Switzerland is one of those countries in which one can set up a business under the form of a company or as a self-employed person. Among these, the Swiss limited liability company or GmbH is preferred by most foreign entrepreneurs. This happens because this business form is closer to other entities in other European countries.
But what does it take to set up a GmbH in Switzerland? The procedure is not complicated and implies a few steps which are described below.
Selecting a name for the company
Before being registered, a Swiss GmbH will need to have a few elements defined, among which the commercial name is the first. In order to have a name for a Swiss GmbH, the future owner will need to have it approved with the Federal Register which keeps records on all companies, and which can ensure the chosen name is not rejected.
Setting up a bank account for the share capital
Apart from sole traders and partnerships, all other types of structures require a minimum share capital which must be deposited in a Swiss bank account. In the case of the GmbH, one will need 20,000 CHF for the minimum share capital.
Often compared to an offshore destination because of the banking facilities, Switzerland is far from that. The creation of an offshore company in the Isle of Man, one of the best-known offshore destinations in Europe, is far simpler than in Switzerland, however, it is also less credible than a Swiss company.
Drafting and filing the Swiss GmbH’s statutes
Also known as the Articles of Association, the statutes of a Swiss limited liability company represent the main document to be drafted, notarized and filed with the Companies Register. Based on this document, the GmbH will be issued its Certificate of Incorporation.
Tax registration and licensing
Once the company is registered, it will need to obtain a tax identification number and the licenses which qualify it to operate in the industry the investor wants to. The licensing part is not a complicated procedure, however, it can take a little bit longer to complete.
The creation of a Swiss limited liability company is not lengthy, however, there are several aspects which need to be respected. One of them refers to the fact that it needs a Swiss resident director. Respecting this requirement alongside the other steps which lead to the registration of a GmbH should help a foreign entrepreneur start a business in a fast and secure way in Switzerland.