Switzerland at a glance
Switzerland is one of the EU jurisdictions founders most often use today, especially while the EU-wide 28th Regime (EU Inc) is still a proposal. Below are the verified essentials: company types, tax, capital, timing and whether you can set up remotely.
Company types in Switzerland
- GmbH (Sarl), limited liability company The most popular form for SMEs and startups. CHF 20,000 capital, fully paid in; shareholders are listed in the public commercial register.
- AG (SA), joint-stock company The corporation form for larger firms or those wanting shareholder anonymity. CHF 100,000 capital, at least CHF 50,000 paid in before registration.
| Corporate tax | Federal corporate tax is a flat 8.5% on profit after tax, but each canton and commune adds its own, so the combined effective rate ranges from roughly 11.9% in low-tax cantons (Zug, Lucerne) up to about 20.5% in higher-tax ones (Zurich, Bern). The 2025 national average is near 14.4%. |
|---|---|
| VAT rate | Standard VAT is 8.1% (raised from 7.7% on 1 January 2024), far below typical EU levels, with reduced rates of 2.6% and 3.8%. Registration is mandatory above CHF 100,000 of turnover. |
| Dividends & payroll taxes | Dividends face the 35% anticipatory tax, refunded or treaty-reduced for shareholders who file properly, and qualified holdings enjoy partial relief on personal tax. Income tax varies canton by canton and stays comparatively low; employer social contributions run roughly 6% to 12%. |
| Minimum share capital | GmbH: CHF 20,000, fully paid in at incorporation. AG: CHF 100,000, of which at least CHF 50,000 paid in before registration. Capital is first deposited into a blocked Swiss account. |
| Setup time | About 1 to 3 weeks once documents and capital are ready; the commercial-register entry itself takes roughly 5 to 10 working days (faster in cantons like Zug). |
| Remote setup | Yes. The incorporation deed is notarised, but foreign founders can complete it remotely via a power of attorney to a local fiduciary. A Swiss-resident director and a physical registered office are still mandatory, so most non-residents use a formation agent. |
| Director / residency | At least one director or authorised signatory must be resident in Switzerland; shareholders can be 100% foreign. Founders without a local resident appoint a fiduciary nominee director (from roughly CHF 2,900 per year). |
| Banking options | A Swiss account is required; capital goes into a blocked deposit account first. Traditional banks (UBS, cantonal banks, PostFinance) run heavy KYC; Swiss fintechs (Relio, Yapeal) or EU/UK EMIs (Wise, Revolut) are faster. |
| Our formation service | from around €100 to €200 (estimated). You get a fixed quote in your free plan before you commit. |
Switzerland is not an EU or EEA member; it is in EFTA and linked to the EU by bilateral treaties, so it accesses much of the single market without EU membership, and the proposed EU Inc / 28th Regime would not apply to a Swiss entity. It offers strong stability, the Swiss franc and a notably low 8.1% VAT; low-tax cantons like Zug are popular for holdings.
How to register a company in Switzerland
Step by step, this is how a Switzerland formation actually runs:
- Choose GmbH or AG. The GmbH needs CHF 20,000 fully paid; the AG needs CHF 100,000 with half paid in and offers anonymity of shareholders.
- Secure the local director. At least one person with sole signature authority (director or officer) must be resident in Switzerland; fiduciaries provide this service.
- Block the capital. The capital goes into a Swiss blocked account; the bank certificate feeds the notarial deed.
- Notarise and file. A notary executes the deed (power of attorney works from abroad) and files with the cantonal Commercial Register, entered within days to two weeks.
- Tax and VAT setup. Cantonal tax registration follows automatically; VAT registration applies past CHF 100,000 of worldwide turnover.
We handle each step with licensed local counsel, so the paperwork, registered address and filings are done correctly the first time.
What company formation in Switzerland costs
Notary and register fees commonly total CHF 700 to 1,500, on top of the CHF 20,000 GmbH capital that becomes working funds. The resident-director service, where needed, costs roughly CHF 3,000 to 6,000 a year. Accounting runs about CHF 150 to 350 a month for a small company, with cantonal tax rates varying meaningfully by location.
Form your Swiss company in days
Tell us where you live and what you are building. Our formation service starts from around €100 to €200 (estimated); we confirm the right structure for Switzerland, give you a fixed quote, and form the company with licensed counsel.
Get your free planWho can form a company in Switzerland
Founders from outside the EU can own and run a Swiss company, with the cross-border requirements handled for you. We flag any residency or local-agent rule for Switzerland up front, so there are no surprises.
Switzerland fits businesses monetising Swiss credibility, fintech and crypto ventures (especially in Zug), and holding structures wanting stability outside the EU. The resident-director rule and CHF 20,000 capital price out casual setups; this is a quality-over-cheapness jurisdiction.
After registration: what Switzerland expects each year
Annual financial statements are prepared under the Code of Obligations but are not publicly filed, a privacy point founders appreciate. Tax returns go to the canton, VAT settlements are quarterly, and companies under 10 full-time staff can opt out of audit with shareholder consent. The resident-director arrangement recurs yearly.
Switzerland and the 28th Regime (EU Inc)
EU Inc, the proposed 28th Regime, would let you register one company valid across all 27 EU member states. It is not law yet (expected around 2027-2028), so a Swiss company is one of the ready options you can use today. Forming an EU company now also positions you to adopt EU Inc later, as we cover in how to prepare an EU Inc company. To weigh Switzerland against other countries, see company formation in Europe.