Switzerland Offshore Incorporation

Internationally known for its sterling reputation in the banking industry, Switzerland represents a highly respected, politically stable and prestigious alternative for offshore banking needs. Switzerland's 408 banks currently hold 35 percent of the world's private assets.

Now more than ever, the Swiss banking community stands ready to serve the financial interests of any size company with their centuries-old tradition of efficiency, discretion and the utmost professionalism.
Switzerland's commitment to the highest level of banking service is evident in their dedication to protection against double taxation, as well as the safeguarding of tax privileges for foreign investors. In addition, incorporation of one's enterprise in Switzerland opens the possibility to obtain Swiss citizenship.

This combined with a world-class infrastructure and some of Europe's finest natural wonders make Switzerland the logical choice for the discerning financier.
The Federal Banking Commission (FBC) of Switzerland, in accordance with federal statutes, regulates the nation's banking industry. Under FBC law, new businesses and branch businesses wishing to establish a presence in Switzerland should look to incorporate in one of two ways:

• AG/SA (Aktiengesellschaft; Société Anonyme) has the same essential structure as a stock corporation.  Shareholders are protected from creditors.  Minimum capital of CHF 100,000 is required; of that, a minimum of CHF 50,000 must be paid in.  Annual accounts are subject to a mandatory audit.
• GmbH/Sarl (Gesellschaft mit beschränkter Haftung; Société à responsabilité limitée) operates the same as a limited liability company (LLC). Minimum capital of CHF 20,000 is required, of which a minimum of CHF 10,000 must be paid in.  No audit is required of GmbH/Sarl annual accounts.

There are many factors to consider when choosing one or the other.  Following is the information you need to make an informed decision.

AG and GmbH incorporations are similar in that:

• There are no restrictions on your company name (the uniqueness of your name must be verified by the Federal Commercial Register).
• The time it takes to incorporate is the same (10 - 14 days).
• A Federal Formation Tax Payment of one percent for capital over CHF 250,000 is required before incorporation.
• A registered office is required for incorporation.
• Incorporate GmbH can provide virtual offices for this purpose.
• Annual meetings can be held anywhere in the world.
• Annual accounts and returns must be filed.
• Double tax treaties with about 70 countries are honored.
  

Differences between AG and GmbH incorporation:

	AG	GmbH
Minimum capital	CHF 100,000	CHF 20,000
Minimum shareholders	3	None
Company representatives	Directors	Associates
Mandatory audits	Yes	No
Number of founders	3	2
Beneficial owner disclosure required	No	Yes
Bearer shares permitted	Yes	No
Investors submitted to Commercial Register	No	Yes
Share classes	Registered, bearer, preference	Equity participation

Incorporating in Switzerland is relatively easier than in any other countries in Europe but it still requires a considerable amount of time, money and effort.  As there are two types of companies you can incorporate in Switzerland, there are a few differences in the procedures and requirements of each.  

Swiss GmbH

Swiss GmbH is a Limited Liability Company primarily undertaken by small businesses because of lower costs in registration requirements and capital investment.  Incorporation fee of a Limited Liability Company is estimated at CHF 7,500 (Swiss Francs) or roughly USD5,700.  The capital investment should remain at CHF 20.000 (roughly 12,320 in Euro).  In excess of this amount, your company will already be considered as a corporation and as such should be registered under Swiss AG.  There should be at least two partners to form a Swiss GmbH; and at least one director is a local resident.

Swiss AG

Swiss AG is a Corporation where much stricter requirements are necessary to be able to incorporate this kind of company.  A capital investment of 100, 000 Swiss Francs is required; half of which should be paid up front upon application.  A minimum of three shareholders is required but unlike in the Swiss GmbH, shareholders in a Swiss AG remain anonymous.  And unlike with the Swiss Limited Liability Company, the majority of the company’s directors should be local residents.

Regular requirements for both are the payment of stamp duties, registration for taxes and enrollment for Social Security.  Taxes differ from one Canton to the next and are also dependent on applicable federal taxation regulations.  Compared to other offshore destinations, incorporating in Switzerland may appear to be a bit more exacting but its reputation is held in the highest regard.  It has the most sophisticated and elaborate infrastructure that offshore companies are sure to benefit from.

Switzerland Offshore IBC

Company formation, nominee service, virtual offices and bank accounts

Thank you for your interest in our offshore formation services. Offshore companies have the combined benefits of tax exemption, anonymity, privacy protection and limited liability. It is little wonder that so many business people are choosing to incorporate their companies offshore. All of the companies registered by WSR are fully legal and able to operate world wide.

Swiss companies are considered the most reliable, respectable and solid entities since decades. No other jurisdiction combines integrity and highest reputation with tax advantages like Switzerland does. On the one hand this is based on the independency of Switzerland and on the other hand it is the fact that Swiss companies have never been available as easy as in most other countries. The higher requirements during a company formation do guarantee that Swiss companies will keep their reputation in the future.