Business Start-up Costs in Switzerland

1. What is the minimum share capital?

When deciding to set up a company in Switzerland, one must choose between two most popular types of company. For establishing a limited liability company (GmbH) in Switzerland, one must provide a minimum share capital of 20,000 CHF, the equivalent of around 16,500 EUR. The other option is a joint stock company, which requires a minimum share capital of 100,000 CHF or 90,000 EUR.

2. What are the Company Registration fees? 

Company registration fees in Switzerland are one of the highest in Europe. BridgeWest provides support in registering a company in Switzerland for a total of 3,800 EUR (including all related expenses).

3. What are the costs to rent an office space?

Prices for renting an office space in Switzerland range between 5.4 and 17 EUR per square meter per month. Costs differ according to location and surface.

4. What are the costs for a virtual office if the client will not rent a location?

If one chooses not to rent an office space in Switzerland, the option of a virtual office is also very popular. A virtual office in Switzerland provides a business address, necessary for registration, and corresponding services and its costs are situated around 400 EUR.

5. What is the cost of hiring an employee?

The costs of hiring an employee are rather high, beginning with the salary. The average income of an employee in Switzerland varies between 60,000 EUR per year and 81,000 EUR per year. Moreover, the employer and the employee pay together a contribution of 10.3% of the annual salary to federal old age and disability insurance.

6. What are the costs of hiring a local accountant?

A local accountant is the best choice for a Swiss company. A specialized person with experience in dealing with the system in Switzerland costs 100-300 EUR per month, depending on the services provided or the activity of the company.

7. What is the yearly corporate tax?

In Switzerland, the annual corporate tax is levied on both cantonal and federal level.  The federal corporate tax rate is 8.5%. If this tax is calculated together with the communal corporate tax rate, the total rate varies between 12% and 22%, depending on the place of residence.

8. What is the yearly dividend tax?

Dividends are subject to a 35% standard tax rate in Switzerland. However, the dividends paid between companies in EU member states and Switzerland are not subject to the yearly dividend tax.

BridgeWest offers company registration in Switzerland, including virtual office and other related services.