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Company Formation Denmark



Relocate to Denmark

Updated on Friday 18th September 2020

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Relocate to Denmark.jpgDenmark is a top location for investments in Europe given the business-friendly policies, the productive workforce, and the top-class infrastructure. Company registration in Denmark is straightforward for foreign investors and many companies are opening their headquarters here or a secondary place of business that allows them to expand in northern Europe.
Those investors who wish to relocate to Denmark altogether will need to follow the basic company formation rules and, in most cases, select the Danish business form that matches the one their already incorporated business functions under in its country of origin. 
Our company formation experts in Denmark outline the main issues to take into consideration for those entrepreneurs who are considering moving their business to this Nordic country.  We help interested individuals handle all the main aspects of relocation, from incorporation to legal and immigration matters to human resources issues. 
Our packages for businesses that wish to relocate to Denmark are tailored according to business form and investment field and are designed to make the transition as easy as possible, so that the business disruption is kept to a minimum. 

Corporate relocation

The first step to relocate to Denmark is to choose how the new business will function in the country: as a new and independent legal entity or as a branch or subsidiary of the company that is already incorporated in another country. The first option is more attractive to many international investors who choose to relocate their business because it allows them to close the foreign company altogether, essentially ceasing its operations and remaining only with the Danish company that will continue to provide the same services.
The general steps for company formation in Denmark are the following:
  1. Choose the business form: when a foreign company is relocated to Denmark, this step is easy because the business form that is chosen will be the equivalent of the one that was already functioning; a common choice is the ApS, the equivalent of the private limited liability company;
  2. Choose the name: ideally, the same company name will be kept whilst doing business in Denmark in order to ensure business continuity; a preliminary name check can be performed with the help of our specialists;
  3. Register the business: each company is registered with the Danish Business Authority and it is assigned a Central Company Register (CVR) number;
  4. Register with the authorities: an important step following registration with the Business Authority is to also register with the Danish Customs and Tax Administration; our team can help you handle this important step that essential to relocate to Denmark.
Please keep in mind that these steps are only summarized above and, in practice, investors will need to attend to other issues related to corporate relocation. 

Human resources relocation

Once the company is incorporated, it can start issuing employment contracts. An important issue to consider after the decision to relocate to Denmark has been made is to decide whether or not the existing employees will be transferred to Denmark and how their employment agreements will reflect the new country’s Employment Law as well as the general work conditions.
Some issues to consider are the following:
  • - Work permit: the company that relocates to Denmark will need to issue the employment agreement that will ne used to apply for a work and residence permit by the employees;
  • - Date of relocation: the transfer arrangements should leave enough time to travel to Denmark and make any other location-based changes;
  • - Remuneration: the new employment contract will need to reflect the Danish minimum wage;
  • - Expenses: the company that will relocate to Denmark may provide its employees with a special reimbursement for the travel and relocation expenses.
Investors who move their business in the country can reach out to our agents for complete information on issues concerning employment. 

Doing business in Denmark

According to Statistics Denmark, there were 316,972 enterprises functioning across all industries in 2018. Other data reveals the following:
  • - 67,121 companies were involved in the trade and transport sector in 2018;
  • - 55,923 companies provided business services;
  • - there were 33,306 companies in the construction sector and 29,654 companies in the real estate sector.
Denmark is a Nordic business hub, a country that has much to offer to entrepreneurs. Relocating a business here can be a strategic move and one that will allow the company to evolve.
Contact our agents who specialize in company registration in Denmark if you wish to know more about the general incorporation process, how to handle human resources transfers and how to minimize the relocation’s impact on daily business. We offer completely tailored solutions to meet the needs of companies looking to relocate to Denmark

Meet us in Denmark

Call us now at +45 2238 8800 to set up a meeting in Copenhagen. As a Bridgewest client, you will beneficiate from the joint expertise of local experts and international consultants for opening a company in Denmark.

We offer:

- prompt response to your inquiry (maxim 24 hours);

- cost-efficiency: competitive company formation prices;

- free and complete legal information featured on our site, at your disposal.

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