915 04800
From abroad, please call +47 915 04800

Choose the type of company

selskapsform - enk eller as?
One of the most important decisions you need to make when starting up a business is what type of company you should choose. This choice has implications for a number of factors, including risk, costs, the amount of work, security and entitlements.
This choice has implications for a number of factors, including risk, costs, the amount of work, security and entitlements.

The advantages and disadvantages of the different forms of companies are specified below.

Limited liability company (Aksjeselskap - AS)
None of the owners is personally liable for the company's obligations.

Sole proprietorship (Enkeltpersonforetak (ENK)
A natural person is financially liable for the company's debt and obligations.

General partnership /apportioned liability partnership (ANS/DA)

Two or more owners are  jointly or severally liable for the company's debt.

Minimum share capital NOK 30.000,- NOK 0,- NOK 0,-
Personal liability ja 1) ja ja
Auditor not required if annual turnover is less than MNOK 5 ja 2) ja ja 3)
Registration in the Register of Business Enterprises ("Foretaksregisteret") required 4) ja No ja
Number of owners 1 or more 1 2 or more
The business is taxed together with the owner(s) No ja No
Right to full benefits under the Norwegian National Insurance ja No ja
Operating expenses are tax  deductible ja ja ja
Obligation to pay value-added tax if annual turnover exceeds NOK 50.000 ja ja ja
More information on alltinn.no » AS » ENK » ANS/DA
1) Shareholders in small, newly started limited companies often have to guarantee for loans taken out by the company. They thus sometimes take on personal liability for debts after all.
2) For limited companies the following applies in addition:
- The balance sheet total must be less than NOK 20 million.
- Fewer than 10 person-years (full-time equivalents).
See altinn.no for more informatio
3) Auditor required by law when the operating income exceeds NOK 5 million and the company has more than five partners and all of the partners are legal entities with limited liability.
See altinn.no for more information

4) If a sole proprietorship has five or more employees or resells purchased goods  it is required by law to be registered in the Register of Business Enterprises ("Foretaksregisteret"). When the company has been registered in the Register of Business Enterprises it will receive a company registration certificate.

AS: 10-item check list
Our small business economist has set up a ten-item checklist that could be helpful for you if you plan to start a limited liability company.
» 10 important factors

NUF = Norwegian branch of a foreign enterprise
A foreign company that wants to set up operations in Norway can register a branch/division of the company in Norway.
» Read more about this type of company on Alltinn.no

Other types of companies
An overview of the different types of companies is posted on alltinn.no
» Alltinn.no
Talk to our specialist team
Weekdays 08:00 - 16:00 CET
+47 915 04800