Switzerland AG (Aktiengesellschaft) requires CHF 100,000 minimum capital with CHF 50,000 paid immediately. Formation costs CHF 8,000-15,000 but Switzerland's 11.5-14.5% corporate tax and stable franc attract high-value businesses.
AG vs GmbH
AG requires CHF 100,000 capital (CHF 50,000 paid upfront), unlimited shareholders, shares freely transferable. GmbH requires CHF 20,000 capital (fully paid), maximum 100 shareholders, transfer restrictions.
Choose AG if raising investor capital or planning acquisition/stock listing. Choose GmbH for small family business or holding structure.
Name Availability
Check cantonal Handelsregister (commercial register) for availability. Name must be unique within Switzerland, not just your canton.
Use Zefix central index to search all cantons simultaneously. Free, instant results.
Similar name risk: Swiss law prohibits names causing "risk of confusion" with existing companies. Check German/French/Italian variations if operating in multilingual cantons.
Mandatory Suffix
Name must end with legal form in official language: "AG" (German), "SA" (French/Italian), "Plc" (rarely used English).
Cannot use "Suisse", "Switzerland", "Swiss", "Confédération" without federal authorization. Banking/finance terms require FINMA license.
Formation Costs
Notary fees: CHF 2,000-3,500 including deed drafting and certification. Handelsregister registration: CHF 600 canton Zurich, CHF 400-900 other cantons.
Publication in Swiss Official Gazette (SHAB): CHF 250-400. Legal advice: CHF 3,000-8,000 for statutes and structuring.
Accountant (first year): CHF 2,500-5,000. Registered office service: CHF 1,200-3,000/year if no physical address.
Total first-year: CHF 58,000-75,000 including CHF 50,000 paid capital. Full CHF 100,000 capital doubles cost to CHF 108,000-125,000.
Capital Requirements
Minimum CHF 100,000 share capital. At least CHF 50,000 (50%) must be paid before registration. Remaining CHF 50,000 callable within 5 years.
Payment accepted in: Swiss francs cash, assets valued by auditor, IP rights (must be audited). Cannot use services or future work.
Capital Deposit
Deposit in Swiss bank account in founder's name. Bank issues capital deposit certificate (Kapitaleinzahlungsbestätigung). Notary won't file without certificate.
Capital unlocked after Handelsregister registration (2-4 weeks). Budget operating cash separately - don't lock entire working capital.
Bank account challenge: Swiss banks require in-person meeting for KYC. Non-resident founders need 1-2 trips to Switzerland. Budget 2-3 months for bank account opening.
Formation Timeline
Reserve company name: 1-2 days via cantonal Handelsregister. Open bank account: 6-12 weeks (longer for non-residents). Deposit capital: 1-2 days after account approved.
Draft statutes (Statuten): 2-3 weeks with lawyer. Notarize deed: 1 day, all shareholders must attend or provide notarized power of attorney.
Handelsregister registration: 2-4 weeks. AHV/IV/EO social security registration: 1 week. VAT registration: Mandatory if revenue >CHF 100,000/year.
Total timeline: 10-16 weeks from start to active UID (enterprise ID number). Banking delays most common bottleneck.
IPI Trademark
Register trademark with Institut Fédéral de la Propriété Intellectuelle (IPI) before formation. Costs CHF 550 for 1 class, CHF 100 per additional class.
Processing: 4-6 months including 3-month opposition window. File via IPI e-trademark.
Swiss Peculiarity
Trademark examiners prioritize applications filed in German over French/Italian due to internal workflow. German-language applications processed 15% faster on average.
Strategic tip: File in German even if French-speaking canton - translate company name to German for faster approval if linguistically possible.
Swiss trademark registration extends to Liechtenstein automatically at no extra cost under bilateral treaty.
Board Requirements
AG requires board of directors (Verwaltungsrat) with minimum 1 member. At least 1 director must be Swiss resident with signatory authority.
Nominee director services: CHF 3,000-8,000/year. Director assumes legal liability - use reputable firm only (Big 4, established trustees).
Foreign Directors
Non-Swiss/EU directors need work permit for Swiss residence. But can serve as non-resident director if Swiss resident director handles day-to-day signing.
Board meetings can occur outside Switzerland but must be documented. Tax authorities may challenge substance if no Swiss meetings annually.
Substance requirement: Pure letterbox companies face tax treaty denial. Minimum 1 board meeting per year in Switzerland documented in minutes recommended.
Tax Rates
Federal corporate tax: 8.5% on profit. Cantonal/municipal tax: 3-14% depending on canton (Zug 11.85% total, Geneva 13.99%, Zurich 19.7%).
Effective tax rate: 11.5% (Zug) to 21.5% (Bern). No capital gains tax on sale of qualifying participations (>10% held 1+ year).
Low-Tax Cantons
Zug: 11.85% total tax, attracts crypto/tech companies. Lucerne: 12.32%, good for IP holding. Nidwalden: 12.66%, popular for trading companies.
Compare: Zurich 19.7%, Basel 20.5%, Bern 21.5%. Tax difference on CHF 1M profit: CHF 90,000/year savings choosing Zug vs Bern.
Common Mistakes
Underestimating bank account timeline: 6-12 weeks, not 1-2 weeks as in other countries. Not appointing Swiss resident director: Cannot sign documents, delays operations.
Paying full CHF 100,000 capital upfront: Unnecessary, only CHF 50,000 required immediately. Choosing high-tax canton: Save CHF 50,000-100,000/year by researching canton rates.
Not translating name to German for trademark: Slower IPI processing in French/Italian. Forgetting SHAB publication: Company invalid until published (2-3 week delay).
Post-Formation
VAT registration: Mandatory if revenue >CHF 100,000/year, voluntary below. Annual audit: Required for AG (unlike GmbH which has threshold).
Annual accounts: File with Handelsregister within 6 months of fiscal year end. Corporate tax return: Due September 30 following fiscal year.
Social security: Mandatory AHV/IV/EO registration for all employees and directors receiving Swiss-source income.
Trademark Lens verifies business name availability before CHF 58,000-125,000 Swiss AG formation and legal costs.