Starting a Business - Sweden

There are no statutory foreign-ownership caps on Swedish limited companies. Any person or entity may be the sole founder and 100% shareholder of an AB. The ≥51% ownership rule applies only to non-EU/EEA citizens seeking a Swedish residence permit to run the business in person — it is an immigration condition, not a company-law restriction.

A private AB requires minimum share capital of SEK 25,000 (approx. €2,200); a public AB (publikt aktiebolag) requires SEK 500,000. Capital must be deposited and confirmed by a bank certificate before registration is submitted.

1) Draft memorandum of association (stiftelseurkund) and articles of association (bolagsordning) in Swedish; 2) All founders sign the memorandum; 3) Deposit minimum capital and obtain bank certificate; 4) Submit registration application to Bolagsverket (online with Swedish e-ID, or paper form 816e); 5) Register with Skatteverket for VAT and employer tax. Processing at Bolagsverket takes 5–15 business days.

At least one board member (or the managing director) must be resident within the EEA. If no EEA-resident director is appointed, Bolagsverket may grant an exemption, but the company must then designate a Swedish-resident contact person authorized to receive legal documents.

Citizens of EU/EEA countries enjoy full freedom of movement and may establish and operate an AB in Sweden on exactly the same terms as Swedish nationals. No residence permit or additional approval is required.

Non-EU/EEA nationals who wish to reside in Sweden while running their business must apply to the Swedish Migration Agency (Migrationsverket) for a self-employment residence permit before travelling. Key conditions: own ≥51% of the company, demonstrate relevant language skills (Swedish or English), provide a credible business plan/budget, and show established customer contacts and financial self-sufficiency.