Business formats
When starting up a business, you must decide on the business format of your business.
However, your choice of business format is not binding for all eternity. You can always change the business format of your business if this should prove expedient at a later date.
Under the headings of sole proprietorship, partnership, private limited company and public limited company, you can read more about the most frequently used business formats.
The various business formats are summarised in this table, which provides a quick overview and may serve as a useful reference.
You can read more about all the various business formats, also some which are not mentioned here, for example in SKAT's Business formats and extent of liability protection. Many accountancy firms also provide information about business formats on their websites.
Seek advice
The information provided here is general and not exhaustive. Therefore, you should not make any decisions based on this information without first consulting a professional advisor.
Sole proprietorship
As implied by the name, a sole proprietorship is a one-man business, and this business format is therefore only relevant if you are going to be the sole owner of your business.
If you decide to conduct your business as a sole proprietorship, the law will make no distinction between you, the sole proprietor, and your business.
This means that the business assets are owned by you. It also means that as the owner you are personally liable for all the debts and obligations of the business with everything you may own.
Ownership
A sole proprietorship has one – and only one – owner who is a physical person. It is thus a possible business format if you want to start up and own your business on your own.
Sole ownership of your sole proprietorship does not mean that others, for example your spouse or other employees, cannot participate in the running of your business. Nor does it mean that the business cannot be managed mainly by people other than yourself.
Management
There are no special legal requirements regarding the management structure of a sole proprietorship. The business is not required to have, for example, an executive board.
As the sole owner of the business, you make all decisions and act on behalf of the business in relation to other parties. However, you can give employees or others power of attorney (permission) to act on behalf of the business, for example by allowing them to withdraw money from the business' bank account or enter into contracts.
Liability
The law makes no distinction between a sole proprietorship and its owner. This means that the rights and obligations of the business are the same as those of the owner.
As the owner, you are liable for all the commitments of the business, for example for paying out salaries for the employees and paying rent on time. You are liable without limitation, i.e. with all your personal assets, including your house, car, boat etc. Generally speaking, your spouse is not liable for the debt and obligations of the business, with the exception of tax debt.
Startup capital
There is no legal requirement that a certain minimum capital must be contributed to start up a sole proprietorship.
You can start up a sole proprietorship without investing any money at all. However, please note that the necessary capital must be present at all times to run the business and pay its debts.
Accounting records and annual report
Under the Danish Bookkeeping Act (Bogføringsloven), a sole proprietorship must keep accounting records, but it is not obliged to present and submit an annual report to the Danish Business Authority in accordance with the Danish Financial Statements Act (Årsregnskabsloven).
Information about finances can thus be kept secret. However, sole proprietorships may submit a voluntary annual report, and unless it is for the owner's personal use, it must comply with the provisions of the Danish Financial Statements Act (Årsregnskabsloven).
Tax
A sole proprietorship can be taxed under one out of three schemes. The owner decides which scheme to follow:
- Personal taxation rules whereby income is taxed as personal income
- Corporate taxation rules whereby interest expenses can be deducted from the personal income, and any profit can be retained in the business against the payment of provisional tax
- Capital gains tax rules which offer some of the advantages of the corporate taxation scheme, but which are simplified.
Formation
It is easy to start up a sole proprietorship. If you have any questions, the Danish Business Authority is ready to help on tel. 33 30 77 00. Starting up a sole proprietorship is free; the only costs involved are your own time or the fee which you may have to pay a professional advisor to help you.
Legislation and rules
There is no special Danish act on sole proprietorships which must be observed. The rules applicable to sole proprietorships are set out in a number of general acts such as the Danish Act on Undertakings Carrying on Business for Profit (Lov om erhvervsdrivende virksomheder) as regards the name of your business, the Danish Bookkeeping Act (Bogføringsloven), the Danish Financial Statements Act (Årsregnskabsloven), the Danish Business Tax Act (Virksomhedsskatteloven) as regards corporate and capital gains tax, the Danish Executive Order on Minimum Accounting Requirements (Mindstekravsbekendtgørelsen) as regards tax accounts, and others.
Partnership (I/S)
As implied by the name, a partnership has two or more owners, and this business format is therefore only relevant if you are going to jointly own your business.
The partnership is seen as being distinct from its owners, unlike a sole proprietorship. However, like the owner of a sole proprietorship, the owners of a partnership are personally liable as well as being jointly and severally liable (one for all, and all for one) for all the debts and obligations of the business.
Ownership
A partnership has two or more owners who may be either physical persons or corporate entities such as private or public limited companies. It is thus a possible business format if you want to start up and own your business jointly with others, but not if you want to do so on your own.
Unless otherwise agreed by the owners of a partnership, they own the partnership in equal shares.
Management
There are no special legal requirements regarding the management structure of a partnership. The business is not required to have, for example, an executive board, but the owners may decide so.
Unless otherwise agreed by the owners of a partnership, all significant decisions must be agreed by the owners, and each individual owner can act on behalf of the partnership in relation to third parties. The owners can give employees or others power of attorney (permission) to act on behalf of the business
Liability
The owners of a partnership are liable for all the commitments of the business, i.e. for repaying loans on time, and they are personally, jointly and severally liable, without limitation.
This means that if the partnership fails to settle a debt on time, the creditor can demand payment from whoever of the owners he or she may prefer. This applies regardless of what the owners may have agreed between them.
Startup capital
There is no legal requirement that a certain minimum capital must be contributed to start up a partnership. You and the other owners can start up a partnership without investing any money at all. However, please note that the necessary capital must be present at all times to run the business and pay its debts.
Accounting records and annual report
Under the Danish Bookkeeping Act (Bogføringsloven), a partnership must keep accounting records, but it is not obliged to present and submit an annual report to the Danish Business Authority in accordance with the Danish Financial Statements Act (Årsregnskabsloven) if the owners are physical persons.
Information about finances can thus be kept secret. However, partnerships may submit a voluntary annual report, and unless it is for the owners' personal use, it must comply with the provisions of the Danish Financial Statements Act (Årsregnskabsloven).
Tax
The owners of a partnerships are taxed in proportion to their ownership shares under one of three schemes:
- Personal taxation rules whereby income is taxed as personal income
- Corporate taxation rules whereby interest expenses can be deducted from the personal income, and any profit can be retained in the business against the payment of provisional tax
- Capital gains tax rules which offer some of the advantages of the corporate taxation scheme, but which are simplified.
Formation
If you want to start up a partnership and you have any questions, the Danish Business Authority is ready to help on tel. 33 30 77 00. Starting up a partnership is free; the only costs involved are your own time and that of the other owners or the fee which you may have to pay a professional advisor to help you.
Legislation and rules
There is no special Danish act on partnerships which must be observed. The rules applicable to partnerships are set out in a number of general acts such as the Danish Act on Undertakings Carrying on Business for Profit (Lov om erhvervsdrivende virksomheder) as regards the name and registration of your business, the Danish Bookkeeping Act (Bogføringsloven), the Danish Financial Statements Act (Årsregnskabsloven), the Danish Business Tax Act (Virksomhedsskatteloven), the Danish Executive Order on Minimum Accounting Requirements (Mindstekravsbekendtgørelsen) as regards tax accounts, and others.
Owners' agreement
When setting up and running a business with others, it is of the utmost importance that the owners enter into an owners' agreement which sets out the terms and conditions of the relationship between the owners.
These may stipulate an obligation to contribute additional capital, a mutual pre-emption right of acquiring each other's shares and a stipulation precluding the owners from engaging in activities competing with those of the business. Without an owners' agreement, you are more likely to run into disputes with each other.
Private limited company (ApS)
A private limited company has one or more owners, and this business format is therefore relevant both if you want to own your business yourself and if you are going to set up a business with others.
A private limited company is seen as being distinct from its owners, as a separate 'entity'. The owners of a private limited company are not personally liable for the company's commitments, but are liable only for the company capital which they have contributed.
Ownership
A private limited company has one or more owners who may be either physical persons or corporate entities such as private or public limited companies. It is thus a possible business format if you want to start up and own your business jointly with others, and also if you want to do so on your own.
The size of an owner's ownership share of a private limited company is determined by the share of the total company capital which he or she has contributed.
Management
A private limited company must have an executive board, but it can also have either a board of directors or a supervisory board.
The owners make their decisions at the general meeting, generally speaking based on a simple majority (more than half of the votes cast) or based on a majority of two-thirds of the votes. If the company has employee representatives, it musthave either a board of directors or a supervisory board where the employees can be represented.
The board of directors is responsible for the overall and strategic management of the company and appoints and issues guidelines for the executive board. The executive board is in charge of the day-to-day management of the company.
In private limited companies which do not have a board of directors, the executive board is also responsible for the overall and strategic management of the company. If the company has a supervisory board rather than a board of directors, the supervisory board appoints and supervises the executive board, but the supervisory board is not responsible for the overall and strategic management of the company.
Liability
The owners of a private limited company are not personally liable for the company's commitments. Their liability is limited to the company capital which they have contributed.
However, banks will often demand that the owners of a private limited company guarantee repayment of any loans granted to the company, and in this way the owners end up being liable for the company's commitments anyway.
Startup capital
A private limited company must have a minimum share capital of DKK 80,000, which must be contributed in the form of cash or assets other than cash.
If you decide to form your company with cash, you only have to pay down to 25% of the share capital, although always at least DKK 80,000. 'Assets other than cash' may take the form of a business which you have previously run as a sole proprietorship, production equipment or a patent.
Accounting records and annual report
A private limited company must keep accounting records in accordance with the Danish Bookkeeping Act (Bogføringsloven) and must present and submit an annual report to the Danish Business Authority in accordance with the Danish Financial Statements Act (Årsregnskabsloven).
The annual report must be audited by a registered or state-authorised public accountant, unless the company's balance sheet total, revenue and number of employees fall below certain threshold values. However, this exemption does not apply to holding companies, i.e. companies which are the main owners of other companies.
Tax
A private limited company is tax liable in its own right unlike a sole proprietorship and partnership for which tax is levied on the owner(s). A private limited company pays corporate tax on its income in accordance with the corporate taxation rules.
If you draw a salary from the company, you must pay tax and labour market contributions in the same way as other employees. If you receive dividend from your shares, you must pay dividend tax.
Formation
To start a private limited company, you must draw up a memorandum of association, a set of articles of association and also a valuation report of any capital contributed in the form of non-cash assets.
You can
- start up a private limited company online (registration and VAT etc. - in Danish)
- or you can send in a form (registration and VAT etc. - in Danish) to the Danish Business Authority
but often you will need to consult a professional advisor.
A registration fee of DKK 670 is charged for online registration of a private limited company, and DKK 2,150 for registration by post.
Legislation and rules
Private limited companies are closely regulated by the Danish Companies Act (Selskabsloven), which contains rules on formation, executive board, board of directors, general meetings and capital increases.
Moreover, a number of general acts contain rules on private limited companies, such as the Danish Bookkeeping Act (Bogføringsloven), the Danish Financial Statements Act (Årsregnskabsloven), the Danish Corporation Tax Act (Selskabsskatteloven), the Danish Executive Order on Minimum Accounting Requirements (Mindstekravsbekendtgørelsen) as regards tax accounts, and others
Owners' agreement
When setting up and running a business with others, it is of the utmost importance that the owners enter into an owners' agreement which sets out the terms and conditions of the relationship between the owners.
These may stipulate a mutual pre-emption right of acquiring each other's shares, the right to appoint board members and a stipulation precluding the owners from engaging in activities competing with those of the business.
Without an owners' agreement, you are more likely to run into disputes with each other.
Public limited company (A/S)
A public limited company has one or more owners, and this business format is therefore relevant both if you want to own your business yourself and if you are going to set up a business with others. A public limited company is seen as being distinct from its owners, as a separate 'entity'.
The owners of a public limited company are not personally liable for the company's commitments, but are liable only for the company capital which they have contributed.
Ownership
A public limited company has one or more owners who may be either physical persons or corporate entities such as private or public limited companies. It is thus a possible business format if you want to start up and own your business jointly with others, and also if you want to do so on your own.
The size of an owner's ownership share of a public limited company is determined by the share of the total company capital which he or she has contributed.
Management
A public limited company must have an executive board and a board of directors or a supervisory board. A majority of the members of the board of directors or the supervisory board must be elected by the general meting, and the board of directors or the supervisory board must have at least three members.
If a public limited company has employee representatives, they are entitled to be represented on either the board of directors or the supervisory board.
The board of directors is responsible for the overall and strategic management of the company and appoints and issues guidelines for the executive board. The executive board is in charge of the day-to-day management of the company. In public limited companies which do not have a board of directors, the executive board is also responsible for the overall and strategic management of the company.
If the company has a supervisory board rather than a board of directors, the supervisory board appoints and supervises the executive board, but the supervisory board is not responsible for the overall and strategic management of the company.
Liability
The owners of a public limited company are not personally liable for the company's commitments. Their liability is limited to the company capital which they have contributed. However, banks will often demand that the owners of a public limited company guarantee repayment of any loans granted to the company, and in this way the owners end up being liable for the company's commitments anyway.
Startup capital
A public limited company must have a minimum share capital of DKK 500,000, which must be contributed in the form of cash or assets other than cash. If you decide to form your company with cash, you only have to pay down to 25% of the share capital.
The company management may subsequently demand that the share capital which has not been paid in be paid in. 'Assets other than cash' may take the form of a business which you have previously run as a sole proprietorship, production equipment or a patent.
Accounting records and annual report
A public limited company must keep accounting records in accordance with the Danish Bookkeeping Act (Bogføringsloven) and must present and submit an annual report to the Danish Business Authority in accordance with the Danish Financial Statements Act (Årsregnskabsloven).
The annual report must be audited by a registered or state-authorised public accountant, unless the company's balance sheet total, revenue and number of employees fall below certain threshold values. However, this exemption does not apply to holding companies, i.e. companies which are the main owners of other companies.
Tax
A public limited company is tax liable in its own right unlike a sole proprietorship and partnership for which tax is levied on the owner(s). A public limited company pays corporate tax on its income in accordance with the corporate taxation rules.
If you draw a salary from the company, you must pay tax and labour market contributions in the same way as other employees. If you receive dividend from your shares, you must pay dividend tax.
Formation
To start a public limited company, you must draw up a memorandum of association, a set of articles of association and also a valuation report of any capital contributed in the form of non-cash assets.
You can
- start up a public limited company online (registration and VAT etc. - in Danish)
- or you can send in a form (registration and VAT etc. - in Danish) to the Danish Business Authority
but often you will need to consult a professional advisor.
A registration fee of DKK 670 is charged for online registration of a public limited company, and DKK 2,150 for registration by post.
Legislation and rules
Public limited companies are closely regulated by the Danish Companies Act (Selskabsloven), which contains rules on formation, executive board, board of directors, general meetings and capital increases.
Moreover, a number of general acts contain rules on public limited companies, such as the Danish Bookkeeping Act (Bogføringsloven), the Danish Financial Statements Act (Årsregnskabsloven), the Danish Corporation Tax Act (Selskabsskatteloven), the Danish Executive Order on Minimum Accounting Requirements (Mindstekravsbekendtgørelsen) as regards tax accounts, and others
Owners' agreement
When setting up and running a business with others, it is of the utmost importance that the owners enter into an owners' agreement which sets out the terms and conditions of the relationship between the owners.
These may stipulate a mutual pre-emption right of acquiring each other's shares, the right to appoint board members and a stipulation precluding the owners from engaging in activities competing with those of the business. Without an owners' agreement, you are more likely to run into disputes with each other.
Statutory requirements
A number of rules and regulations must be complied with when starting up a business.
Registering your business
You must register your business if you:
generate revenue of more than DKK 50,000 a year
want to pay out wages and salaries
are liable to payroll tax (lønsumsafgift)
want to import goods for resale or if you want to export products to non-EU countries.
You can start up a business even if you have a job or if you are a student.
If you are unemployed and want to start up a business as a secondary occupation, you must contact your unemployment fund to find out if this is permitted. You and your unemployment fund must agree how you can run your business as a secondary occupation.
Good to know
On the registration form, you must enter all your personal details and state the form of incorporation of your business as well as your line of business. Do you want to start a wholesale, service, retail or manufacturing business?
Registering your business is free (although a fee is charged for registering a private (ApS) or public (A/S) limited company). After 3-4 weeks you will receive your CVR (VAT) number.
NemKonto
As a business owner, you must have a NemKonto (or Easy Account) to which the public authorities can transfer refunds or subsidies. A NemKonto can be an existing account which you register as your business NemKonto. You simply have to inform your bank of the account which you want to assign as the NemKonto of your business.
VAT rules
Most businesses must pay VAT, but certain lines of business and services are exempt. However, most tax-exempt businesses have to pay the special payroll tax.
Accounting records
You are obliged to keep accounting records, but the Danish Business Authority also imposes additional special requirements on businesses which are incorporated as companies.
Keeping accounting records is an important management tool for business owners, but accounting records must also be kept to comply with SKAT's rules concerning the keeping of accounting records and VAT payments.
- Your accounts must show all the financial transactions in which your business has engaged during the year.
- Regular accounts must be kept and documented with vouchers (invoices, bills, payslips, statements of account etc.).
- The vouchers must be kept on file for a period of five years.
- You do not have to draw up the accounts yourself, but you are responsible for ensuring that everything is as it should be.
- SKAT must be able to see from the accounts how you have calculated the profit generated by your business.
Imports/exports
If you intend to engage in exports or imports from/to other countries, trade in cigarettes, spirits or second-hand cars, additional registrations and investigations are required as SKAT must assess whether you will be able to pay the taxes which may be levied on such types of trading.
Read about the rules on the SKAT website (in Danish)
Environmental impact
You must find out whether your line of business or the services which you offer are subject to special taxes or duties such as, for example, waste-water charges or environmental taxes.
Permits
Some business operations require special permits. For others, you must obtain authorisation, a licence or special approval.
Authorisation
An authorisation is an official permit required to pursue certain professions.
There is no common procedure for applying for or issuing authorisations. For example, estate agents obtain authorisation from the Danish Business Authority, while electricians are authorised by the Danish Safety Technology Authority via the local electricity utility.
You must therefore find out whether a special authorisation is required for your particular line of business or profession. Your trade association will often be able to help.
Licence
You must obtain a licence to sell alcohol, drive a taxi, work as a pharmacist or as a general practitioner/family doctor. Licences are usually issued by the local authorities.
- To obtain an alcohol licence, you must have a trade licence and be at least 25 years of age. If trained within this line of business, you may obtain a licence from the age of 23. You must not be legally incompetent or under guardianship, or have gone into bankruptcy proceedings or suspension of payments.
- Taxi licences are granted by the local authority following public announcement and based on the applicant's qualifications.
- Applications to open a pharmacy must be submitted to the Minister for Health via the Danish Health and Medicines Authority.
Nutrition Base
All food businesses must be registered in the Nutrition Base. In this context, food means all types of food products, including beer, wine, soft drinks, sweets and others foods.
The following types of business are covered by this scheme:
- Selling food directly to consumers, including catering operations
- Selling food for eating on or near the premises (restaurants)
- Selling food to other businesses for the purpose of resale or processing (wholesale), or
- Transporting, processing or storing food.
You can register in the Nutrition Base here. The registration can only be made i Danish.
About the Nutrition Base
The Nutrition Base is a national register of food businesses.
Food includes sweets, coffee and tea, food supplements etc. It is important to remember this as DIY centres and Internet cafés may also have to be registered. An annual fee of DKK 500 is charged per trade licence for being registered in the Nutrition Base. If the fee is not paid, your trade licence will be deleted from the Nutrition Base. This can mean that you will not be able to carry on running your business.
The purpose of the Nutrition Base is to make it easier for the general public to spot businesses and persons who do not comply with applicable legislation, for example rules on hygiene, VAT and moonlighting. The idea is to ensure equal competition for all law-abiding businesses. To be registered in the Nutrition Base, you must either have a relevant qualification or pass the nutrition test. One member of the management must have a relevant qualification. Examples of relevant qualifications could be having trained as a sales or fresh goods assistant.
If you do not have one of the approved qualifications (in Danish), you can choose to sit the test instead. The test is known as the nutrition test and is offered by a number of educational institutions in Denmark. A fee of DKK 600 is charged for the test. Free material for preparing for the test can be found at virk.dk (in Danish). (sæt link ind)
Exemptions
If you operate a food business and are registered in the Nutrition Base, and provided that you fulfil a number of conditions, you may be exempt from having significant 'breaches' registered in the Nutrition Base and you may be exempt from paying the annual fee. For this to be possible, you must submit a statement of exemption. A statement of exemption is a statement issued by a lawyer or a state-authorised or registered public accountant.
You can find further information about the special rules here:
Approval of temporary employment agencies
Opening a temporary employment agency normally does not require any special approvals or permits. However, temporary employment agencies for bus and HGV drivers must be approved.
Bus and HGV drivers
Temporary employment agencies for bus and HGV drivers must be approved by the Danish Transport Authority. To be approved, you must:
- have a haulage or bus operator licence
- have completed a special course module on offering temporary employment services
- have equity or provide a bank guarantee in the amount of DKK 350,000
The owner of the employment agency does not have to engage in bus operation or haulage activities.
Approved temporary employment agencies can engage in goods transport with motor vehicles and/or articulated lorries with a combined total weight of more than 3.5 tonnes and for commercial passenger transport.
Courses for coach and bus operators and hauliers
Courses for coach and bus operators and hauliers must be approved by the Danish Transport Authority. You can find information about the course content in the Executive Order on Transport of Goods (Bekendtgørelse om godskørsel). You can download a list of approved course organisers (in Danish) from the Danish Transport Authority website.
Please note that you must use a form if your temporary employment services include the hiring-out of bus and HGV drivers. The form has been prepared by the Danish Transport Authority and obliges the owner to comply with the driving time and rest period provisions for bus and HGV drivers.
Permits and debt to public authorities
Applications for special permits may be rejected if the applicant owes more than DKK 50,000 to the public authorities.
Read more about temporary employment agencies for bus and HGV drivers here (only in Danish)
Environmental approval
Certain listed activities are regarded as being particularly polluting. Businesses involved in these listed activities must obtain an environmental approval in order to engage in manufacturing. You can apply for environmental approval of listed activities on virk.dk (in Danish).
Note: Please note that the consideration of your application may be quite time-consuming. To facilitate the process, ensure that your application is as complete as possible.
Insurance
Taking out insurance for your business is your responsibility. You are legally obliged to take out some types of insurance, whereas other types of insurance are voluntary.
However, it is important to note that the types of insurance which you will need will depend on your type of business, and the statutory insurance policies which you are obliged to take out do not necessarily cover all your insurance needs. It may therefore be a good idea to take out a number of voluntary insurance policies.
Statutory insurance policies
- Occupational injury insurance
- Vehicle liability insurance
Occupational injury insurance
You must take out occupational injury and illness insurance covering your employees, if any. You can also take out voluntary occupational injury insurance covering yourself and your assisting spouse, if relevant.
Reporting occupational injuries
All occupational injuries which may lead to claims for compensation must be reported to your insurance company. You must report an injury as soon as possible, and always within nine days of the accident. Deaths must be reported within 48 hours. Injuries which lead to more than five weeks of absence must always be reported.
If an employee is absent for more than one day after the injury, you must report this, too.
Vehicle liability insurance
You must take out vehicle liability insurance for any vehicles owned or operated by your business.
Voluntary insurance
The business insurance market is constantly evolving. Businesses face new challenges, and the insurance industry follows up by developing new products and/or optional types of coverage to cater for the needs of businesses. As a business owner, it is therefore important that you focus on the risks which are relevant for your particular business.
It is a good idea to discuss the insurance needs of your business and of your employees as well as your own insurance requirements with one or more insurance providers. Your trade organisation may also offer a number of insurance products which are of particular relevance to your business.
Here follows a list of some of the voluntary insurance policies which you may consider taking out: This is not a complete list:
- Building insurance covering fire, burglary/theft, storm and water damage. Fire insurance is often required when taking out loans secured on the property (with mortgage lenders).
- Property and land-owners insurance – Can be taken out by the owner of the property from which you operate your business. The insurance covers any non-fulfilment of your obligation to maintain the property and any injury suffered by third parties as a result.
- Business chattels insurance – covers damage to fixtures and fittings such as furniture, IT equipment, machinery and inventories as a result of fire, burglary/theft and the outflow of water.
- Operating loss insurance – covers loss of earnings if business operations are interrupted due to damage caused by fire, water or burglary/theft.
- Loss insurance can be taken out for vehicles as well as machines.
- Professional liability insurance – covers injury to other people or damage to the property of others caused by your business or your employees.
- Product liability insurance – covers injury to other people or damage to the property of others caused by your product.
- Full-time accident insurance for the business owner – covers occupational injuries sustained by the business owner or his or her assisting spouse, if relevant.
- Voluntary sickness benefit insurance – pays out sickness benefit to you as a business owner, regardless of your earnings, thus guaranteeing sickness benefit for the first two weeks of any sickness period.
- Depending on your individual needs and family situation, you should think about taking out life insurance and/or a pension.
The product
Before starting to manufacture, import or sell products, you should always find out whether any special requirements have to be met by your product(s), including special labelling requirements.
For example, food products, medicines and natural remedies are subject to special requirements.
Foods and food supplements
If you intend to start producing foods, including food supplements, you should know that a number of special requirements must be met. These concern approval of your business premises as well as special food labelling requirements and requirements concerning the raw materials and any additives used.
Rules governing food businesses
Danish Veterinary and Food Administration on starting up a food business etc.
Danish Veterinary and Food Administration on control of food establishments
Medicines
Importing and trading in medicines is subject to authorisation from the Danish Health and Medicines Authority. The Danish Medicines Act (Lov om lægemidler) sets out a number of very restrictive rules which you must comply with. The Danish Health and Medicines Authority decides whether a medicinal product may be marketed. This also applies in the case of imported medicines which are not automatically approved in Denmark just because they have been approved in the exporting country.
Labelling of certain products
A number of products are subject to special labelling requirements. Some labels are intended to provide information for the inspection authorities, others inform consumers about the product's properties, quality, origin, content, use and possible applications.
Fibre labelling: All textiles must be clearly labelled with information about the types of fibre used.
Footwear labelling: Footwear must be clearly labelled with information about the materials used.
Product designation: All food products must be labelled, stating the product designation.
Examples of voluntary labelling:
DANSK STANDARD label: Products which meet requirements concerning, for example, safety, dimensions and performance in the applicable Danish standards are allowed to carry the DANSK STANDARD label. The label is used on, for example, insulated glazing, fire doors and safety equipment for children.