How to Set Up an Entity in Norway

Establishing a legal entity in Norway can be an excellent option for companies looking to expand into the Nordics. Norway offers a stable economic environment, a well-regulated business climate, and access to a highly educated workforce, which makes it especially appealing for firms operating in technology, maritime, energy, and professional services. The use of digital processes and a transparent registry system helps make company formation relatively straightforward.

That said, there are still administrative procedures and legal requirements to navigate: share capital deposit, registration formalities, and compliance with local corporate-governance rules. The benefits of incorporation include limited liability for shareholders, corporate-level tax treatment, and local legal status: offering autonomy, operational control, and a strong foundation for growth in Norway and beyond.

Disclaimer: This content is for informational purposes only and does not constitute legal, tax, or financial advice. Always consult official sources before acting.

What does “opening an entity” mean in Norway?

In Norway, “opening an entity” generally refers to registering a company with the national business registry, thereby obtaining its own legal identity, organization number, and the right to operate commercially. For foreign or domestic businesses, this can mean forming a standalone Norwegian company (subsidiary), registering a branch (representative office), or establishing another type of business structure.

Entity overview in Norway

Here is a summary of the key aspects of company formation in Norway.

Step-by-step guide: How to open an entity in Norway

Step 1: Choose the right structure

The most common choice (especially for foreign investors) is a private limited company (AS). This structure limits shareholder liability to the amount invested, allows for one or more shareholders (natural or legal persons), and provides a full legal entity that can enter into contracts, hire employees, and own assets under Norwegian law.

Alternative structures include: a branch of a foreign company (NUF) (simpler but does not create a separate legal entity) or a general/partnership (ANS/DA), possible but typically less suitable for investors seeking limited liability.

Step 2: Verify business name availability

Choose a name for your company and ensure it ends with the abbreviation “AS.” Use the name-search function provided by the Brønnøysund Register Centre to check for existing businesses. If the name is available, you can reserve it. Legal name restrictions apply: the name must clearly indicate the business type, and must not infringe on existing company names or trademarks.

Step 3: Prepare incorporation documents

To incorporate an AS, you must prepare and sign the following documents:

• Memorandum of Association (foundation document), including Articles of Association
• Declaration of paid-in share capital (bank confirmation), if the contribution is cash (you contribute non-cash assets, a certified auditor must confirm their value)
• If applicable: declaration from auditor or other authorised professional (bank, lawyer, accountant) confirming share capital payment
• If the company has a board of directors, records of board appointment, if using an auditor, auditor consent; also, shareholder register (shareholder ledger)

Step 4: Register with Brønnøysund Register Centre

Submit your incorporation through Altinn, or via a digital company-formation provider authorised by the register.

Attach the required documents (signed Memorandum and Articles, proof of paid capital, corporate board information, etc). Once submitted and approved (typically within 5–10 working days if online), the company is registered, and you receive an organization number.

Step 5: Register for tax and social security

Once the company is registered and has an organization number, you must register with the local tax authorities (Norwegian Tax Administration) for corporate tax, and–if you will hire employees – for payroll taxes and social security. For foreign enterprises operating in Norway (or sending employees to Norway), registration is mandatory.

If board members or other persons lack a Norwegian national identity number, they may need a temporary identification number (D-number).

Step 6: Open a corporate bank account

Contact a Norwegian bank to open a corporate bank account. The bank will require KYC — typically proof of identity (passport or recognised ID), D-number for non-residents, proof of Norwegian business address, and confirmation of share capital deposit. In practice, opening a bank account can take time and may pose challenges for foreign owners.

Step 7: Set up payroll and employment compliance

If you plan to hire employees, you must register as an employer with the social security authorities (Norwegian Labour and Welfare Administration (NAV) for the national insurance scheme), set up payroll, withhold taxes and social contributions, and comply with Norwegian labour laws. Contracts should comply with local standards, and payroll reporting (e.g., A-melding) must be done. Foreign entities or branches must also follow the reporting obligations under Norwegian law when employing staff in Norway.

Discover how Elemental Enzymes accelerated regulatory approvals and market entry with Deel.

Post-registration obligations

Once the company is operational, you must maintain compliance with ongoing obligations. You must file corporate income tax returns, submit annual financial statements to the registry, and maintain internal records (shareholder ledger, board minutes, updated company information with the registry) under the rules of the Brønnøysund Register Centre.

If there are any changes (e.g., shareholders, directors, or address), these must be reported to the register. Failure to maintain compliance (tax filings, corporate governance, proper recordkeeping) can lead to penalties or loss of good standing.

If your company hires employees, you must comply with employment laws — including timely payroll, withholdings, social security contributions, and statutory reporting obligations.

Taxes and financial considerations

You are responsible for:

• Corporate income tax: Approximately 22% on taxable profits
• VAT (VAT/GST): Standard VAT applies (25% is the standard Norwegian VAT rate, though thresholds and exemptions depend on business activities)
• Payroll / social contributions: Employer and employee contributions apply when you hire staff — the employer must withhold and report under the Norwegian social-security system. Foreign entities with employees in Norway must also comply
• Accounting standards: Norwegian businesses must follow the local accounting rules under the Norwegian Companies Act. Annual accounts must be submitted; companies may choose to waive audit under certain conditions, but still must file financial statements

Discover how Climate-KIC navigated complex restructuring with Deel.

Expand internationally with Deel

Whether you’re hiring through an EOR or establishing your own local entity, Deel’s all-in-one platform gives you everything you need to expand into the United Kingdom—quickly, compliantly, and with confidence. From market entry to ongoing operations, Deel helps you hire, onboard, and manage teams seamlessly from day one.

With Deel, you can:

• Test new regions using Deel’s local entities through our Employer of Record service—hire employees compliantly, delegate payroll and taxes, and access localized employment contracts.
• Open entities with Deel Entity Setup, where our team manages everything—from incorporation and tax registration to coordination with local experts.
• Centralize your compliance and records with Deel Entity Management, including automated filings, calendar reminders, and visibility across all entities.
• Integrate with Deel Payroll and Deel HR for compliant payments, benefits, and workforce oversight—all in one platform.

For companies transitioning from the EOR model to owned entities, Deel ensures a smooth handover and consistent compliance every step of the way. Enter new markets, onboard talent, and manage your global workforce—all through one unified platform.

FAQs

How long does it take to open an entity in Norway?
If filing online, the process typically takes 5–10 working days. If using paper/postal submissions, it can take a few weeks. Find out how long setup takes with our Entity Setup Calculator.

What is the minimum capital required?
NOK 30,000 (≈ $3,000–3,500 USD).

Can foreign companies own 100% of an entity in Norway?
Yes. Foreign investors may fully own an AS.

Do I need a local director or representative?
Yes. The company must have at least one board member or director resident in Norway or another EEA country (or the UK/Switzerland).

How much does it cost to register an entity?
Registration fees are approximately NOK 6,500 (online) or NOK 7,653 (paper). Additional costs may include share capital deposit and bank fees. Find out the setup cost with our Entity Setup Calculator.

Can I hire employees before the entity is fully registered?
Typically, no. However, Deel’s Employer of Record (EOR) lets you hire and pay talent immediately while your entity setup is in progress.

Can Deel help me open an entity in Norway?
Yes. Deel Entity Setup manages the end-to-end process — from registration to payroll compliance—in over 100 countries. Deel’s local experts handle documentation, filings, and legal requirements on your behalf.

Does Deel offer ongoing compliance and payroll support?
Yes. Deel offers both managed services and self-service tools to help you stay compliant.

If you’re using Deel Entity Management, Maintenance, EOR, or Payroll, our team handles payroll, benefits, filings, and compliance obligations on your behalf.

For teams managing their own entities, Deel Compliance Hub makes staying compliant simple by providing real-time regulatory updates, risk alerts, and workforce insights across 150+ countries. Proactively manage compliance with our Compliance Monitor, Workforce Insights, and an AI-powered Worker Classifier, staying ahead of changing employment laws.

Can I switch from Deel EOR to my own entity later?
Yes. Deel supports seamless transitions when you’re ready.