How to Register a Sole Proprietorship (Enkeltpersonforetak) in Norway

In Norway, many freelancers, consultants, and small business owners operate through a sole proprietorship, known locally as enkeltpersonforetak. It’s one of the simplest ways to start working for yourself, giving you a fast and affordable path to independence.

The process is mostly digital. You register through the Brønnøysund Register Centre using the Altinn platform, and you don’t need any start-up capital. Most applications are processed in just a few days, allowing you to get started quickly.

Once you’re registered, Deel can help you manage the day-to-day of being self-employed. From generating compliant invoices to receiving international payments and accessing benefits often reserved for employees, Deel makes running a business as a sole proprietor easier and more secure.

Disclaimer: This article is for informational purposes only and is not a substitute for legal advice. Please always check official sources or seek professional guidance before taking action.

What is a sole proprietorship in Norway?

In Norway, a sole proprietorship is officially called enkeltpersonforetak (ENK). It may also be referred to as a sole trader, self-employed worker, or independent contractor. All these terms describe one person legally running a business without forming a company.

How does a sole proprietorship (enkeltpersonforetak) work in Norway?

Enkeltpersonforetak vs limited company (AS) in Norway

While a sole proprietorship is quick and affordable to set up, some entrepreneurs may prefer to establish a limited company (aksjeselskap, AS) for liability protection and growth potential. Here’s how the two structures compare:

Step-by-step guide: how to register a sole proprietorship in Norway

Step 1: Check your eligibility

You must be at least 18 years old to register. Young people between 15 and 17 can also apply, provided they have consent from a guardian and approval from the County Governor, which can be requested online. To qualify, you’ll need a Norwegian business address and either a national ID number or a D-number (a temporary identification number for foreign nationals). Non-EU/EEA citizens must also hold a valid work-related residence permit.

Step 2: Choose your business name

Your surname must appear in the official business name. A marketing name can also be registered. Availability can be checked via Navnesøk.

Step 3: Gather required documents

You’ll need:

• National ID number or D-number
• Norwegian business address
• Proof of age
• Residence permit if you are a non-EU/EEA citizen
• Certified ID copy if applying by paper form and requesting a D-number
• Business description—a short description of the planned business activity
• Registration form: either online via Altinn Coordinated Register Notification or the simplified paper form BR1025

Step 4: Register with the Brønnøysund Register Centre

File online through Altinn or use the simplified paper form BR1025.

Step 5: Pay registration fees

The registration fees depend on which register your business needs to be entered into:

• Enhetsregisteret (Central Coordinating Register for Legal Entities): All sole proprietorships must be registered here. The fee is NOK 2,683 if you file digitally or NOK 3,378 if you submit a paper form
• Foretaksregisteret (Register of Business Enterprises): Not all sole proprietorships need to be listed here. You must register if you sell goods you’ve bought for resale, or if you plan to employ five or more people. The fee is NOK 3,379 for digital filing or NOK 3,925 for paper filing.

Step 6: Complete post-registration obligations

When running an enkeltpersonforetak, you must also issue invoices that meet the requirements set by the Norwegian Bookkeeping Act. Each invoice must include details such as your organisation number, the buyer’s name and address, an invoice number, the date of issue, a description of the goods or services, and the VAT amount if applicable.

If you are registered for VAT, the invoice must clearly state “MVA” (the Norwegian abbreviation for VAT) after your organisation number.

Financial and tax obligations for sole proprietors in Norway

You are responsible for:

• Income tax (inntektsskatt): Sole proprietors are taxed as individuals, not companies. Profits are declared in your personal tax return and taxed at progressive rates: 22% on lower income brackets, rising up to 45% on higher earnings (2025). Filing is done annually with the Norwegian Tax Administration (Skatteetaten). Advance tax is usually paid in four instalments each year (March, June, September, December).
• VAT (merverdiavgift/MVA): Most businesses must charge VAT once annual turnover exceeds NOK 50,000 within 12 months. The standard rate is 25%, with reduced rates of 15% and 12% on certain products. VAT returns are normally filed every two months.
• Social security contributions (trygdeavgift): Sole proprietors pay 11.4% social security contributions on net business income. This gives access to health services, parental benefits, and a basic state pension, though benefits are lower than for employees. Many choose to supplement with private pension savings or insurance.
• Record-keeping: Sole proprietors must keep proper accounts if turnover exceeds NOK 50,000. Records include invoices, receipts, and accounts, and must be retained for at least five years in case of inspection. Even below this threshold, good bookkeeping is recommended.
• Tax deductions (fradrag): Several deductions can reduce taxable income, including business expenses such as office costs, travel, and equipment. If you work from home, you may also deduct a portion of household costs. Guidance is available from Skatteetaten.

Launch your contracting career and stay compliant with Deel

Registering a sole proprietorship gives you independence, but it also means handling taxes, invoices, and records on your own. Deel’s all-in-one platform helps you manage obligations without the stress. With Deel, you can:

• Automate invoicing and expense tracking with essential Bookkeeping tools
• Create, send, and sign localised work agreements
• Keep accurate records for tax season
• Access expert tax advice and compliance support
• Get paid through multiple payment and withdrawal methods
• Spend your earnings in USD with the Deel Card
• Access funds early with Deel Advance
• Enjoy contractor perks from 150+ partners

Stay independent, without the admin overload. Sign up to Deel for free today.

FAQs

What is the minimum capital required to start an enkeltpersonforetak in Norway?
None.

Do sole proprietors need to register for VAT?
Yes, if turnover exceeds NOK 50,000 in a year.

How much are the standard contributions?
Advance tax is paid quarterly, with rates of 22%–45% income tax plus 10.9% social security contributions depending on your income.

Can an enkeltpersonforetak hire employees?
Yes, but if you hire five or more, you must register in the Business Enterprises Register.

How long does it take to register?
Online applications are usually processed within days. Paper submissions take longer.

Can foreign nationals register?
Yes, EU/EEA citizens may, with a Norwegian address, non-EU/EEA citizens need a valid residence permit.

Do you need a business bank account?
Not mandatory, but strongly recommended.

What happens if I stop working as a sole proprietor?
You must deregister via Altinn and submit a final tax return.

Are there incentives for new sole proprietors?
No special discounts, but costs are low and digital registration is streamlined. Free courses are offered by the Tax Administration.

Can I use Deel as a sole proprietor to get paid by international clients?
Yes. Deel supports multi-currency payments with low fees and transparent exchange rates.

Does Deel generate compliant invoices?
Yes. Deel automatically creates invoices that meet Norwegian legal requirements.

Can Deel help with taxes?
Yes. Deel provides downloadable tax reports and payment records.

Does Deel offer contracts for freelancers?
Yes. Deel provides templates compliant with Norwegian law.

Can I access benefits through Deel?
Yes. Deel offers optional health, pension, and other perks usually reserved for employees.