Geneva: a Business-Friendly Environment
Geneva, a cosmopolitan city in the heart of Europe, is one of Switzerland’s most dynamic economic hubs. Renowned for its robust banking system, political stability, and strict legal framework, Geneva attracts investors and entrepreneurs—particularly in sectors such as international trade, finance, technology, and consumer goods.
Setting up a business in Geneva offers a competitive economic environment, attractive taxation, and access to a vast international business network.
Common Legal Structures in Geneva
1. Limited Liability Company (SARL)
- Minimum share capital: CHF 20,000 (must be fully paid in)
- Liability: Limited to the amount of the share capital
- Number of shareholders: Minimum 1 (natural or legal person)
- Management: At least one manager must reside in Switzerland
2. Corporation (SA)
- Minimum share capital: CHF 100,000 (at least CHF 50,000 must be paid in)
- Liability: Limited to the share capital
- Number of shareholders: Minimum 1
- Administration: Board of Directors with at least one Swiss-resident member
Company Formation Process
- Choose a legal form
- Draft the articles of association
- Block share capital in a Swiss bank account
- Notarize the incorporation act
- Register with the Geneva Commercial Register (10–15 business days)
- Register for social insurance and VAT if applicable
Corporate Taxation in Geneva
Since the Swiss tax reform (RFFA), Geneva applies a competitive combined corporate tax rate (federal, cantonal, and municipal).
| Net Annual Profit | Effective Tax Rate |
|---|---|
| Up to CHF 500,000 | Approximately 13.99% |
| Above CHF 500,000 | 13.99% |
Note: Switzerland does not withhold tax on dividends paid to EU-resident shareholders under the EU Parent-Subsidiary Directive (if properly declared).
Other Legal Obligations
Accounting
SARLs and SAs must maintain full commercial books, including balance sheet and income statement.
Auditing
- Ordinary audit: Required if two of the following are met for two consecutive years:
- Balance sheet total ≥ CHF 20 million
- Revenue ≥ CHF 40 million
- Staff ≥ 250 employees
- Limited audit: Default for small companies
Beneficial Ownership Register
Since 2023, all Swiss companies must record beneficial owners holding more than 25% of shares or voting rights.
Opening a Swiss Business Bank Account
Swiss banks apply rigorous KYC and AML procedures. Required documentation includes:
- Articles of association
- Incorporation deed
- Business plan
- Proof of funds’ origin
- IDs/passports of beneficial owners
Why Geneva Appeals to Foreign Investors
- Multilingual environment (French, English, German)
- Proximity to EU markets without being an EU member
- Legal and banking stability
- Host to global institutions and multinational HQs
- Tax incentives for internationally active companies
Damalion Facilitates Company Setup in Geneva
Damalion assists entrepreneurs, investors, and family offices with structuring and launching their Swiss operations. Our services include:
- Choosing the optimal legal structure
- Introductions to notaries and fiduciaries
- Bank introductions in Geneva
- KYC/AML documentation assistance
- Ongoing tax and accounting compliance
- Provision of Swiss-resident directors (if needed)
Confidentiality. Legal accuracy. Global expertise. Damalion delivers a seamless company setup experience in Geneva.
Geneva combines fiscal advantages, global connectivity, and institutional stability—making it a strategic base for entrepreneurs and investors alike. Whether you’re in tech, finance, or global trade, Switzerland remains one of the best jurisdictions for business.
Let Damalion guide your successful entry into the Swiss market—quickly, securely, and professionally.
Setting up your company in Geneva, Switzerland — legal forms (SARL, SA), minimum capital, Swiss-resident directors, corporate tax, registration steps and banking requirements.
For foreign and local entrepreneurs, investors, holding companies, SPVs and family offices • Damalion supports project scoping, document preparation and coordination with Swiss notaries, fiduciaries and banks. Final decisions always remain with Swiss authorities and financial institutions.
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Key points when you set up a company in Geneva
Decide how you will operate in Switzerland, choose the correct legal form (SARL or SA in most cases), secure the required share capital in a Swiss bank, and appoint at least one director or manager who is resident in Switzerland. Plan the tax impact at cantonal and federal level and prepare for social security, VAT and accounting duties from day one. Damalion helps you align these steps so that Swiss law, your business model and bank expectations match clearly.
Core documents most Geneva incorporations require
- Valid passports/IDs and recent proof of address for all founders, directors and beneficial owners.
- Shareholder and group information: corporate documents for legal-entity shareholders, ownership chart and identification of beneficial owners.
- Draft or final articles of association describing name, seat in Geneva, purpose, share capital and governance rules.
- Bank confirmation that the required share capital has been paid into a blocked Swiss account.
- Notarial deed of incorporation and any board or shareholder resolutions required by Swiss law.
- Business plan or activity description: products or services, target markets, main clients and suppliers, expected turnover.
- Tax and social security forms: information for direct tax registration, social insurance registration and, where relevant, VAT registration.
- Evidence on the source of funds used to provide share capital and shareholder loans.
- Internal register of shareholders and beneficial owners, to be aligned with future federal transparency rules.
- Sworn or certified translations and legalisations when documents are not in a Swiss language or English and the authority or bank requests them.
Main company forms in Geneva at a glance
| Topic | Limited Liability Company (SARL) | Corporation (SA) |
|---|---|---|
| Typical use | Operating companies, trading, professional services, SMEs and family-owned businesses. | Larger ventures, holding and financing companies, structures that may seek external investors or listings. |
| Minimum share capital | CHF 20,000. It must be fully paid in at incorporation. | CHF 100,000. At least CHF 50,000 must be paid in at incorporation. |
| Shareholders | At least one shareholder (natural person or legal entity). Quotas are registered and, as a rule, not freely transferable without consent. | At least one shareholder. Shares may be registered; bearer shares are in principle no longer allowed except in very limited situations under Swiss law. |
| Management and Swiss-resident person | One or more managers. At least one person with authority to represent the company must be resident in Switzerland. | Board of Directors. At least one board member or director with signatory power must be resident in Switzerland. |
| Liability | Limited to the company’s assets. Shareholders are in principle not personally liable beyond their contribution. | Limited to the company’s assets. Shareholders’ liability is limited to the issue price of the shares. |
| Corporate governance | Shareholders’ meeting and managers; written resolutions are widely used for small companies. | Shareholders’ meeting and Board of Directors; more formal governance, suitable for complex structures. |
| Accounting and audit | Full commercial accounting. Limited or ordinary audit depending on size tests; small companies may opt out under conditions. | Full commercial accounting. Ordinary audit for larger entities; smaller SAs may be subject to limited audit or opt-out if criteria are met. |
Main steps to register your company in Geneva
- Clarify the project. Define the business purpose in Switzerland, expected turnover and staff, and confirm that Geneva is the correct canton for your case.
- Choose the legal form. Decide between SARL, SA or another structure after comparing capital, governance and investor expectations.
- Open a capital payment account. A Swiss bank blocks the share capital until the Commercial Register has completed the registration.
- Prepare the legal documents. Draft articles of association, incorporation deed, ancillary agreements and corporate approvals for legal-entity shareholders.
- Sign before a Swiss notary. Founders or proxies sign the incorporation deed and related documents, physically or by accepted power of attorney.
- File with the Geneva Commercial Register. The notary submits the file; processing generally takes around 10–15 business days when the documentation is complete.
- Release the capital and open the operating account. After registration, the bank converts the blocked capital account into an operating account in the company’s name.
- Register for tax, social security and VAT. Notify the tax authorities, social insurance bodies and, where relevant, the VAT administration based on your forecast turnover.
- Set up internal governance. Approve signatory rules, internal policies, accounting procedures and compliance monitoring appropriate to the size and activity of the company.
Costs, taxes and timelines
- Incorporation costs. Notary fees, Commercial Register fees and translation/legalisation costs depend on the structure and language needs.
- Corporate income tax. For the 2025 tax year, the effective combined corporate income tax rate in the Canton and City of Geneva, including federal tax, is around 14.7% for standard companies. Exact rates can change and must be confirmed with current cantonal schedules.
- Capital tax. Geneva levies an annual capital tax; reduced rates may apply to capital linked to qualifying R&D and certain assets.
- Accounting and audit fees. Costs depend on transaction volume, consolidation needs and whether the company is subject to a limited or ordinary audit.
- Timeline. From first planning call to an operational company with a bank account, realistic projects usually take several weeks. Legal, tax and bank reviews can extend this period, especially for cross-border structures.
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Frequently asked legal questions
1. Which legal forms are most frequently used for companies in Geneva?
The most common forms are the Limited Liability Company (SARL) and the Corporation (SA). Both have legal personality, limited liability and are recognised throughout Switzerland. The choice depends mainly on capital, governance and investor expectations.
2. What is the minimum share capital for a SARL and an SA in Geneva?
For a SARL, the minimum share capital is CHF 20,000 and must be fully paid in at incorporation. For an SA, the minimum share capital is CHF 100,000, of which at least CHF 50,000 must be paid in at incorporation. These thresholds apply at federal level and therefore also in Geneva.
3. Must a Geneva company have a Swiss-resident director or manager?
Yes. Swiss company law requires that at least one person who is authorised to represent the company (for example a manager in a SARL or a board member in an SA) is resident in Switzerland. This person must have sufficient authority to bind the company.
4. May foreign shareholders own 100% of a Geneva company?
In most sectors, foreign individuals and foreign legal entities may own 100% of the shares or quotas of a Swiss company, including in Geneva. Special rules can apply in regulated sectors such as financial services, real estate for residential purposes or activities that are subject to licensing.
5. How long does registration with the Geneva Commercial Register normally take?
After the notary has filed a complete and compliant dossier, the Geneva Commercial Register usually processes the file within about 10 to 15 business days. Complex structures, cross-border chains or missing documents can extend this timeframe.
6. Is a notarial deed mandatory for company incorporation?
Yes. The incorporation of a SARL or SA in Switzerland must be recorded in a notarial deed. The deed confirms the intention to form the company, the approval of the articles of association and the subscription and payment of the share capital.
7. Which accounting obligations apply to Geneva companies?
SARLs and SAs must keep full commercial accounts, including balance sheet, profit and loss account and notes. Books must be kept in an orderly manner and retained for at least ten years. The accounting standards can vary according to company size and listing status.
8. When is an audit required under Swiss law?
An ordinary audit is mandatory if, for two consecutive financial years, the company exceeds at least two of the following thresholds: total assets of CHF 20 million, turnover of CHF 40 million, or 250 full-time employees on average. Smaller companies are normally subject to a limited audit and very small companies may opt out if all shareholders agree and no more than ten full-time employees are employed.
9. What is the current level of corporate income tax in Geneva?
For the 2025 tax year, the effective combined corporate income tax rate in Geneva, including federal, cantonal and communal taxes, is around 14.7% for standard companies. Special regimes and international rules such as the 15% global minimum tax can influence the final burden in specific cases.
10. Are dividends paid by a Geneva company subject to Swiss withholding tax?
In principle, dividends distributed by a Swiss company are subject to 35% Swiss withholding tax. Double tax treaties and, for qualifying EU and EFTA shareholders, specific international rules can reduce or eliminate this withholding, usually on the basis of a refund or exemption procedure. The correct treatment must be assessed in each case.
11. How are shareholder loans treated for Swiss tax purposes?
Shareholder loans are permitted but must respect arm’s length interest rates and thin capitalisation guidelines published by the Swiss Federal Tax Administration. Excessive debt or non-market interest can lead to a requalification as hidden equity or hidden profit distribution, with corporate tax and withholding tax consequences.
12. What are the rules on beneficial ownership and transparency?
Swiss law requires companies to identify and record their beneficial owners. In addition, a federal reform adopted after 2023 introduces a central register of beneficial owners managed by the authorities. Companies must expect stricter duties to collect, keep and update this information and to make it available to competent authorities and financial intermediaries.
13. Are there substance or presence requirements for Geneva holding and trading companies?
For tax and regulatory purposes, companies are expected to demonstrate genuine presence in Switzerland. This normally includes effective management and decision-making in Switzerland, adequate directors, local addresses, and, depending on the activity, staff and infrastructure that match the business model.
14. Can the board of a Geneva company meet outside Switzerland?
Board meetings may be held outside Switzerland, but the company must ensure that overall management and control remain in Switzerland in order to preserve Swiss tax residency and to comply with local substance expectations. In practice, key decisions are often documented as taken in Switzerland by resident directors.
15. What is required to open a Swiss business bank account for a Geneva company?
Banks must apply strict due diligence rules. They will normally ask for the company’s registration documents, articles of association, information on directors and beneficial owners, proof of the source of funds, and a clear description of planned transactions, countries and counterparties. Acceptance is always at the discretion of each bank under its risk policy.
16. Do Geneva companies have to register for VAT?
Swiss VAT registration is usually required when the worldwide turnover from taxable supplies exceeds CHF 100,000 per year, unless a specific exemption applies. Some companies choose to register voluntarily to recover input VAT. The analysis must take into account the nature of supplies and the place where they are deemed to occur.
17. How are employees of a Geneva company registered for social security?
Employers in Geneva must register with the competent social security funds and with the accident insurance provider. They must withhold employee contributions for social security and occupational pension schemes where applicable, and pay employer contributions. Cross-border workers are subject to specific coordination rules under international agreements.
18. Are tax incentives available for internationally active companies?
Following the Swiss corporate tax reform, Geneva no longer offers traditional preferential regimes, but other tools exist, such as patent box rules, additional deductions for qualifying R&D expenditure and capital tax relief on certain assets. The availability and benefit of these measures depend on the company’s activity and must be analysed case by case.
19. Can a Geneva company be redomiciled from or to another country?
In some cases it is possible to transfer the registered office of a foreign company to Switzerland or to transfer a Swiss company abroad, subject to the laws of both jurisdictions and to creditor protection rules. These operations are complex and require detailed legal, tax and corporate analysis before implementation.
20. Does this information replace Swiss legal or tax advice?
No. This guide gives a general overview of company formation in Geneva. It does not constitute legal, tax or regulatory advice. Each project should be reviewed with qualified Swiss counsel, tax advisers and other professional advisers before decisions are taken.
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