Swiss Company Laws
Business development is governed and regulated by the Company Act in Switzerland. The formation of a company in Switzerland falls under the Civil Code, specifically the Swiss Code of Obligations. Similar to the Polish Company Act which regulates the development of companies in Polish regions, the Swiss legislation is built similarly to the French Napoleonic Code. Each canton in Switzerland has its own individual business registration office. In order to register, a company needs to locate the office within the company’s own domicile.
In Switzerland The Swiss Company Act is a regulatory framework and was assessed and adjusted in 2008 with a focus on limited liability companies, or GmbH’s. Other business types mentioned in the Swiss legislation, other than limited liability companies, include; Sole proprietorships, joint stock corporations and partnerships are catalogued in the Company Act in Switzerland. When talking about limited liability companies, the Company Act in Switzerland is somewhat flexible, but with some restrictions based on the residency of directors. Additionally, the Swiss joint-stock company is highlighted within the Code of Obligations in Switzerland, but with other requirements.
Under the Swiss Company Act, when a new company based or established in Switzerland decides to undergo banking activities, insurance, fund management or collective investment, a license is irrefutably required. This is to ensure business within the banking and financing sectors in Switzerland are closely monitored, keeping Switzerland’s banking sector one of the safest in the world.
The Swiss employment act goes hand in hand with the Company Act in Switzerland as both company formation and employment follow the Code of Obligations. Labour laws don’t require employment contracts, so, therefore, agreements are able to be completed in written or verbal form. Though not required, it is recommended to sign employment contracts in accordance with the Swiss Code of Obligations and Federal Law on labour with regards to industry, trade and craft industry.
For more information feel free to get in touch with our company development experts in Switzerland for personalised consultancy. If you require advice or other detailed information, feel free to contact one of our partners or a Swiss Attorney.