Can you use an international service like Wise or Revolut?​

Yes, it’s possible to use services like Wise, Revolut, or OneMoneyWay for your business finances. But there are important trade-offs to consider.

Pros and cons of each option

1. Danish business bank accounts

Pros:

• Works with Danish systems: ​Danish banks connect easily with tools like MobilePay, Betalingsservice, and NemKonto..
• Compliance and credibility: Banks are well-regulated, making it easier to meet tax and legal requirements.
• Regulatory protection: Your deposits (up to €100,000 per institution) are insured by the Danish Financial Supervisory Authority via the Guarantee Fund (Garantiformuen).
• Better for tax reporting: Danish bank accounts integrate with SKAT’s systems and make it easier to track VAT, submit reports, and receive refunds.
• Automatic NemKonto registration: Most Danish banks register your account as a NemKonto, allowing automatic payments from public authorities.

Cons:

• Strict application process: Banks follow strong Know Your Customer (KYC) and anti-money laundering rules, so you’ll need to provide full and clear documentation.
• Higher fees: Monthly and transaction costs are usually higher than online platforms.
• More oversight: Unusual transactions may trigger extra checks or delays. While this can slow things down, it also increases security and helps prevent fraud.

2. International online payment services (Wise, Revolut, OneMoneyWay, 3S Money, Zento)

Pros:

• Quick setup: Accounts can often be opened online in minutes
• Lower fees: International transfers and currency exchanges are often cheaper.
• Multi-currency support: Ideal for businesses working with EU or global clients.
• Fewer location restrictions: Often no need for Danish residency or a local business registration.

Cons:

• Not a full bank: Most platforms don’t offer deposit protection or the full features of a traditional bank.
• Limited integration with Danish systems: No MobilePay, no NemID, and no Betalingsservice support.
• Manual NemKonto setup: You’ll need to register the account yourself, which takes time and paperwork (up to 6 weeks).
• Harder tax reporting: It’s more difficult to keep track of Danish and international transactions separately, which can cause VAT errors.
• Longer transfers: Without a local account, payments take longer to process and can affect your liquidity.
• Extra costs for suppliers: Some may charge more if they don’t get paid in their own currency or on time.
• Limited customer support: Most services only offer online help—there’s no one to speak to in case of serious issues.
• Hidden fees: Currency conversion often includes a margin or spread that increases total costs.

What should you choose?

The right option depends on your business needs:

• Choose a Danish business account if you want strong protection, easier tax handling, and integration with local tools.
• Use an online platform if you need fast setup and lower fees for international payments.
• Or consider using both—a Danish account for local stability and an online platform for flexibility abroad.

How Finklusiv can help

Setting up a business account in Denmark can be difficult, especially if you’re new to the system. At Finklusiv, we help entrepreneurs understand the rules, prepare the right documents, and apply with confidence. It’s important to send a clear, well-prepared application. 

If a bank rejects your request, it can be hard to get them to reconsider. That’s why we focus on helping our clients avoid rejections by getting it right the first time. While online platforms are convenient and low-cost, they may not meet your long-term needs in Denmark. Without integration into the local financial system, your business can face delays and tax complications later on.

* Rates may vary depending on individual circumstances and may not exactly match those shown in the table above. Set-up fees and ongoing costs are taken from the banks' websites as of February 28, 2024 and assume that the account holder is not already a retail customer of the banks mentioned. Typical costs for a business account range from DKK 3,885 to DKK 8,000 in the first year. In subsequent years, annual costs are usually lower, as the setup fee is only paid once. This includes both the setup fee and annual maintenance fees. Additional costs such as fees for multiple accounts, debit cards, online banking, currency exchange and similar services are common but are not included in this analysis. The comparison is based on research conducted by Samlino on June 16, 2024 regarding fees and costs associated with opening and maintaining a business account in the first year. See the full price analysis here. See the full price analysis here.

Sources

https://wise.com/jp/multi-currency-account/pricing-en

https://generisonline.com/navigating-the-regulatory-framework-for-digital-payments-and-fintech-companies-in-denmark/?

https://iclg.com/practice-areas/fintech-laws-and-regulations/denmark?

https://www.fiscal-requirements.com/news/3530

https://www.samlino.dk/blog/erhvervskonto

https://www.revolut.com/da-DK/bank-account/

https://www.seedtable.com/best-fintech-startups-in-denmark

https://danskebank.dk/privat

https://onemoneyway.com/en/

https://skat.dk/en-us/businesses/vat/vat-what-to-do/how-to-pay-vat

https://zento.app/en-gb/paymentsolutions-pricing#:~:text=Online%20payments&text=Transaction%20fee*%201.10%25%20%2B%200.2%

20DKK%20per%20transaction.&text=Customers%20with%20Terminals%20connected%20to,outside%20the%20EU%2FEEA).