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flag Sweden Sweden: Operating a Business

Setting Up a Company | Working Conditions | Cost of Labor | Social Partners

Setting Up a Company

Legal Business Entities

Types of Companies and Capital (Max/Min) Number of Partners/Shareholders and Liability
The Aktiebolag (AB) is the equivalent of a public limited company.
 
100,000 SEK minimum. 500,000 if the company brings in public savings. The capital is fully subscribed and paid-up.
No minimum
 
Liability is limited to the amount of capital contributed.
The Enskild näringsidkare is an individual company.
 
No minimum
Only one
 
Liability is unlimited.
The Handelsbolag or HB is a partnership.
 
No minimum capital.
2 partners minimum
 
Liability is joint and unlimited regarding third parties.
The Kommanditbolag is a limited partnership.
 
No minimum capital.
2 partners minimum
 
Liability is limited to the amount of capital contributed, in agreement with the other partners. However, a shareholder must pledge his unlimited liability.
 
The Competent Organization
Swedish Companies Registration Office.
Search a Company or a Financial Report
Bolagsverket, Use the Web Service.
 
Setting Up a Company Sweden OECD
Procedures (number) 3.0 5.6
Time (days) 15.0 13.8

Source: Doing Business.

 
Business Setup Procedures
Consult Doing Business Website, to know about procedures to start a Business in Sweden.
Swedish Companies Registration Office – Bolagsverket

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Working Conditions

Legal Weekly Duration
35 or 40 hours
Retirement Age
65
Working Contracts
The work contract is governed by legal measures and to a lesser degree by collective agreements and individual negotiation.
The work contract is generally a permanent contract, but fixed-term contracts may be signed under certain conditions.
For further information, click here.

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Cost of Labor

Minimum Wage
13 000 SEK/month full time (1 700 EUR)
Average Wage
19,150 SEK for men and 17,410 SEK for women.
Social contributions
Social Security Contributions Paid By Employers: 33 %
Social Security Contributions Paid By Employees: 6.95%

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Social Partners

Social Dialogue and Involvement of Social Partners
Collective agreements are very important in Sweden and they cover most workers. Social dialogue happens only between employers and employees. However, a Commission or a State may be a third party in the negotiations. If the two parties do not come to an agreement, it is the Commission or the State which will decide, and this encourages the parties to find an agreement.
Unions
LO (Landsorganisationen I Sverige)
TCO (Tjanstemannens Centralorganisation)
Unionization Rate
79.2% in 2005.
Labor Regulation Bodies
Ministry of Employment

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Learn more about Operating a Business in Sweden on Globaltrade.net, the Directory for International Trade Services.
 

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Last Updates: January 2012