💼 Sole Proprietorship or Limited Company? What’s Right for You in Norway?

If you’re starting a business in Norway as a foreign entrepreneur, you’ve probably heard about two main legal structures:
👉 ENK (enkeltpersonforetak) – sole proprietorship
👉 AS (aksjeselskap) – limited liability company

Many start with an ENK because it’s fast, cheap, and simple to set up. But is it right for your business in the long run?

Here’s what you need to know:

✅ ENK – easy to register, but you are the company

• You are personally liable for any debt or loss
• No minimum capital required
• Profits are taxed as personal income – which can get expensive
• You can’t hire yourself or take salary
• Some clients (especially larger companies) avoid hiring ENKs

✅ AS – more formal, but safer and more professional

• Limited liability – your private assets are protected
• Can pay yourself salary + dividends
• Profits taxed at 22% + shareholder tax on dividends
• Minimum share capital: NOK 30,000 (can be used in the business)
• Often preferred for growth, partnerships and financing

📊 Which one suits you?
If you’re testing a small consulting or freelance business, ENK might be fine – at least in the beginning.
But if you’re building something scalable, want to limit personal risk, or plan to hire people – AS is usually a better choice.

🟢 I can help you decide based on your goals, budget, and business plan – and guide you if you want to convert from ENK to AS later.