Starting a business while unemployed – benefit eligibility ends
If you start your own business while unemployed, your right to unemployment benefits ends. This is because unemployment benefits cannot be used to build a business or to supplement income in a business with poor profitability. The day you start your business, you must notify us, and from that same day, you must stop submitting time reports—or report full-time work if it’s mid-week.
When are you considered a business owner?
We make an overall assessment to determine whether you are considered a business owner or unemployed. We look at factors such as:
Whether you submit quotes, market your business, or have customer contact
Whether you register a business name, obtain an F-tax certificate, rent premises, or similar
These are strong indicators that you are a business owner, but each activity must be assessed in context. Contact us so we can determine together the date your business is considered active.
Remain a member of the unemployment fund
Stay a member with us when you start your business. If your business turns out to be unprofitable and you have to close it down, you may be eligible for benefits again. For example, if you have been running the business for less than 12 months, you may continue your current benefit period.
Support for starting a business
Support for starting a business—also known as start-your-own-business support—is granted by Arbetsförmedlingen. Contact your employment officer for more information.