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Sweden: simpler rules for limited companies

17 April 2014

The Swedish Government has presented a proposal regarding changes to the Companies Act with the aim to simplify for limited liability companies.
The residency requirement for founders and liquidators will be abolished and the provisions for when the Swedish Companies Registry can grant exemptions from the residency requirements for directors of companies will be clarified.
Private limited liability companies will no longer be required to establish written rules of procedure for the board of directors or written instructions on the allocation of work between the board and the managing director or other company organs.
Furthermore there will, inter alia, be a simplification of the rules governing reductions in a company’s share capital.
The changes are proposed to enter into force on 1 August 2014. The Government proposal can be found here (in Swedish).
For questions, please contact Josefin Grolander Alvén.

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