Dahlin now has his own player management company and one of his business partners has recently started to represent Olsson.
"He is looking really promising and I think he has a bright future," Dahlin told the Lancashire Telegraph.
"If he keeps working hard and doing a good job, he will have a really good career. This is only the beginning for him, he can get even better. He is still a young man.
"For sure he can go on and get a lot of caps for Sweden."
With his current contract due to expire in the summer of 2012, Dahlin added: "I think he should stay for at least another couple of years at Blackburn."