#

Ease of Doing Business in

Sweden

Sweden Download Profile (1642.9KB, pdf)
Region OECD high income
Income Category High income
Population 9,798,871
GNI Per Capita (US$) 57,810
City covered Stockholm

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 9 9
0
82.13 81.61 down
0.52
Starting a Business 15 12 down
3
94.64 94.61 up
0.03
Dealing with Construction Permits 25 23 down
2
78.85 78.75 up
0.10
Getting Electricity 6 8 up
2
96.20 93.08 up
3.12
Registering Property 10 11 up
1
90.11 88.86 up
1.25
Getting Credit 75 70 down
5
55.00 55.00
-
Protecting Minority Investors 19 15 down
4
71.67 71.67
-
Paying Taxes 28 30 up
2
85.28 85.28
-
Trading across Borders 18 18
-
98.04 98.04
-
Enforcing Contracts 22 22
-
72.04 72.04
-
Resolving Insolvency 19 19
-
79.44 78.75 up
0.69

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

19

DB 2016 Rank:

19

Change in Rank:

0

DB 2017 DTF (% points):

79.44

DB 2016 DTF (% points):

78.75

Change in DTF (% points):

up0.69

Indicator Sweden OECD high income
Recovery rate (cents on the dollar) info_outline 77.9 73.0
Time (years) info_outline 2 1.7
Cost (% of estate) info_outline 9 9.1
Outcome (0 as piecemeal sale and 1 as going concern) info_outline 1 ..
Strength of insolvency framework index (0-16) info_outline 12 12.1
  • Indicator Explanation Answer
    Recovery rate (cents on the dollar) 77.9
    Proceeding Any creditor can initiate insolvency proceedings. There are generally two options - liquidation under the Bankruptcy Act and reorganization under the Reorganization of Business Act. Liquidations are much more prevalent in Sweden than reorganizations, thus BizBank will likely commence liquidation proceedings. liquidation
    Outcome A viable company will always be sold as a going concern as the preferred option. going concern
    Time (in years) After the BizBank files the claim to commence liquidation proceedings, the court will make a decision declaring Mirage insolvent and appointing an administrator (trustee). Debtor will take an oath in court to verify its inventory. The administrator will prepare a report on the debtor's financials. Creditors will submit proof of their claims. If there are any disputes about creditors' claims, they will be litigated. No creditors' meetings will be held during the proceedings and the court will not be heavily involved. Assets are normally sold through a tender, the administrator will advertise the sale and potential buyers will submit their bids. The longest part of the proceedings will be litigation of creditors' claims. 2.0
    Cost (% of estate) Major expenses will include attorneys' fees and remuneration of the administrator. 9.0
    Answer Score
    Strength of insolvency framework index (0-16) 12.0
    Commencement of proceedings index (0-3) 3.0
    What procedures are available to a DEBTOR when commencing insolvency proceedings? (a) Debtor may file for both liquidation and reorganization 1.0
    Does the insolvency framework allow a CREDITOR to file for insolvency of the debtor? (a) Yes, a creditor may file for both liquidation and reorganization 1.0
    What basis for commencement of the insolvency proceedings is allowed under the insolvency framework? (a) Debtor is generally unable to pay its debts as they mature 1.0
    Management of debtor's assets index (0-6) 6.0
    Does the insolvency framework allow the continuation of contracts supplying essential goods and services to the debtor? Yes 1.0
    Does the insolvency framework allow the rejection by the debtor of overly burdensome contracts? Yes 1.0
    Does the insolvency framework allow avoidance of preferential transactions? Yes 1.0
    Does the insolvency framework allow avoidance of undervalued transactions? Yes 1.0
    Does the insolvency framework provide for the possibility of the debtor obtaining credit after commencement of insolvency proceedings? Yes 1.0
    Does the insolvency framework assign priority to post-commencement credit? (b) Yes over ordinary unsecured creditors but not over secured creditors 1.0
    Reorganization proceedings index (0-3) 1.0
    Which creditors vote on the proposed reorganization plan? (b) Only creditors whose rights are affected by the proposed plan 1.0
    Does the insolvency framework require that dissenting creditors in reorganization receive at least as much as what they would obtain in a liquidation? No 0.0
    Are the creditors devided into classes for the purposes of voting on the reorganization plan, does each class vote separately and are creditors in the same class treated equally? No 0.0
    Creditor participation index (0-4) 2.0
    Does the insolvency framework require approval by the creditors for selection or appointment of the insolvency representative? No 0.0
    Does the insolvency framework require approval by the creditors for sale of substantial assets of the debtor? No 0.0
    Does the insolvency framework provide that a creditor has the right to request information from the insolvency representative? Yes 1.0
    Does the insolvency framework provide that a creditor has the right to object to decisions accepting or rejecting creditors' claims? Yes 1.0

Note: Even if the economy’s legal framework includes provisions related to insolvency proceedings (liquidation or reorganization), the economy receives 0 points for the strength of insolvency framework index, if time, cost and outcome indicators are recorded as “no practice”.