Legal Setup

Company Types

ApS (Anpartsselskab) - Private Limited Company

The standard structure for Danish startups. Minimum capital: 20,000 DKK (reduced from 40,000 DKK as of January 1, 2025).

Note: The IVS (Iværksætterselskab) was abolished in April 2019 and is no longer available for new registrations. All new limited liability companies must be registered as ApS.

Other Structures

• A/S (Aktieselskab) - Public limited company, 400,000 DKK minimum capital. Only needed for very large companies or public offerings.
• I/S (Interessentskab) - General partnership, no limited liability. Not recommended for startups.
• Enkeltmandsvirksomhed - Sole proprietorship, no limited liability. Simple but risky.

Recommendation: Most startups should choose ApS. The 20,000 DKK capital requirement is manageable and provides credibility with banks, investors, and partners.

Registration Process

Via Virk.dk

All Danish companies register through Virk.dk, the official business portal.

Required Information

• Company name - Must be unique and approved
• Business address - Physical address in Denmark (can be founder's home)
• Founder details - CPR number (for DK residents) or passport details
• Share capital - Proof of payment into company bank account (ApS only)
• Articles of Association - Company bylaws (template available)
• CVR number - Central Business Register number (assigned during process)

Process Steps

1. Open business bank account - Deposit share capital (ApS only). Note: Banks typically require in-person visit; process takes 1-3 weeks, longer for foreign founders due to AML/KYC requirements.
2. Prepare articles of association - Use free templates from StartupTools Denmark or hire a lawyer
3. Register on Virk.dk - Complete online registration form at Business in Denmark
4. Submit documentation - Upload proof of capital deposit, articles, ID
5. Pay registration fee - 670 DKK via Virk.dk (verify current fee at Virk.dk)
6. Receive CVR number - Usually within 1-2 business days

Important Links

• Virk.dk - Official registration portal (English version available)
• CVR Register - Search existing companies
• Danish Business Authority - Official resources and guidance
• StartupTools Denmark - Free articles of association templates

Foreign Founders

EU/EEA Citizens

• Can freely start a company - No work permit required
• No CPR needed for registration - Can use passport details
• Should apply for CPR - Makes banking and operations easier
• Can be sole founder/director - No Danish co-founder required

Non-EU/EEA Citizens

• Need residence/work permit - Or establish company from abroad
• Start-Up Denmark program - Fast-track residence permit for entrepreneurs
• Can register remotely - Use international lawyer or service provider
• Bank account challenge - Many banks require in-person visit

Start-Up Denmark

Residence permit program for non-EU founders with innovative business ideas.

• Requirements: Approved by expert panel, viable business plan, sufficient funds
• Duration: Up to 2 years, renewable for 3 years at a time
• Processing time: 2-4 months
• More info: Start-up Denmark Portal or Danish Business Authority

Danish Representative

Foreign companies must have a Danish representative who can receive official correspondence.

• Can be founder (if Danish resident), employee, or professional service provider
• Must have Danish address
• Responsible for receiving legal notices

Timeline & Costs

Typical Timeline

Setup Costs

Note: Using a lawyer is optional but recommended for complex ownership structures or foreign founders. The lower capital requirement (reduced from 40,000 DKK in 2025) makes it easier to start a Danish company.

Professional Services

If you need legal assistance with company formation:

• NJORD Law Firm - Corporate law and startup formation services
• Local lawyers - Search for "company formation lawyer Copenhagen" for additional options
• DIY approach - Use free templates and follow Virk.dk guidance