Starting your own business while unemployed – compensation eligibility ends
If you begin your own business while unemployed, your right to compensation from the unemployment fund ends immediately. The reason is that compensation cannot be used to build up a business or to supplement income in a company with poor profitability.
You must notify us on the same day you start the business, and from that day forward, you must indicate in your monthly report that you are not available for work.
When are you considered self-employed?
We make an overall assessment when determining whether someone should be considered self-employed or unemployed. We look at both activity and formal criteria. Two key indicators are:
Whether you submit quotes, market the business, or have customer contacts.
Whether you register a business name, obtain an F-tax certificate, rent premises, or similar.
We investigate both indicators separately, and everything is assessed in context. Contact us and we can help determine the date your business is considered active.
Remain a member of the unemployment fund
Continue your membership with us when you start your own business. If you later close the business, you may be entitled to unemployment compensation again. If you have been self-employed for less than 60 months, you will continue with your current compensation period.
Support when starting a business
It is Arbetsförmedlingen that grants support for starting a business, also known as the “start your own business” grant. Contact your employment officer for more information.