Company Setup in Sweden

Sweden – General Information
Sweden – Types of Business Entities
Establishing a Private Limited Company (AB) in Sweden
Swedish Corporate Taxation
Limited Partnership (KB) in Sweden – Tax Advantages

Sweden General

Sweden is the largest country in the Nordic Region and has the biggest population. For many people, it is synonymous with flat-pack furniture, innovation, iron and steel. The country spends 3% of GDP on research and development. Sweden shares land borders with Norway in the west and Finland in the northeast.


Constitutional Monarchy


Stockholm is the capital and largest city of Sweden as well as the largest urban area in Scandinavia. Approximately 980,000 people live in the municipality, with 1.6 million in the urban area, and 2.4 million in the metropolitan area.

Legal System

There are four main sources of law in Sweden: legislation, preparatory legislative material, case law and academic literature. Legislation is the primary source. It is printed and promulgated in the Swedish Code of Statutes. Legislation is divided into acts, ordinances and regulations.


The economy of Sweden is a highly developed export-oriented economy, aided by timber, hydropower, and iron ore. These constitute the resource base of an economy oriented toward foreign trade. The main industries include motor vehicles, telecommunications, pharmaceuticals, industrial machines, precision equipment, chemical goods, home goods and appliances, forestry, iron, and steel. Traditionally, Sweden relied on a modern agricultural economy that employed over half the domestic workforce. Today Sweden further develops engineering, mine, steel, and pulp industries, which are competitive internationally, as evidenced by companies like Ericsson, ASEA/ABB, SKF, Alfa Laval, AGA, and Dyno Nobel.


The current population of Sweden is 10,261,205 as of January 2023, based on Worldometer elaboration of the latest United Nations data. Sweden population is equivalent to 0.13% of the total world population. Sweden ranks number 91 in the list of countries (and dependencies) by population.


Swedish with a small Sami- and Finnish-speaking minority

Key Trading Partners

Sweden’s 6 biggest trading partners are Norway, Germany, United States of America, Denmark, Finland and the United Kingdom. Combined, that half-dozen of leading customers for Sweden’s exported products accounted for almost half (49.3%) of all Swedish exports (2022). Applying a continental lens, 69.8% of Sweden’s exports by value were delivered to fellow European countries while 14.1% were sold to importers in Asia. Sweden shipped another 9.2% worth of goods to North America. Tinier percentages went to Africa (1.8%), Latin America excluding Mexico but including the Caribbean (1.3%) and Oceania led by Australia (1.2%).

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