Starting a Business in Denmark 2026

Kristian Ole Rørbye

Updated July 22, 2026

Getting a CVR number can be quick – often the same day – but the real work is proving identity, showing capital and setting up payroll correctly. This guide gives you the exact steps and documents expats usually miss so you can register, open a bank account and start hiring without avoidable delays.

Key facts

Common company types: ApS (private limited), A/S (public limited), sole trader, I/S and K/S partnerships.
Register with the Danish Business Authority to get a CVR (Erhvervsstyrelsen / virk.dk); MitID is normally required for online filing.
Corporate tax is generally 22% for many companies.
ApS normally requires share capital; A/S has a larger minimum capital requirement.
Set up a Danish business bank account early – see how to open a Danish bank account and how IBANs work in Denmark at IBAN in Denmark.

Types of Businesses You Can Open in Denmark

Your choice affects liability, reporting and fundraising. Below are the usual options for expat founders and what they mean in practice.

Private limited company (Anpartsselskab, ApS) – Limited liability is the main advantage. Common for small and medium businesses; requires minimum share capital. Good choice if you want investor protection and clear separation between personal and company assets.
Public limited company (Aktieselskab, A/S) – For larger ventures that may issue shares publicly. Higher reporting and capital requirements; used when you plan to scale and take external investors.
General partnership (Interessentskab, I/S) – Two or more partners who are jointly and personally liable. Simpler start-up admin but higher personal risk.
Limited partnership (Kommanditselskab, K/S) – Mix of limited and unlimited liability partners; useful for certain investment or property structures.
Sole proprietorship (Enkeltmandsvirksomhed) – Fast and cheap to set up but you are personally liable for debts; suitable for freelancers and very small operations.

How to choose: if you want to hire staff, take investment or protect personal assets, an ApS or A/S is usually better than a sole trader. If you expect external investors, plan for the A/S or a shareholder-friendly ApS structure.

How to Start a Business in Denmark

The list below shows the essential sequence most expats follow. Each step has practical tips you can act on today.

Select the Right Business Type

Decide using these criteria:

Liability: ApS/A/S limit personal exposure; sole proprietorships do not.
Capital: Can you provide the minimum share capital immediately? Some forms require proof of deposit.
Accounting & tax: Corporations have stricter bookkeeping and auditing rules than sole traders.
Hiring & funding: If you plan to hire quickly or pursue VC, prefer ApS or A/S.

Choose your company form and draft the articles of association or memorandum (use a template from virk.dk or ask an accountant to prepare them).
Get MitID for the owner(s) – this is required for online registration; if you don’t have MitID yet, hire an authorised representative (lawyer/accountant) who can file with a power of attorney.
Open a Danish business bank account or obtain a bank statement proving the capital deposit; banks typically ask for passports, proof of address and a short business plan. For options, see how to open a Danish bank account.
Register the company at the Business Authority (Erhvervsstyrelsen / virk.dk) to get your CVR number – you’ll upload the company documents, ID for board members and proof of capital.
Register for tax with the Danish Tax Agency: VAT (moms) if you exceed the registration threshold, employer A-tax for payroll and any customs codes if you trade internationally. See our guide to tax in Denmark for practical steps.
Put bookkeeping, payroll and employer contributions in place (pension, holiday pay). If you plan to pay employees, check sector pay norms and rules – read about minimum wage expectations and holiday pay at holiday money in Denmark.
If hiring non-EEA nationals, secure a valid work permit in Denmark and residence permit before they start.

Register with the Danish Business Authority

Registration is normally done online at virk.dk. If you use MitID the process is usually fast, but make sure these documents are ready:

Checklist

MitID for the registering person, or a signed power of attorney for a representative.
Company name and articles of association (translated if not in Danish).
Proof of share capital deposit or a bank letter confirming funds.
Passport copies and contact details for all owners and board members.

There is a small registration fee for submitting online. The CVR is often issued the same day paperwork is correct, but banks may want extra time to open accounts and release capital proof. If you cannot use MitID yourself, an authorised agent (accountant or lawyer) can file on your behalf.

Tax Registration

After you receive your CVR you must register with SKAT for the taxes relevant to your business:

VAT (moms) – if your taxable sales exceed the threshold or you want to reclaim input VAT.
Employer reporting (A-tax) – register before you pay wages so you can correctly withhold tax and report payroll.
Customs & VAT on imports – if you bring goods from outside the EU, register for the appropriate EORI/VAT import procedures.

Use your MitID to manage filings on skat.dk. For a step-by-step overview of registration and filing obligations, consult the official guidance on tax in Denmark and SKAT’s site at skat.dk.

Contracts for Employees

Employment contracts should always set out salary, work hours, notice periods, probation and whether a collective agreement applies. Practical points:

EEA nationals usually do not need work permits; non-EEA hires must have valid work and residence permits before starting.
Employers are responsible for withholding A-tax, paying pension contributions and holiday pay (feriepenge). For how holiday pay works in practice see holiday money in Denmark.
There is no single national statutory minimum wage – many sectors have collective agreements that set pay. For guidance on pay levels see minimum wage in Denmark.
Include clear clauses about working hours and remote work if you expect employees abroad: cross-border payroll and tax can create double reporting requirements.

Watch out for common traps: machine-translating legal documents can cause errors; missing MitID or inadequate proof of capital are frequent causes of delayed CVR issuance; ignoring holiday pay and pension obligations can lead to back-pay and fines. Use an accountant experienced with foreign founders to avoid these issues.

Other Things to Keep in Mind

Operational items many founders don’t prioritise early but should:

Open a Danish business bank account as soon as you register – many payment services and suppliers will require a Danish IBAN. See our guides on how to find your IBAN in Denmark and how to open a Danish bank account.
Buy appropriate insurance (liability, employer insurance and contents). Brokers can bundle policies for small businesses.
Decide on accounting software and whether you will outsource bookkeeping – Danish VAT reporting deadlines and payroll reporting are strict and recurring.
Consider local funding and grants: banks, VCs, angel networks and public innovation schemes. Prepare a one-page executive summary and financial forecast when you approach funders.

Decide your company form today and book a 30-minute call with a Danish accountant or business lawyer who specialises in foreign founders – ask them to confirm MitID requirements and what proof of capital your bank will accept so you can start the CVR registration without delays.