Opening your own company in Denmark can be an attractive way to start a business in a country with a high level of development and a stable economic environment. However, for the budding entrepreneur, there are a number of things to be aware of when setting up and running a business in Denmark. In this article, we will discuss some of the key issues to keep in mind when opening a business in Denmark, including the choice of legal form, company registration, taxation and insurance, and approaches to labor and hiring employees. Before starting a business in Denmark, it’s also a good idea to seek advice from professionals, such as tax advisors or lawyers, to avoid potential problems and benefit from their experience and knowledge.
Why should you open a business in Denmark?
1. safe and stable market: Denmark is one of the most stable economies in Europe, making it an attractive place to do business. Data from the World Bank shows that Denmark has a low level of government debt, which was about 32% of gross domestic product (GDP) in 2018, and its GDP last year was €519 billion.
2. Attractive location: Denmark is well connected to the world through an extensive air and sea transportation system and rail infrastructure. It also has close ties to the rest of Scandinavia, which can be very useful for businesses planning to expand into those markets.
3. Pro-business laws: Denmark offers very pro-business regulations and taxes, making it an attractive place to do business. Income tax on personal income ranges from 0 to 56%, while corporate income tax (CIT) is 24%. Moreover, the small number of local taxes makes the overall tax rate very low compared to other
Is it difficult to open a business in Denmark?
Denmark is considered an entrepreneur-friendly country. It is also not difficult to set up your own business in Denmark, and the formalities imposed on business owners are not burdensome. Taxes in Denmark are quite high, but transparent, which makes them easy to account for.
It is now possible to register a business in Denmark online. This is possible on the website of Erhvervsstyrelsen, the Danish Agency for Economic Activity and Enterprise.
For Polish citizens who want to do business in Denmark, it is also necessary to obtain a citizen’s residence certificate, which is provided by the Regional Office.
How much does it cost to start a company in Denmark?
It is worth remembering that a company in Denmark will require some financial outlay to start.
You should be prepared for expenses related to the necessary translations and other expenses for opening a business. It is usually estimated that this is an expense of about 5 thousand zlotys in krone terms.
Is it easier to run a business in Denmark?
Obligations such as denmark bookkeeping, calculating taxes and transferring contributions are imposed on an entrepreneur with his own company in Denmark.
It is possible to run a business more easily by using the services of accounting offices. They provide professional assistance to foreigners as well. Poles can use the help of Polish-speaking accounting offices.
Together with a good accounting office, you can do your bookkeeping and settle your taxes in Denmark. It can also offer business start-up support and business consulting.