Selling a sole trader
Selling the assets and liabilities of your sole proprietorship can be the biggest deal you make as an entrepreneur. With good planning, you can avoid many problems.
Important points when selling a sole trader
1. Prepare the sale
Since a sole proprietorship is not a legal entity, you can only sell the assets and liabilities of your business. Plan well in advance so that you have power over the process. Think about
- how much of the company you want to sell
- what types of buyers you have in mind and how they will finance the purchase
- the organisation and structure of the company so that the business does not depend on you. A well-run business also becomes more attractive to buyers
- your role after the sale. What will be the tax consequences, secure money to live on when you retire.
If you want help planning your sales and getting an objective assessment of your business, you can hire a qualified adviser.
If you instead want to give someone your business as a gift, you can read more about how to do it on the page for generational change.
Be careful with whom you do business
Be extra vigilant about which company you do business with when selling your company. It is easy to be deceived.
Be careful when selling or closing your business - Companies Registration Office (in Swedish)
2. Deregister
If you sell all the assets and liabilities of your sole proprietorship, you must deregister F-tax, VAT and as employer with the Swedish Tax Agency when the sale is complete. If you have only sold part of the business, you may need to change your SNI codes. Note that this service is only available in Swedish.
Change debited preliminary tax
As you sell all or part of your business, you may need to change your debited preliminary tax.
Preliminary income declaration 1 for natural persons (SKV 4314) at the Tax Agency (in Swedish)
Deregister cash register
If you are no longer going to use a previously registered cash register, you must deregister it at the Tax Agency.
Deregister staff register
If you have previously used a staff register and have now ceased operations where required, you must save it for two full calendar years after the year you ended the business. If you carry out construction activities, the construction site must be deregistered no later than 14 days after the actual activity at the construction site has ceased.
Staff register at the Swedish Tax Agency (in Swedish)
Deregister excise duty
If you no longer need to be registered for excise duty, you must deregister by submitting the form Deregistration – Excise duty (SKV 5335).
Deregistration - Excise duty (SKV 5335) at the Swedish Tax Agency (in Swedish)
Revoke representative's authorizations
If you have previously notified someone who is authorized to view or provide information for you via the Swedish Tax Agency's e-services, you must revoke the authorizations if they are no longer needed.
Report that the business and company name are to be taken over
If you have protected your business name and are registered as a sole trader with the Swedish Companies Registration Office, you and the buyer of the business must notify that the business and the company name are to be taken over. The buyer then needs to protect the company name at the Swedish Companies Registration Office by registering it before you deregister the company, so that the buyer can keep the name protection. The Swedish Companies Registration Office sends a registration certificate when the company is registered. Note that this service is only available in Swedish.
You must notify the Swedish Companies Registration Office that you want to deregister the company. The Swedish Companies Registration Office sends a registration certificate when the company is deregistered. Note that this service is only available in Swedish.
3. Report the sale
You report the sale in your income tax return with attachments.
K7 - Sales - Commercial property with the Swedish Tax Agency (in Swedish)
K8 - Sales - Business residence rights with the Swedish Tax Agency (in Swedish)
Accounting if you have sold the entire business
You must submit the NE attachment up to and including the last year you were registered. You submit the attachment together with your income tax return.