What kind of firm should you register in Switzerland?

Switzerland: a golden opportunity for your firm

 Switzerland is one of the world’s leading trade centers. Switzerland is undeniably a remarkable place for various reasons. With its stunning landscapes, excellent quality of life, and what is more vital, robust economy, Switzerland offers a unique blend of natural beauty and economic prosperity. Switzerland comes up with a golden opportunity for your firm to thrive and

succeed. As a global commerce hub, Switzerland provides an unparalleled stable, and business-friendly environment. With its robust economy, favorable tax policies, and world-class infrastructure, Switzerland is the ideal destination to authorize or expand your operations. Boasting a highly skilled workforce, this country is famous for its expertise in the banking, financial protection, and wealth management sphere. By building up your firm in Switzerland, you’ll have a way into a pool of talented professionals who can drive your firm forward.

 Moreover, Switzerland’s strategic location at the heart of Europe makes it a gateway to the continent. That allows you to seamlessly connect with markets across the region. The country’s efficient transportation network and advanced telecommunications infrastructure further enhance your ability to manage your line of work globally.

 Investing in this country is not only a smart economic decision but also a testament to the confidence in your firm’s prospects. Take the profit of this golden opportunity and let Switzerland be the catalyst for your organization’s growth and success.

Motives to build up a firm in Switzerland

Having a firm in such a country gives numerous benefits to its owner. Some key benefits include:

• unmatched prestige and a solid reputation of the jurisdiction;
• a free approach to the EC and EACT markets (around 500 million customers);
• easy access to international markets;
• get top-notch banking and insurance services;

•  an awesome transit system;
•  112 treaties to avoid double fee;
•  a multilingual and highly skilled workforce;
• access to the opportunities of the World Financial Center;
• rapidly developing Fintech sector;
• tax incentives (available in some cantons) – Unparalleled economic and monetary stability. 

Perfect match– Which Form of Company Ownership Should You Select?

Sole Ownership

This type of firm ownership is pretty common across the world. It’s especially popular in the medical sphere. There also can be lawyers and other specialists in Switzerland. If the sole owner’s output is less than 500,000 CHF per year, they only need to follow simplified accounting rules. If the output goes over that amount, they’ll have to comply with the regulations outlined in the Swiss Code of Obligations.  

 Simple Collaboration 

Collaboration can be a crucial step in achieving a common goal. This involves a basic agreement between people to combine their resources for a specific business project, which is typically dissolved once the project is completed. For instance, a construction consortium could be a business project under this form of collaboration. It’s important to note that in a Simple Collaboration, each partner has solidary unlimited liability for the company’s obligations.  

General Collaboration (KLG)

A general collaboration (KIG) is an agreement between different individuals to run a firm under a specific name. Instead of multiple individuals creating separate firms, they can collaborate and work together at a minimal cost.

Limited Collaboration (KMG)

In Switzerland, a  Bound Collaboration can be set up by two or more people, but this type of firm needs to be signed up with the Trade Register. It’s important to note that a Cooperative  Agreement needs to be signed to get things started. A Bound  Cooperation consists of two categories of partners: General Collaboration and Bound Collaboration. General Collaborators assume unlimited liabilities and take on managerial responsibilities, while Bound Collaborators’ responsibilities are restricted to their money contributions, and they receive corresponding shares of company profits. The aim of Bound Cooperations often involves attracting additional money from Bound Parties to foster firm expansion and development.

Limited Company (AG)

Setting up an AG company in such a place needs more time, money, and effort compared to setting up a collaboration. The firm should be signed up with the Trade Register, the services of a notary public are needed, the firm bylaws must be approved, a Board of Directors needs to be appointed, and so on. This type of firm ownership is one of the most popular in the country. The firm is established by one or more bankers who contribute to the charter money. Their duties are limited to the amounts of these donations.

LLC (GmbH)

This kind of firm ownership is commonly used by different kinds of firms in Switzerland as well as family firms. This is the third most common type of firm ownership. Its main benefits lie in the bound debit of the company’s founders and relatively low share money necessities (minimum CHF 20,000). However, taxes are levied twice: the firm pays corporate tax and the owners are taxed when dividends are distributed to them. 

Cooperative

This firm type can be set up by seven or more people, who can be individuals or businesses. No initial funding is needed. However, the cooperative should be signed up with the Trade Register, hold General Meetings, and appoint a Board of Directors (consisting of at least three people or companies). Additionally, you can hire an external auditor.

Association 

An association in this country is an organization established for non-commercial purposes, specifically to address social needs. To form an association, a minimum of two participants, who can be either private individuals or corporate bodies, is required. Additionally, the firm should be signed up with the Trade Register.

Fund 

Special funds can be set up for specific needs, and it’s a pretty straightforward process. You can create a fund through a notarial act or by including it in your will, and it’s important to make sure it’s properly signed up as well.

Summary

So It’s completely your decision what kind of firm you will sign up for. It’s up to your needs and aims. Remember to carefully value the benefits and limitations of each business type and seek professional tips to find the ideal option for your occupation targets.