Incorporated. Now make it work.
Incorporating a Swiss company is an important milestone — but it is only the beginning.
Once the company is registered, several accounting, tax, payroll and corporate obligations need to be organised from the start.
A good setup in the first months can prevent unnecessary corrections, delays and compliance issues later.
1. Accounting
Every Swiss company must maintain proper accounting records and supporting documentation.
This means setting up:
▪️ the chart of accounts;
▪️ bank and cash reconciliations;
▪️ supplier and customer accounting;
▪️ expense documentation;
▪️ year-end closing procedures; and
▪️ retention of accounting records.
The accounting system should reflect the company’s activity and provide reliable financial information throughout the year.
2. VAT
Depending on the company’s activities and turnover, VAT registration may be mandatory or voluntary.
This should be assessed early, particularly for companies with:
▪️ Swiss customers;
▪️ cross-border services;
▪️ imports or exports;
▪️ foreign suppliers; or
▪️ significant input VAT.
The applicable VAT method and filing frequency should also be determined from the beginning.
3. Payroll and social security
As soon as the company hires employees — including, in many cases, its founder or director — the appropriate registrations must be arranged.
This may include:
▪️ AVS/AHV social security;
▪️ accident insurance;
▪️ occupational pension;
▪️ withholding tax where applicable; and
▪️ monthly payroll processing.
Employment contracts, salary certificates and annual declarations also need to be properly managed.
4. Corporate tax
A newly incorporated company will become subject to corporate income and capital tax.
Even where the company is not yet profitable, it is important to maintain proper tax records from the first year.
This includes monitoring:
▪️ deductible expenses;
▪️ shareholder and related-party transactions;
▪️ intercompany balances;
▪️ financing arrangements; and
▪️ tax losses carried forward.
5. Corporate governance
The company must also comply with its corporate obligations.
Depending on its legal form and structure, this may include:
▪️ maintaining corporate records;
▪️ preparing annual shareholder or quota-holder resolutions;
▪️ documenting board decisions;
▪️ keeping shareholder information up to date; and
▪️ ensuring that changes in directors, shareholders or registered office are properly processed.
Directors should also remain aware of their responsibilities regarding the company’s financial position and organisation.
6. Audit requirements
At incorporation, it is also important to determine whether the company can opt out of a statutory audit or whether an audit will be required.
As the company grows, its audit status should be reviewed regularly.
7. Banking and internal organisation
Finally, practical processes should be established early:
▪️ who can approve payments;
▪️ who receives invoices and official correspondence;
▪️ how accounting documents are transmitted;
▪️ who monitors tax and regulatory deadlines; and
▪️ how management receives financial information.
A company that starts with clear processes is much easier to manage as it grows.
Incorporation is therefore not the end of the process — it is the point at which the company’s financial, tax and administrative framework really begins.
Have you recently incorporated a company in Switzerland and need support with the next steps? Contact us.