Investing in Sweden, its advantages and conditions
Procedures Invest in Sweden And its advantages and conditions Since Sweden is one of the most desirable countries politically and economically, according to the World Economic Forum, Sweden is among the ten largest economies in the world in terms of trade facilities and obligations.
The Swedish tax system is one of the lowest in the European Union. Sweden also has a well-balanced legal system as contracts, standard documents and investment in this country are made in a simple way.
The quality of management in advisory services in this country is well known. To invest in this country there is no specific business study and its easy methods. In 2014, Sweden was ranked third in the world as an indicator of global preparedness.
Advantages and disadvantages of investing in Sweden
Advantages :
- Sweden is a safe country for investment.
- The property forfeiture rate in Sweden is single, which indicates a high level of investment security.
- The investment is also considered more credible than it is in other European and Scandinavian countries.
- Investing in Sweden can lead to residency through company registration.
Defects :
- Tax rates in Sweden are higher than in other European countries.
- It is not possible to obtain a residence permit in Sweden by investing and buying real estate.
- Knowledge of the second language and the Swedish language.
- Pay taxes on time for residency.
- Submit a business and entrepreneurship plan for residency.
Read also: How to open a bank account in Sweden
Conditions for investments in Sweden
One of the procedures for investment methods is to buy a property, but if the investor intends to obtain Swedish residency by purchasing a property in Sweden.
He will not be able to obtain residency in this country. Note that people can invest in residential and commercial real estate in Sweden, own it outright, and even receive rental interest.
To buy property in Sweden, the property must be listed and then inquired at the Swedish Registry Office and a contract must be drawn up. But please note that the tax rate and payment is the responsibility of the buyer.
- Investors who wish to invest in Sweden outside the European Union can follow two steps
- Investing and creating a new business
- Purchase from a registered and effective company
- Purchase of a pre-registered company, at least 51% of the company’s shares must be purchased so that the applicant can manage the company, intervene in its affairs and make decisions in the company’s affairs.
- But a very important point to keep in mind is to make sure that the company has no criminal record and does not have any debts with an office taxes.
Read also: Successful small business ideas in Sweden 2023
Swedish investment conditions
Investing and studying its general conditions requires a brief introduction to the country from the outset. Sweden is located in northern Europe and the Scandinavian region.
Sweden also borders Norway, Finland and Denmark. Sweden is the largest country in Scandinavia and the fifth largest in Europe.
Sweden covers an area of 450,295 square kilometers and has a population of over 10 million. Looking at the general weather conditions in Sweden, it is good to know that only 30% of the country is habitable and most cities are located in the south of the country.
Since public investment in Sweden requires plan A strong business framework through which to create jobs and define benefits for Swedish society.
Requirements for residence in Sweden
- Obtaining a residence permit in Sweden through investment generally has strict conditions compared to other European countries including Austria, Spain and Greece.
- Many different ways to invest initially do not lead to obtaining a permit residence in Sweden.
- Also, such as investing in real estate and investing in government bonds that do not initially lead to a residence permit in Sweden.
- Investing in Sweden through company registration, if followed, can also lead to two years of residency.
- The applicant can also apply for a companion visa for his wife and children under the age of 18, but the disadvantage is that the companion cannot work in Sweden.
- To extend the temporary residence for another two years, the company registered in Sweden must be active and not have tax evasion.
- MIE Consulting, which has a proven track record of more than 15 years of activity in immigration law and international trade, recommends this. She recommends that you consider investing in countries before you act and do so with full knowledge.
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investment criteria
Knowing investment criteria is one of the most important factors for successful foreign investment. Since most immigrants who apply for investment have not previously resided in Sweden and are not subject to the terms and conditions of Swedish law.
It is recommended that you pay special attention to investment criteria before taking any action.
In terms of foreign investment in general, it is considered international standards (IIA) and Bilateral Trade Agreements (BIT), concluded between countries to support foreign investors are important.
In addition, investment criteria should be considered, such as the rate of property expropriation in Sweden, your knowledge of the government’s treatment of immigrants, the possibility of the government’s breach of contract, etc.
In general, countries closer to number 1 in this indicator are considered safer, and countries closer to number 7 are considered unsafe in terms of expropriation of property for investors.
Investing and studying influencing economic indicators can provide a general understanding of investment terms and conditions.
Due to the fact that many applicants do not have accurate and sufficient information about investment conditions, MIE Consulting offers and defines economic indicators that affect Sweden.
These indicators are in line with the latest figures from the World Bank and Statistics Sweden. Influencing economic indicators. Including bank interest rates, GDP, taxes, etc.
Investing by buying government bonds
It is possible by buying government bonds in Sweden so that you can buy shares in Swedish companies. Investing in Sweden through the government bond procedure does not mean that you can obtain a residence permit by donating money to the Swedish government.
When buying shares in a Swedish company, pay special attention to debt and how you pay your taxes. Many people buy into bankrupt companies with tax evasion without the necessary knowledge and research which can be very harmful.
Another important point about buying shares in a Swedish company is that you must buy 51% of these shares.
Therefore, investing in Sweden is not initially recommended due to its general terms and conditions. It is recommended to do some research beforehand and compare it with investing in other European countries such as Austria, Greece, Germany and Spain.
Can investment Through entrepreneurship is also open. Because entrepreneurship in Sweden is very similar to registering a company in Sweden.
In this way to invest in Sweden, you must also submit a business plan describing profitability and economic benefits to Swedish society.
Since Sweden is not an investment-oriented country, especially applicants from Middle Eastern countries are not familiar with the country’s environment and the rules of international business law.
Better to study and research Invest in Sweden before taking any action and being fully aware of it.
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