Denmark - Market Entry and Legal Services

Lawyer & Law Firm in Denmark

Located in the Nordic region, Denmark, is an advanced, high income and highly connected country having per capita GDP among the highest in the world and well-developed social services.  Danish economy is primarily based on service, trade, and manufacturing sectors with only small percentage of the population engaged in agriculture and fishing. Denmark is a staunch supporter of liberal trade and investment policies and actively promotes foreign investment.

Denmark is a technologically advanced country with state-of-the-art infrastructure and a highly skilled workforce. Moreover, its central location makes the country an excellent distribution point for the Scandinavian, Northern European, and Baltic markets. Forged in September 1949, the diplomatic ties between India and Denmark are characterized by regular high-level interactions. These relations are based on historical connections, shared democratic values and a mutual commitment towards global peace and stability.   

COMMERCIAL RELATIONS BETWEEN INDIA-DENMARK

• Over the years, bilateral trade in goods and services between India and Denmark has witnessed significant growth, surging by 78% from USD 2.8 billion in 2016 to USD 5 billion in 2021.
• Key export items from India to Denmark include textiles, apparel, vehicles and components, metal goods, iron and steel, footwear, and travel goods, while major Danish exports to India encompass medicinal/pharmaceutical goods, power generating machinery, industrial machinery, metal waste and ore, and organic chemicals.
• In terms of services, bilateral trade between India and Denmark reached USD 2.3 billion in 2020, with India importing services worth USD 1.3 billion and exporting services valued at USD 1 billion.
• Additionally, direct investment inflows from Denmark to India during April 2000-March 2021 amounted to USD 677.02 million, with approximately 200 Danish companies investing in various sectors such as shipping, renewable energy, environment, agriculture, food processing, and smart urban development.
• Conversely, Indian investments in Denmark as of June 2021 totalled approximately USD 450 million, with around 25 Indian companies operating in sectors such as IT, renewable energy, and engineering.

BUSINESS ADVANTAGE FOR INDIAN COMPANIES IN DENMARK

Denmark provides Indian corporates with a robust business landscape which is stable and transparent coupled with access to a highly skilled workforce and most importantly an entry point into the large European market. Denmark’s focus on innovation and sustainability offers various opportunities for collaboration especially in the green-tech sectors. Furthermore, the high quality of life with excellent healthcare and education systems, make Denmark more appealing destination for foreign investors seeking to thrive and attract best talent.

INCENTIVES AND SUPPORT PROGRAMS BY DENMARK FOR INDIAN COMPANIES

Denmark offers various incentives and support programs to encourage investment and business collaborations with Indian companies. These initiatives aim to facilitate growth, innovation, and economic cooperation between the two countries. Here are some of the key incentives and support programs provided by Denmark for Indian companies:

• Investment Promotion: Denmark provides assistance and guidance to Indian companies, through agencies such as Invest in Denmark which offer information on investment opportunities, market conditions, regulatory frameworks, and assistance with establishing business operations in Denmark.
• Financial Support: Danish government agencies and institutions offer financial incentives and support programs to attract foreign investment. This may include grants, loans, and tax incentives for eligible projects and investments in various sectors, including renewable energy, innovation, and research and development.
• Innovation and Research Collaboration: Denmark encourages collaboration and partnerships between Indian and Danish companies in innovation and research. Programs such as Innovation Fund Denmark facilitate joint research projects, technology transfer, and innovation initiatives between companies and research institutions from both countries.
• Export Promotion: Danish government agencies and trade promotion organizations provide support to Indian companies looking to export their products and services to Denmark and other European markets.
• Sector-specific Initiatives: Denmark offers sector-specific support programs and initiatives tailored to the needs of Indian companies operating in key sectors such as renewable energy, healthcare, information technology, and agriculture.
• Start-up Support: Denmark offers support programs for Indian start-ups looking to expand their operations or establish a presence in the country. This may include access to co-working spaces, incubators, accelerators, mentorship programs, and funding opportunities for early-stage start-ups.

HOW TO SET UP BUSINESS IN DENMARK

• Selecting the Legal Entity
• Register the business online with the Danish Business Authority to obtain a CVR number.
• Registration with Danish Tax Authority
• Submission of Articles of Association
• Issuance of Employment Contracts & secure mandatory industrial injury insurance.
• Obtaining necessary Permits & approvals
• Hiring and Transferring Employees

VISA AND IMMIGRATION

Denmark provides different types of Visas to foreign nationals depending upon the purpose and duration of their visit. Here are the common types of visas required for conducting business or for working in Denmark:

• Business Visa
• Work Visa
• Investor Visa
• Entrepreneur Visa
• Sponsorship Visa

In summary, Denmark provides various lucrative business opportunities and a strategic entry point to penetrate the Northern European market. The stable economy with highly educated workforce and favourable business environment makes it an attractive destination for foreign investors. However, it is crucial to undertake an in-depth market analysis to gain insight into the cultural, regulatory, and business landscape of the country before entering the market. With a comprehensive market study, tailored business plan and personalized marketing strategies, Indian businesses can thrive in the Danish market and successfully access the European market.  

To read more about the Denmark market and various business opportunities – CLICK HERE

HOW DO WE HELP?

We at India Law Offices LLP (ILO) are dedicated in providing exceptional legal services to our clients in India and overseas. Over the past two decades, we have worked diligently to expand our international presence by forming strategic partnerships, both formal and informal, with highly respected law firms based in major commercial centres around the world. These partnerships have enabled our firm to provide effective and seamless representation to our clients in any jurisdiction. Additionally, it has helped us in adhering to varied requirements of our clients, ensuring that they receive best legal support across borders.

Being part of various international legal and business networks coupled with our robust global partnerships has helped our firm in making business possible for our clients in any part of the world. We offer comprehensive legal support to all Danish companies that are willing to enter the Indian market and provide them assistance with setting up a subsidiary or branch office in India, negotiating important commercial contracts and navigating the complexities of regulatory compliances. Simultaneously, we provide personalized legal and corporate support to Indian businesses that are interested in expanding their business to Danish market. In collaboration with our counterparts in Denmark, we advise Indian and Danish companies on all types of cross-border transactions including Mergers and Acquisitions (M&A), Joint Ventures, and other related alliances. We, along with our Danish partners, are committed in supporting our clients in successfully navigating nuances involved in the India-Denmark business collaboration. Following are some of the key practice areas of our firm:

• Corporate and M&A – Incorporation of Company, Branch Office, Merger & Acquisitions, Joint venture, Technical Collaboration, Taxation, Financial Reporting
• Commercial Contracts – Drafting & vetting of contracts like franchising, distribution, sales and marketing, licensing etc.
• Business and Civil Litigation – Representation before courts and judiciary bodies, Arbitration, Mediation
• Immigration – Obtaining Visa, Citizenship, Visa extension, Work Permit etc.
• Labour & Employment – Advice on Employment Laws, Tax implication on French nationals working in India, Drafting Employment Contracts & HR Policy
• Real Estate – Buying & Selling of Property, Development of real estate projects.
• Intellectual Property Rights – Trademark, Copyright & Patents registration
• Family Law and Inheritance – Cross border Divorce, Marriage Registration, Child Custody, Adoption, Drafting Will, Setting up Trust or Estate

OUR PARTNER IN DENMARK

India Law Offices works closely with ADVODAN Holbæk København, a reputed Danish law firm, to provide comprehensive legal services to clients on cross-border matters related to India and Denmark.  ADVODAN Holbæk København, part of the nationwide Advodan Law Firm, specializes in Corporate and Commercial Law, Labour & Employment, Mergers and Acquisitions, Data Privacy, Civil and Criminal Litigation, Family Law, Inheritance, and Real Estate.

If you are a Danish company or individual seeking assistance in India or an Indian entrepreneur planning to enter the Denmark market, we encourage you to complete the form below and connect with our team of legal experts. We are dedicated and committed in providing best guidance and support based on your specific requirements.