Knowledge and management of that knowledge have been a corner-stone for many enterprises. Creation, dissemination and preservation of knowledge is a difficult task for many organizations. This study identified knowledge transfer mechanism in a start-up company by providing a detail review of existing methods and key challenges associated with current methods. The aim of the study was to provide a comprehensive starting-point for the case company while implementing knowledge transfer mechanism within teams from different departments. This was accomplished by constructing a knowledge transfer framework for the case company. This study also scrutinized several dozens of articles and journals on knowledge transfer topic to get a better overview of existing KT processes and practices. A research gap was found in the context of knowledge transfer phenomena at SME’s and start-up companies. This study shades light on knowledge transfer mechanism and its compatibility with a start-up company. A qualitative single case study was conducted. All empirical data was collected via interviews and observations at a start-up automobile company in Lund (Sweden). Our study contributes to knowledge management literature, by emphasizing vast differences between implementing knowledge transfer activities between MNCs and SMEs or start-up companies.