Sole trader

1. How do I register as a sole trader?

You need to apply to the Swedish Tax Agency for F tax and VAT registration. If you also want to protect your company name, do so by registering with the Swedish Companies Registration Office. You can do all these things at the same time in the e-services on verksamt.se if you have e-identity.

2. How many owners must the company have?

If you operate as a sole trader, there is always one physical owner.

3. How am I taxed as a sole trader?

You are taxed on the profit you make.

4. What is my personal liability as a sole trader?

You have unlimited personal liability. This means you must use your own personal funds to pay the company's liabilities if there is insufficient money in the company.

5. How is my name protected when registered?

When you register with the Swedish Companies Registration Office, your name is protected in the county in which your company is based. You can protect your name in other counties for payment of an additional fee.

6. Is there a requirement to have an auditor?

No, not normally. There are exceptions for large companies, certain trading partnerships and limited partnerships of a certain size owned by legal entities and companies with special business, such as lawyer services.

7. Can I share the profit with someone?

If you run the company with a husband, wife or partner you can share the profit with him or her. The Swedish Tax Agency can give you more information about how to go about this.

8. Is there any capital investment requirement?

No.

9. Who represents the company?

As business owner, you represent the company.

10. Can the company have employees?

Yes - but as owner, you are not employed.

11. What happens if I fall ill?

As a self-employed person, you receive sickness benefit from the Social Insurance Agency. Sickness benefit generating income is calculated on the company's profit. In the build-up phase when you were unable to receive a "normal" income, the Social Insurance Agency estimates the amount of sickness benefit you are entitled to.

You may also choose to have three or 14, 30, 60 or 90 waiting days. If you do not make an active choice, you will be given seven waiting days.