How to open a corporate bank account in Denmark

Is it complicated to open a corporate bank account for a Danish company?

Yes, it is generally very complicated to create a corporate bank account in Denmark, specifically when it comes to new companies. It’s because of regulations that prevent money laundering that banks must comply with. A good idea to speed up the process of opening a bank account would be to prepare a business plan and budget for the bank.

What should be prepared for the bank? 

[infografika: It is recommended to prepare the following documents: business plan, 12-month profit and loss budget, Annual balance sheet budget, 12-month cash flow budget]

It is also a great idea to make a website so that your company can professionally introduce itself to the bank.

Which banks are worth trying first?

None of the banks are “easy”, but some of the most common choices include banks like Nordea, Danske Bank and Nykredit. Banks like Jyske Bank are typically not worth a try, unless you are up to pay the high additional cost of an audit each year. The reason for this is that some banks, including Jyske Bank, have started requiring a company audit to create a bank account.

[infografika: The cost of setting up a bank account: Company audit - The cost of an audit is usually DKK 20000-50000+VAT per year. An annual audit is not required by law for smaller companies in Denmark, so it is just an additional cost to meet the requirement from the bank.; Opening a company bank account - Both Nordea and Danske Bank typically charge around DKK 4,000-5,000 to open a company bank account. ]

What to do if you can't open a corporate bank account?

If you are unable to open a business bank account because all banks reject your application for a business bank account, this is obviously a challenge for your business. Bank account is necessary for you to get payments from customers, pay the suppliers, etc.

[infografika: In what situation is it most common for a Danish bank to open a company account? ; In our experience, Danish banks are more likely to open a company bank account after 3-6 months, when the first financial report can be shown ; Opening a new corporate bank account is possible, however, in many cases it requires patience]

Revolut

If you haven't yet managed to open a Danish bank account, you can opt for the alternative option of using a business bank account using Revolut. Revolut isn’t in fact a Danish bank, but it does enable online banking. You can open a corporate bank account in DKK, EUR, USD, etc. The only disadvantage is a situation with transferring money in Denmark to a bank account - it won’t be a usual bank-to-bank transfer, but it will be an IBAN/SWIFT transfer. This should not be a problem for B2B customers however, B2C customers may get suspicious when the transfer is international. Revolut may not be the best solution but it allows you to do business until later you’re able to get a Danish bank account. You'll also get a MasterCard from Revolut that you can use to pay for business expenses. It is also possible to finalize payment solutions for the website with Revolut.

Is it possible to create a corporate bank account without personally visiting the bank?

Generally, a business owner/director will need a personal meeting with the bank because of anti-money laundering regulations.

Can somebody else open a bank account for me?

No, the bank accepts only the owner/director during the onboarding process.

Can my accountant open a bank account for me?

No, it’s impossible for your accountant to open a bank account for you. It must be the owner/director of the company who does it.

Is a company bank account necessary to establish a limited liability company in Denmark?

Limited liability company (usually ApS) can be set up without having a corporate bank account but if you expect the company's share capital to be transferred from the lawyer after registration, a company bank account will be needed. Also once you start to receive money from clients, your company will need a corporate bank account. Note: Never accept  payments from clients on your private bank account, as this is actually a shareholder loan, which is heavily taxed in Denmark.

Do I need a bank account to start a sole proprietorship in Denmark?

It is possible to start a sole proprietorship in Denmark without a corporate bank account, but once you begin to receive payments from your customers, an account will be needed. Keep in mind that using a private bank account is a terrible idea, because your bank may close your private bank account as a result of company use.

There are many banking offers in Denmark. Each of them is distinguished by a different feature. In order to choose the most favorable option, it is worthwhile to study many offers and compare them. One of the most frequently compared features of bank accounts in Denmark is their price. In the tables below are selected bank accounts, starting from the cheapest.

*average