There are more than 25,000 foreign multinationals registered in Switzerland, which begs the question, what's so great
about Switzerland that attracts all these foreign investors?
Switzerland is among the most popular tax havens in the world. The favorable taxes, coupled with a strong economy and a
secretive banking system, attract many foreign businesses and wealthy individuals. The company registration process is
Swiss Company Registration Process
In this section, we are going to take you through the Swiss company registration process.
Let's dive into specifics.
Understand your business structure
One of the most important steps in opening a company in Switzerland is recognizing your business structure. The Swiss
government has put regulations in place that govern the operations of different company structures. Legal tax
requirements also vary.
As such, to avoid penalties or even a closedown of business, you need to understand your business structure.
There are three types of legally accepted business structures in Switzerland. They include:
If you're planning on owning and operating the business individually, sole proprietorship is the most favorable form of
business structure. To register the company, you must reside in Switzerland, and if your annual sales reach CHF 100,000,
then you must also register with the chamber of commerce.
Limited and General Partnership
If you plan on partnering with one or more people in the business, then the law requires you to register the company as
a limited or general partnership. For the government to allow a commencement of business processes, one partner must
have a physical residence in Switzerland, and the company must be registered under a Swiss address.
A subsidiary company is an independent company that is associated with a foreign parent company. In his case, the parent
company is the majority shareholder and retains a level of control over the management of the subsidiary business.
Choose your Company Name
The company name you choose to go for must clearly show the legal status of the company. For example, if it is a limited
liability company, it must have a société Anonyme (SA) as part of its name.
The company name must also be unique. To confirm this, you can check existing Swiss company names on the Central
Business Names Index or at Switzerland's commercial register office.
Submit Entries into the Commercial Registry
Once you have come up with a unique company name, you need to open a Swiss bank account then submit the paid-in capital.
You can expect to part with between CHF 200 and CHF 2000 in bank fees.
Next, you'll need to provide the notary with a draft of your company's articles of association. You'll also need to fill
a registration application form and have all your documents authenticated.
The primary purpose of filing the company's articles of association is to get the company's legal entity. You can expect
to incur charges of between CHF 200 and CHF 10,000, depending on the number of shareholders and notarized signatures.
The application is processed between 5 and nine days, after which the registry announces the official registration of
the Swiss official gazette of commerce. After this, your company now becomes an official legal entity.
After the official company registration, you should do a VAT registration application. The main purpose of VAT
registration is to determine whether your new company will be subject to this tax. That said, the tax is applicable for
companies with a minimum revenue of CHF 100,000.
Enroll your Employees in the Social Insurance Program
Once you have registered your Swiss company, the Cantonal Social Security Office will send an application for
registering your employees at the company's address. The social insurance system covers disabilities, retirement
schemes, pension, occupational accidents, and survivors benefits.
Alternatively, you can buy a ready-made company in Switzerland
Instead of going through this whole process, you can also buy a ready-made company in Switzerland. In most cases,
ready-made companies have not conducted any business in Switzerland and have only existed for a short while.
This is because such companies are created with the intention of a subsequent sale. However, purchasing a ready-made
company in Switzerland might not be profitable due to the legalities surrounding the establishment of a company in
Apart from the compelling reduced taxes and strong economy, there are tons of other reasons to register a company in
Switzerland. If you're ready to register your company, contact us for a more streamlined and effortless Swiss company