{"id":1845,"date":"2026-04-28T15:21:18","date_gmt":"2026-04-28T13:21:18","guid":{"rendered":"https:\/\/flexum.dk\/uncategorized\/setting-up-an-aps-the-12-mistakes-entrepreneurs-make-that-cost-dearly\/"},"modified":"2026-06-12T09:37:35","modified_gmt":"2026-06-12T07:37:35","slug":"setting-up-an-aps-the-12-mistakes-entrepreneurs-make-that-cost-dearly","status":"publish","type":"post","link":"https:\/\/flexum.dk\/en\/company-formation\/setting-up-an-aps-the-12-mistakes-entrepreneurs-make-that-cost-dearly\/","title":{"rendered":"Setting up an ApS: The 12 mistakes entrepreneurs make that cost dearly"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"1845\" class=\"elementor elementor-1845 elementor-495\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-5f0275b e-flex e-con-boxed e-con e-parent\" data-id=\"5f0275b\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-64ee870 elementor-widget elementor-widget-text-editor\" data-id=\"64ee870\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t\t\t\t\t\t<p class=\"text-xl text-foreground font-medium mb-8 leading-relaxed\">When you want to set up an ApS, it is tempting to focus on \u201cCVR tomorrow\u201d. The problem is that setting up an ApS involves a lot of formalities that authorities and banks take very seriously. Here are the 12 classic mistakes\u2014and how to avoid them.  <\/p><div class=\"prose prose-lg max-w-none\"><p>When you want to <a href=\"https:\/\/flexum.dk\/en\/company-formation\/\">set up an ApS<\/a>, it is tempting to focus on \u201cCVR tomorrow\u201d and get started. The problem is that setting up an ApS involves a lot of formalities that authorities and banks take very seriously. Most mistakes are not due to bad intentions\u2014but to a lack of overview.  <\/p><p>Below are the classic mistakes I see again and again when people want to set up an ApS. In reality, it is rarely one mistake that derails the project\u2014it is the accumulation of small things. <\/p><h2>Mistake 1: Believing \u201cfree\u201d means everything is free<\/h2><p>Many people start <a href=\"https:\/\/flexum.dk\/en\/company-formation\/\">setting up an ApS<\/a> and are surprised that there are still statutory costs.<\/p><h3>Facts<\/h3><p>Incorporating an ApS involves a registration fee payable to the Danish Business Authority (DKK 670). (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/p><p>You must also meet the capital requirement (see mistake 2).<\/p><blockquote><p>\u201cI thought the incorporation was free\u2014so why do I have to pay now?\u201d<\/p><\/blockquote><p>This causes drop-off midway through the process. The solution is simple: always separate the \u201cservice fee\u201d from \u201cstatutory fees\u201d. <\/p><h2>Mistake 2: Misunderstanding the share capital (DKK 20,000)\u2014or the documentation for it<\/h2><p>The share capital is not a \u201cstarter package\u201d you can ignore. It is a legal requirement, and the capital requirement for an ApS is DKK 20,000 from 27 February 2025. (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/p><h3>And there is more<\/h3><ul><li>Upon registration, the company cannot be registered unless at least 25% of the capital (but at least DKK 20,000) has been paid in. (<a href=\"https:\/\/elov.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">elov.dk<\/a>)<\/li><li>In practice, third-party confirmation of capital (e.g., bank\/lawyer\/auditor) is often required, and many are caught out if they have tried to do it \u201ccleverly\u201d without traceability.<\/li><\/ul><blockquote><p>You transfer DKK 20,000 from a personal account to a \u201ctemporary account\u201d, but cannot document the capital\u2019s trail or provide confirmation in a format the bank accepts. Result: registration\/banking comes to a standstill. <\/p><\/blockquote><h2>Mistake 3: Drafting the incorporation document\/articles of association \u201chalfway\u201d or with an unclear purpose<\/h2><p>An ApS requires formal documents: an incorporation document and articles of association (as well as a register of owners). (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>) When people want to set up an ApS, they underestimate how often unclear wording causes problems later.<\/p><h3>Typical issues<\/h3><ul><li>The purpose is far too broad (\u201canything and everything\u201d) or too narrow (so you later have to amend the articles).<\/li><li>Unclear ownership structure, share classes, or signing rules.<\/li><li>No register of owners is created from the outset (or it is not kept up to date). (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/li><\/ul><blockquote><p>You start out as a \u201cconsultant\u201d, but suddenly want to sell digital products and hire staff. If the documents are drafted too narrowly, you end up with amendments, registrations, and extra costs. <\/p><\/blockquote><h2>Mistake 4: Overlooking the 2-week deadline for registration after signing<\/h2><p>This is a classic\u2014and it is expensive because it feels \u201cadministrative\u201d.<\/p><p>The rule is clear: A limited liability company must be registered no later than 2 weeks after the incorporation document is signed; otherwise, registration cannot take place. (<a href=\"https:\/\/elov.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">elov.dk<\/a>)<\/p><blockquote><p>You sign on Friday. Then there is a holiday, busyness, \u201cwe are just waiting for the bank\u201d\u2026 and suddenly 16 days have passed. In practice, you then have to start over with new documents\/dates.  <\/p><\/blockquote><h2>Mistake 5: Underestimating the bank\u2019s KYC and timeline<\/h2><p>When you want to set up an ApS, the bank is often the bottleneck. Not because the bank is difficult for the sake of it, but because banks are subject to customer due diligence and risk assessment requirements. <\/p><h3>This is where it typically goes wrong<\/h3><ul><li>You do not have a clear overview of ownership, beneficial owners, identification, business model, and expected transactions.<\/li><li>You cannot explain \u201cwhere the money comes from\u201d (the origin of the capital).<\/li><li>There are inconsistencies between what you have stated as the purpose\/industry and what you actually do.<\/li><\/ul><h3>Consequence<\/h3><p>Your CVR may be in place, but you cannot get a business account quickly enough for operations, payments, and VAT.<\/p><p>Also read: Set up an ApS with Lunar and Flexum\u2014a guide to fast bank account opening.<\/p><h2>Mistake 6: Forgetting to register\/maintain beneficial owners<\/h2><p>An ApS is subject to the rules on registering beneficial owners. (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>) As a rule of thumb, an indicator of a beneficial owner is more than 25% ownership\/voting rights (but control can also be exercised in other ways). (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/p><h3>Two classic mistakes<\/h3><ul><li>Beneficial owners are never registered correctly.<\/li><li>They are registered once\u2014and then not kept up to date.<\/li><\/ul><p>The Danish Business Authority\u2019s guidance indicates that the company should, at least once a year, check whether the information is correct and register changes as soon as possible when it becomes aware of them. (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/p><blockquote><p>You give a partner 30% after 6 months\u2014but the CVR is not updated. This often hits you when the bank or a business partner checks the ownership structure. <\/p><\/blockquote><h2>Mistake 7: Waiting too long to register for VAT<\/h2><p>VAT is one of the most common stumbling blocks for new companies.<\/p><p>The Danish Tax Agency states that a business must register for VAT when it sells VAT-liable goods\/services for more than DKK 50,000 within a calendar year, and that it is optional below the threshold. (<a href=\"https:\/\/skat.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">skat.dk<\/a>)<\/p><h3>The mistake is typically<\/h3><ul><li>You invoice before you are properly VAT-registered.<\/li><li>You have no idea whether services are subject to VAT or not (some areas are exempt). (<a href=\"https:\/\/skat.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">skat.dk<\/a>)<\/li><\/ul><blockquote><p>You send an invoice without VAT, but should have charged VAT. Then you have to correct it afterwards\u2014often with unhappy customers. <\/p><\/blockquote><h2>Mistake 8: Keeping \u201chobby accounts\u201d and forgetting the requirements for digital bookkeeping<\/h2><p>The days when you could run an ApS with folders and random Excel sheets are over.<\/p><p>The Danish Business Authority has implemented digital bookkeeping in stages, and from 1 January 2026 digital bookkeeping will also be mandatory for a large group of sole proprietorships\/associations above a turnover threshold, as part of the Bookkeeping Act. (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/p><p>The point for an ApS: You must treat bookkeeping as a system choice from day 1 (not \u201cwhen money starts coming in\u201d).<\/p><blockquote><p>You choose a setup that cannot provide an audit trail for vouchers, backups, or structure\u2014and then you spend months cleaning up later.<\/p><\/blockquote><h2>Mistake 9: Mixing personal finances and the company\u2019s finances<\/h2><p>When you want to <a href=\"https:\/\/flexum.dk\/virksomhedsoprettelse\/\">set up an ApS<\/a>, you get limited liability\u2014but only if you run the company properly.<\/p><h3>Typical mistakes<\/h3><ul><li>Personal withdrawals for \u201cjust one thing\u201d without proper bookkeeping.<\/li><li>Using personal subscriptions and cards without clear documentation.<\/li><li>\u201cLending\u201d the share capital out\/back without documentation.<\/li><\/ul><blockquote><p>You pay for everything personally and \u201center it later\u201d. Later never comes. And when your auditor\/bookkeeper or bank asks, you cannot account for it.  <\/p><\/blockquote><h2>Mistake 10: Choosing a management structure without understanding the responsibility<\/h2><p>The Danish Companies Act allows for different management structures (e.g., board of directors + executive management). (<a href=\"https:\/\/admin.elov.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">elov.dk<\/a>) Many new founders appoint themselves as managing director without understanding that it is a role with responsibility, duties, and expectations (and that the documents should reflect reality).<\/p><blockquote><p>In reality you are on your own, but have \u201cput some names on it\u201d without clarifying responsibilities. It gets ugly in the event of disagreements, illness, or if investors come in. <\/p><\/blockquote><h2>Mistake 11: Starting without simple, old, but necessary core documents<\/h2><p>Traditionally, you have always had control of:<\/p><ul><li>Customer terms (payment terms, delivery, complaints)<\/li><li>Agreements with suppliers<\/li><li>Employment terms, if you hire staff<\/li><li>GDPR if you handle personal data<\/li><\/ul><p>It is \u201cboring\u201d, but it is what ensures an ApS survives when it grows up.<\/p><p>Also read: Setting up an ApS company\u2014advantages and disadvantages in 2026<\/p><h2>Mistake 12: Underestimating the time\u2014and not creating a realistic startup checklist<\/h2><p>If you want to set up an ApS without stress, think in sequence:<\/p><ol><li>Documents (incorporation\/articles\/register of owners) (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/li><li>Capital and documentation (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/li><li>Registration within 2 weeks (<a href=\"https:\/\/elov.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">elov.dk<\/a>)<\/li><li>Bank\/KYC materials ready<\/li><li>VAT registration when relevant (<a href=\"https:\/\/skat.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">skat.dk<\/a>)<\/li><li>Bookkeeping and routines from day 1 (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/li><li>Beneficial owners correctly registered and kept up to date (<a href=\"https:\/\/erhvervsstyrelsen.dk\/\" target=\"_blank\" rel=\"noopener noreferrer\">erhvervsstyrelsen.dk<\/a>)<\/li><\/ol><h2>Conclusion: Setting up an ApS is straightforward\u2014if you do it in the right order<\/h2><p><a href=\"https:\/\/flexum.dk\/en\/company-formation\/\">Setting up an ApS<\/a> is not difficult, but it is formal. Most mistakes entrepreneurs make come from skipping \u201cthe boring stuff\u201d. <\/p><p>Do you need help getting started? Read our complete guide to setting up an ApS in 2026, or see whether you can <a href=\"https:\/\/flexum.dk\/en\/company-formation\/set-up-an-aps-without-capital-is-it-possible-in-2026\/\">set up an ApS without capita<\/a>l. <\/p><p><img decoding=\"async\" class=\"emoji\" role=\"img\" draggable=\"false\" src=\"https:\/\/s.w.org\/images\/core\/emoji\/17.0.2\/svg\/1f4e5.svg\" alt=\"\ud83d\udce5\" title=\"\"> <strong>Download the free startup checklist here (PDF)<\/strong><\/p><hr><h3>Disclaimer<\/h3><p><em>This article is for informational purposes only and does not constitute legal, tax, or financial advice. Rules may change, and individual circumstances vary. We always recommend that you consult a lawyer, auditor, or tax adviser before deciding on a company structure.  <\/em><\/p><\/div>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>When you want to set up an ApS, it is tempting to focus on \u201cCVR tomorrow\u201d. The problem is that setting up an ApS involves a lot of formalities that authorities and banks take very seriously. Here are the 12 classic mistakes\u2014and how to avoid them. When you want to set up an ApS, it [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1847,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[61],"tags":[62],"class_list":["post-1845","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-company-formation","tag-article"],"acf":[],"_links":{"self":[{"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/posts\/1845","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/comments?post=1845"}],"version-history":[{"count":4,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/posts\/1845\/revisions"}],"predecessor-version":[{"id":2100,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/posts\/1845\/revisions\/2100"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/media\/1847"}],"wp:attachment":[{"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/media?parent=1845"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/categories?post=1845"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/flexum.dk\/en\/wp-json\/wp\/v2\/tags?post=1845"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}