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How is a Swedish foundation formed and who is liable?

Property must be set aside under a founding instrument for lasting administration as an independent fund for a specified purpose. Someone must take charge of the property and undertake its administration under that instrument. The foundation can acquire rights and assume obligations. Only foundation assets are liable for its obligations.

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What the rules say

  • Property must be set aside under a founding instrument for lasting administration as an independent fund for a specified purpose. Someone must take charge of the property and undertake its administration under that instrument.
  • The foundation can acquire rights and assume obligations. Only foundation assets are liable for its obligations.

The requirements line by line

The requirements line by line
QuestionRequirementSource
FormationProperty must be set aside under a founding instrument for lasting administration as an independent fund for a specified purpose. Someone must take charge of the property and undertake its administration under that instrument.Stiftelselagen (1994:1220)
Legal capacity and liabilityThe foundation can acquire rights and assume obligations. Only foundation assets are liable for its obligations.Stiftelselagen (1994:1220)

What it means for the company

Check the founding instrument, separation of property and who undertook administration. Also check applicable registration and supervision duties.

What it means for the individual

Personal liability depends on your role, any personal guarantees and the circumstances of the individual case.

Source lines

  • Svensk författningssamling, Riksdagen
    Stiftelselagen (1994:1220) · read 2026-10-30 · proof ea0675615b8ae772

Next step

Check the founding instrument, separation of property and who undertook administration. Also check applicable registration and supervision duties.

All questions for small businesses

This page reports what the sources say, with the identifier and address of the publisher. It is not legal advice and does not decide an individual matter.

Next step

Three ways to put the register to work in your own practice.

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