The Share Capital in Denmark

The share capital in Denmark depends largely on the type of business an investor wants to open in this country. The share capital is the contribution amount representing the extent of shareholder liability in the company.

The share capital of a Danish company can change over time. Additional shares can be issued and sold by the company, thereby increasing its share capital. The Company Act in Denmark allows the incorporation of the following types of companies:
•    Partnership;
•    Public limited company;
•    Private limited company;
•    Limited partnership;
•    Limited Partnership Company.

Businessmen who want guidance in opening a company in Denmark and investing share capital in it can rely on our experts in company registration.

The share capital of limited companies in Denmark

The public limited liability company and the private limited liability company are the most common types of business entities. They are governed by specific rules and regulations stipulated in The Company Act in Denmark. Limited liabilities companies, irrespective of their type of organization, must be registered with the Danish Business Authority. A minimum share capital of DKK 400,000 (approx. EUR 53,600) is needed for setting up a public limited company. There is no maximum share capital necessary for this kind of business. 25% of this share capital has to be paid when the company is registered; you have to open a bank account in Denmark for this financial operation.

A private limited liability company must have a minimum share capital of DKK 20,000 (approx. EUR 2,680). There is also no prerequisite of a maximum amount of share capital. When the company is registered, a minimum of 25% of the share capital agreed by the owners, but no less than DKK 20,000, has to be paid by them. The share capital of limited liabilities companies can be paid in cash, assets or a combination of the two. If you want to open a company in Denmark and need further information on the share capital to be invested in it, our company formation consultants are here for you.

Companies in Denmark which don`t need a minimum share capital

Company registration in Denmark can be done without a minimum share capital, depending on the type of business. Nevertheless, once registered, these legal entities are subject to taxation in Denmark.
These companies are the following:
•    Partnerships;
•    Limited partnerships;
•    Co-operative societies (a partnership limited by shares (P/S) requires DKK 400,000 and a commercial foundation DKK 300,000)
.

For detailed information about share capital please contact our Danish company formation specialists.