Company formation in Denmark

At a glance

Entity

Anpartsselskab (ApS) — private limited company; the standard vehicle for foreign founders (the A/S is the public form, used only at larger scale)

Corporate tax

22% flat corporate income tax (selskabsskat), as of 2026. A phased cut toward 19% has been signalled in the 2026 coalition agreement, but the start year and steps are not yet legislated — treat 22% as the operative rate.

Incorporation time

~1-3 business days digitally once you hold MitID or an approved foreign eID; realistically 2-4+ weeks for a foreign founder who must first obtain Danish digital identity and a bank/capital-deposit arrangement

Minimum capital

DKK 20,000 (reduced from DKK 40,000 effective 27 Feb 2025); must be fully paid in cash or approved assets before the CVR number issues. Not a fee — it stays in the company.

Resident director

No residency requirement. The sole required director can be of any nationality and resident anywhere; no local director, EU resident, or local agent is mandated. A registered Danish address for the company is required, and banks/tax authorities scrutinise where management actually sits.

Audit

A small ApS is exempt from statutory audit if, for two consecutive years, it does not exceed at least two of three thresholds: balance-sheet total DKK 4 million, net turnover DKK 8 million, and 12 full-time employees on average. Exemption must be resolved by the shareholders; holding companies and some regulated entities are excluded.

Remote set-up

Yes — formation is fully digital via Virk.dk / self-service 'Start Virksomhed'; no notarisation of the deed is required. The real constraint is identity: you need MitID or an approved foreign eID (and typically a Danish CPR) to file, plus a Danish bank or escrow route to deposit and evidence the share capital.

Government fee

DKK 670 registration fee to the Danish Business Authority (Erhvervsstyrelsen), paid on filing via Virk.dk

Best for

This suits founders who want a reputable, low-capital EU company with no resident-director rule, and who are prepared to clear Danish digital-ID and bank KYC hurdles.

The process

1. Obtain the founders'/director's Danish digital identity (MitID) or an approved foreign eID, and reserve/settle a company name
2. Draft the memorandum of association (stiftelsesdokument) and articles (vedtægter), and subscribe the shares
3. Deposit the DKK 20,000 share capital via a Danish bank, lawyer's/accountant's client account, or approved arrangement, and obtain proof of payment
4. File the incorporation through Virk.dk to Erhvervsstyrelsen, pay the DKK 670 fee, receive the CVR number, then register for VAT/employer duties and open the operating bank account