Denmark: Operating a Business

Legal Forms of Companies

Anpartselskab or ApS (Private Limited Company): Number of partners: One or more. Minimum 1 director is required.
Capital (max/min): Minimum DKK 40,000 totally subscribed and released.
Shareholders and liability: Liability is limited to the amount contributed.
Aktieselskab or A/S (Public Limited Company): Number of partners: One or more. Three directors and one manager required, must be citizens in the EU
Capital (max/min): Minimum DKK 400,000. 25% of the share capital has to be paid when the company is registered
Shareholders and liability: Liability is limited to the amount contributed.
Interessentskab or I/S (General Partnership): Number of partners: One or more.
Capital (max/min): No minimum capital.
Shareholders and liability: Partners' liability is indefinite and several.
Kommanditselskab or K/S (Limited Partnership): Number of partners: Two or more. Two types of partners: active partners and sleeping partners.
Capital (max/min): No minimum capital.
Shareholders and liability: Liability of active partners is unlimited. Liability of sleeping partners is limited to the amount contributed.

Setting Up a Company	Denmark	OECD
Procedures (number)	5.00	5.21
Time (days)	3.50	9.47

Source: The World Bank - Doing Business, Latest data available.

The Competent Organisation: The Danish Business Authority handles the registration of the company and issues a CVR-number.
For Further Information: Doing Business, Consult this website to know about procedures to start a Business in Denmark.

Dun & Bradstreet - Worldwide directory with financial information on businesses

Kompass - Denmark Business Directory

Proff - Financial content about Danish companies

Virk Data - Central business register of Denmark

	2018	2019	2020
Labour Force	2,982,472	3,023,904	3,022,416

Opening Hours
Legal Weekly Duration: 37 hours
Maximum Duration: According to the Danish implementation law the maximum average weekly working hours cannot exceed 48 hours averaged over a
4-month period.

Working Rest Day: Employees are also entitled to at least one full day off each week.
Paid Annual Vacation: Employees are entitled to take at least 3 weeks of their 5 weeks holiday consecutively during the period between 1 May and 30 September.
Retirement Age: Currently 67 years, planned to rise to 68 years in 2030, 69 years in 2035, then 70 years from 2040 for those born after 1970
Child Labour and Minimum Age For Employment: Children under the age of 13 cannot lawfully take on work except for performances in cultural contexts.

Minimum Wage: Denmark does not have a statutory minimum wage set by law; wages are typically established through collective bargaining agreements and there is no universal minimum wage enforced by a government authority.
Average Wage: According to the government data, the average yearly income is DKK 326,048 in 2019.
Other Forms of Pay
Pay For Overtime: In collective agreements overtime is typically subject to a 50% premium
for overtime in excess of 1 hour and a 100% premium for
overtime during weekends and public holidays.
Pay For Night Hours: Like overtime.

The Areas Covered: The level of social security is high in Denmark and much is covered via taxes, including illness, childbirth, childcare and pension. Unemployment insurance, however, is not covered by taxes or through the individual workplace. It is up to the employee to become a member of a Danish unemployment fund.
Contributions: Contributions Paid By the Employer: Supplementary Pension Scheme (ATP) : DKK 2,271.60 annually
Maternity fund : DKK 1,350 annually
Industrial injury insurance : around DKK 5,000 annually (depends on type of work, number of employees, insurance company etc.)
Other social contributions : around DKK 5,000 annually
Contributions Paid By the Employee: Supplementary Pension Scheme (ATP) : DKK 1,135.80 annually.
Competent Organization: Danish Ministry of Employment
Danish Financial Supervisory Authority

Type of Contract: Permanent contract, fixed-term contract, training contracts.

Labour Laws: Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

Procedure: Danish Arbitration also offers mediation in accordance with the Rules of Procedure for Mediation laid down by the Council in 2006.

Social Dialogue and Involvement of Social Partners: The labour market is quite regulated by collective agreements. Many employers are members of the Danish Employers’ Confederation (Dansk Arbejdsgiverforening/DA) or one of the special employers’ associations (e.g. the Financial Sector or Agriculture). Employees are often members of the relevant trade union (Metal Workers, Commerce and Office, etc.), although most of these unions are also members of the 'umbrella' employee's confederation, the Danish Federation of Trade Unions (Landsorganisationen/LO). The LO is a service organisation that negotiates and co-ordinate various matters common to all trade unions.
Unionisation Rate: According to OECD data, as of 2013, Denmark's trade union density is 67%.
Regulation Bodies: Danish Employers' Confederation (DA)
National Labor Market Authority

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