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Understand the Jurisdictions Setup Requirement Before Proceed Your Switzerland Company Incorporation Services
Switzerland. One of the most competitive economies in the world. Switzerland is ranked by the World Economic Forum’s Global Competitiveness Index as the seventh most competitive economy in world. Switzerland is thriving on its diverse and mature economy, with business opportunities to be found and gained in all sectors.
What are the benefits of incorporating a company in Switzerland?
For one thing, Switzerland is located right in central Europe and English is widely spoken in this part of the world. For any business investor seeking a new opportunity, they’re going to be looking for two things – the ease of communication for doing business, and the location of where the business is going to be. And Switzerland already has these two factors working in their favour.
Switzerland is also politically and financially stable with an excellent public infrastructure system in place. The country also has a highly educated and a high productivity workforce, so investors would have no issues looking for qualified workforce talent to meet the business needs and even more reason why investors are considering incorporating a company in the country.
The purchasing power in Switzerland is also among the highest in the world, which is good news for businesses because customers with buying power is what you are after. Switzerland also has a low Value Added Tax or VAT compared to a lot of the other neighbouring European Union countries, although Switzerland itself is not a member of the EU.
Switzerland also has a reliable business, legal and regulatory environment which is conducive to running a business.
Company incorporation in Switzerland – What you need to know
When incorporating a company in Switzerland, investors should take into account the following factors below:
- Companies qualify or the domiciliary company status which allows the company to benefit from reduced corporate tax rates of up to 8.5% as long as over 80% of their sales and costs are generated outside of the country.
- To begin the Switzerland company incorporation process, the paid-in capital needs to be placed in an escrow account with a bank.
- Incorporation of a company also requires that the articles of association be drafted in the presence of a notary public.
- Incorporating a company also requires that the deed certifying the articles of association to the local commercial entity register be filed if the investor wants to obtain a legal entity. This process can be completed with the Commercial Registry.
- Holding companies that are registered in Switzerland are able to benefit from communal corporate tax exemption if the company’s operations only consist of managing long term investments.
- Incorporated companies would need to register for VAT and pay the stamp tax at the post office or a bank after receiving an assessment by mail.
3E Accounting has the expertise that you need as an investor to guide you through the process of incorporating a company in Switzerland and what the best approach that needs to be taken is. For more information on our services and assistance, contact us today with your queries and we will be in touch promptly.