last verified 5/23/2026 · Orientation, not legal advice - verify against the primary sources linked above. Explore the full world map →