Starting a business in Denmark: The popular PMV option explained

When planning to start your business in Denmark, the first thing to consider is which business structure will be most beneficial. The most popular option by far is to register a PMV, or privately owned small business. As soon as you register your company, you will receive a CVR number, or official registration number. Then you can start running your business.

PMV's main features:
- As the sole owner, you make all decisions regarding the company's operations.
- You are personally responsible for all company obligations.
- There are no capital requirements.
- The company is exempt from VAT if the annual turnover is below DKK 50,000.
- The company does not import or export to countries outside the EU.
- No employees can be hired.
- Registration must be renewed every 3 years.
- Only one PMV can be owned.

Once you've registered your company, you'll receive a CVR number, which is an official registration number, and then you can start running your business. PMV has some features you should be aware of. As the only owner, you make all the decisions for the company, and you're personally responsible for the company's assets. There are no capital requirements, and the company is free of VAT if the annual turnover is below DKK 50,000. The company does not import or export to non-EU countries, and you can't hire employees. The registration must be renewed every 3 years, and you can only have one PMV.

In terms of taxation, you'll be taxed according to personal tax regulations, and you must register in advance and declare a profit. Expenses can be deducted from personal income. The cost of registering your PMV is 700 DKK (+moms), and bookkeeping services can range from 1200-1800 DKK/month depending on your company, employees, and income. Please note that if your turnover exceeds 50,000 DKK, you'll need to re-register your company as a sole proprietorship and become a VAT payer.