August 25, 2011, 5:11 pm
Companies incorporated in Sweden find themselves under the Swedish Companies Act 2005. Partnerships, on the other hand, are stipulated in the Partnership and Non-registered Partnership Act 1980. There are also several European Directives in the field of company law that Sweden applies too. Nevertheless, a foreign investor must firstly decide what type of company he wants to set up in Sweden and then proceed with the registration according to the requirements of the Swedish Companies Act.
TYPES OF COMPANIES
The most common form of company in Sweden is the Limited Liability Company. A distinguishing characteristic of a limited company is that the shareholders do not have personal responsibility for the company's debts. Instead, the company is required to have a certain amount of share capital as security for its debts. In a private limited company there must be share capital of at least SEK 50,000, and in a public limited company, it must be at least SEK 500,000, according to the Swedish Company law. Limited companies must be registered with the Swedish Companies Registration Office.
Under the Sole Proprietorships and Partnerships Act, a partnership is created by an agreement between two or more individuals. There are no special requirements and formalities for the formation of a partnership, but the corporation must be registered in the Trade Register as soon as possible. Partnerships can be general or limited under the Swedish Company Law.
Sole proprietorships can only by owned by one person.
Job security and stability are highly valued in Sweden. For this reason, a number of labor laws exist in order to protect employment rights. The Employment Act sets up some rules for the relationship between employer and employee, while the Employment Protection Act makes sure that the employee’s rights are not violated in any way. Foreign employees need to apply for a permit at the Swedish Migration Board. There is also a Trade Union Representatives Act that focuses on benefits at the work place, salaries and conditions for dismissal.
Last but not least, the Swedish Work Environment Act stipulates the responsibilities and obligations of both employees and employers at the work place.
BridgeWest offers company formation in Sweden, including virtual office and other related services.Tweet
BridgeWest provides company formation in Sweden. Our assistance includes:
> drafting the Articles of Association (necessary for the company incorporation in Sweden);
The Articles of Associati ... [More]