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You are here: Home / Business / Top FAQs About Setting Up A GmbH In Switzerland

Top FAQs About Setting Up A GmbH In Switzerland

David Duayeni · June 8, 2015 · Leave a Comment

Setting up a business in Switzerland comes with a host of benefits, from tax breaks and being part of a strong economy to having direct access to a talented multilingual pool of candidates and fantastic infrastructure. These are just some of the reasons why one may consider setting up what is known as a “GmbH.” For those who are unfamiliar with a GmbH or may have additional questions, we have endeavoured to answer them all for you below:

What Is a GmbH?

GmbH is a shortened form of the word “Gesellschaft mit beschränkter Haftung.” For those of us not well versed in Swiss, it is a term used to describe a limited liability company in Switzerland. This is one of the most popular types of companies in Switzerland though some other common Switzerland company formation types include:

  • A stock corporation
  • A general partnership
  • A limited partnership
  • Sole proprietorship

What Is the Minimum Share Capital for This Type of Business?

Currently, the minimum share capital for setting up a GmbH is 20,000 CHF. This capital is divided into quotas with each quota not being able to dip below the value of 100 CHF.

How Many Shareholders Are Necessary for a GmbH?

A minimum of two shareholders is required for a GmbH. They can be either individuals or legal entities, and all founders are required to register with the Registry of Commerce.

How Are Swiss GmbH Companies Verified?

Much like all business operations in Switzerland, the verification process is fairly simple and straight forward. All a business must do is retain financial statements so that they can be presented to shareholders or tax authorities. These statements do not need to be registered with the Registry office.

Does the Language of the Company Matter?

Being incredibly culturally diverse, Switzerland has an easy policy in terms of what language is used. As a general rule, a company may use any language that uses the Latin alphabet. In situations when you may not be speaking Swiss, you may require a translator (though many of those living in Switzerland are fluent in German, French and often times Italian).

Is There A Required Management Structure for a GmbH?

Unlike other countries, a limited liability company in Switzerland does not require a sophisticated structure. A board of directors is not mandatory though one primary decision maker for the company is mandatory and will act as the managing director and will be fully responsible for the company. No other staff members are necessary.

Can I Set Up the Company Myself?

It is strongly recommended that anyone who is unfamiliar with opening up a business in Switzerland seek assistance from a company which specialises in formation services. These companies bring a host of benefits to you, including:

  • Discussing your options and discovering which is best for you and your business
  • Preparing all necessary paperwork, including all Fiduciary and Legal Agreements
  • Assistance in opening bank accounts
  • Ensuring that your Commercial Registration is secured so that you can start legally running your business

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