Register a Company in Switzerland
Introduction
Register a company in Switzerland and enjoy one of the highest free trade agreements. The Swiss Confederation (Schweizerische Eidgenossenschaft), commonly known as Switzerland is a picturesque country with a highly developed and diversified economy located at the intersection of Western, Southern and Central Europe. Switzerland is a highly educated and favorable business climate which also doubles as a major hub for international trade and houses the capital of dozens of multinational firms and government organizations. Switzerland’s free trade agreement with numerous countries makes it a major attraction for foreign investment and this is further driven by government stability and the presence of highly developed legal and financial world-class systems.
Steps To Register a Company in Switzerland
Due to Switzerland’s low entry barriers and low-income tax, starting a business is quite straightforward. However, the business registration process follows a multi-stage procedure but is also quite straightforward once there is a complete understanding of the rules and regulations. Are you an entrepreneur looking to start a company in Switzerland. Here are ways for how to register a company in Switzerland.
Business Structure
Identifying and choosing a business structure is the first step in the Swiss business registration process. The commonly registered business structures include Sole Proprietorship, Partnership, Limited Company, Cooperative and Branch Offices. Understanding the specifics of each business structure is key to identifying the best structure for the business and information can be found on the Swiss SME Portal.
Identifying and choosing a business structure is the first step in the Swiss business registration process. The commonly registered business structures include Sole Proprietorship, Partnership, Limited Company, Cooperative and Branch Offices. Understanding the specifics of each business structure is key to identifying the best structure for the business and information can be found on the Swiss SME Portal.
Business Name
A business name is the unique identifier of any business, hence, it is expected that the chosen name should have never before been registered in Switzerland. The availability of the business name is first confirmed in the Commercial Register of the Swiss Federal Administration after which the business name approval is sought from the portal of the Swiss Federal Institute of Intellectual Property.
Documentation Filing
After approval of the business name by the Swiss Federal Institute of Intellectual Property, the necessary documents are then submitted to the Commercial Register of the Swiss Federal Administration for the commencement of the business registration itself. Dependent on the desired business structure, these are some of the documents that will be required: Identification Documents, Deed of Incorporation, Statement of Capital, Partnership Agreement, Articles of Association, Statutes, etc. The entire process is done online on the portal of the Swiss Federal Institute of Intellectual Property.
Business Location
After the submission of all necessary documents to the Swiss Federal Administration, the business is expected to choose a physical location for its operations. In choosing a business location, the business structure and local zoning laws must be considered.
Local Registration
Once a business location has been selected, the business is to register with the local authorities and then a permit of operation will be issued. Some of the documents needed for the registration include a business plan, articles of association, business name and proof of Swiss address. The locality is referred to as Cantons in Switzerland and some include Bern, Basel Landschaft, Jura, Vaud, Valais, Geneva, etc.
Licenses and Permits
Further registration with the local authorities includes licenses and permits. The structure of the business and the local laws will determine the licenses and permits to apply for.
Swiss Bank Account
Switzerland is famed for having one of the best banking systems in the world and as such, all businesses registered locally are expected to register with the local Swiss Banks. Some of the documents required by the bank include Proof of Identification, articles of association, business name and proof of Swiss address. Some of the commonly used banks include Credit Suisse, UBS Group AG, Julius Baer Group, Swiss National Bank, Raiffeisen Switzerland, etc
Tax and Value Added Tax (VAT) Registration
All businesses are expected to register with the Swiss Federal Tax Administration for the issuance of a Tax number and also for the issuance of a Value Added Tax (VAT) number. This is done on the portal of the Federal Tax Administration.
Swiss Social Security Administration
All businesses are mandated to register with the Swiss Social Security Administration and get their social security numbers. This ensures that the businesses are making the necessary contributions to the Swiss pension scheme.
Insurance Registration
Dependent on the business structure, businesses are often advised to obtain all relevant insurance covers to protect against any eventualities.
Other Legal Requirements
Businesses are expected to either register or comply with other legal requirements such as health and safety standards, data protection laws, employment regulations, banking and tax regulations, etc.
Documents Needed To Register a Business in Switzerland
The following are the documents needed to complete a business registration in Switzerland:
Identification Documents
Deed of Incorporation
Statement Capital
Partnership Agreement
Articles of Association
Statutes
Frequently Asked Questions
The business registration process in Switzerland is quite straightforward despite the multi-step phase. It involves determining the business structure, determining and registering the business name, registering the company with the Swiss Commercial Register, obtaining all necessary licenses and permits, opening a bank account and getting a physical office location.
Yes, The Swiss Commercial Register charges a fee to register a business in Switzerland. The total fees are usually determined by the business structure, cost of permits and local canton’s registration fee.
The business registration process despite straight forward takes a considerable time to get completed. The process is expected to last between one to two months but this is usually determined by the business structure and the complexity of the business registration documents as they undergo a thorough vetting process.
Yes, foreign-owned businesses are subject to certain Swiss restrictions such as obtaining a residence permit before a business can be registered and hiring a minimum number of swiss nationals as employees, the number varies across different cantons.
