Includes special features of this country’s banking system and rules/laws that might impact U.S. business.
  • The vast majority of small-to-medium-sized Danish firms are financed by commercial bank lines of credit.  The credit line is typically extended on a continuous, revolving basis and is not subject to an annual settlement.  Such credit lines are usually established to finance day-to-day operations, including inventory financing.  Larger corporations may obtain capital through stock offerings on the Copenhagen Stock Exchange.  Some larger Danish companies may also make use of U.S. stock exchanges.  Institutional investors, such as pension funds, also play a major role in financing Danish companies, and such investments are usually carried out following individual negotiations.  Financing is often a problem for small-to medium-sized companies with high growth or growth potential.  Frequently, such companies choose to or are forced to solve their financing problems by selling out to foreign, including U.S., corporations.  During the last decade, the concept of venture capital has also caught on in Denmark and that can now be described as an established method of financing.  However, venture capital funding applies primarily to IT and biotechnology companies. 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.