Building a business from a beach somewhere in Bali sounds ideal—until you try invoicing a European client with a sketchy offshore structure. That’s when many remote founders realize they need a serious business base their clients can trust.
Switzerland might not scream “remote work hub,” but it's quietly becoming a top choice for nomads who want more than just a tax break. With a strong legal framework, low-tax cantons, and global respect baked into its corporate ecosystem, Switzerland offers remote founders something rare: legitimacy with flexibility.
So, how do you register a company in Switzerland as a digital nomad? What are the legal and tax realities if you’re operating from abroad?
This guide explains how to open a Swiss company as a digital nomad, what to expect, and how to do it smartly—without relocating or overcomplicating your setup. Read on!
Why Switzerland Appeals to Digital Nomads
The ideal business base for digital nomads balances flexibility, trust, and long-term viability. Switzerland offers all three—and more.
1. Political and Economic Stability
Switzerland consistently ranks high in global stability indexes. Its neutrality, low corruption levels, and resilient economy make it one of the safest countries to anchor a business—especially if you manage operations remotely.
2. Strong International Reputation
In a global marketplace, perception matters. A Swiss-registered company signals credibility to banks, clients, and investors. Whether consulting, freelancing, or running a boutique agency, having “Switzerland” on your business documents can instantly elevate trust.
3. Favorable Tax Regimes in Certain Cantons
While Switzerland is not a low-tax country overall, certain cantons—like Zug and Nidwalden—offer preferential tax rates for businesses. With proper structuring, remote founders can benefit from these reduced rates without setting foot in the country.
4. Access to World-Class Banking and Legal Systems
Switzerland’s banking system is among the most secure and sophisticated globally. Pair that with clear legal structures and reliable corporate governance, and you get a jurisdiction that supports your business, not one you’ll constantly have to navigate around.
5. Not an Offshore Haven—But That’s the Point
Unlike traditional offshore jurisdictions, Switzerland isn’t flagged by international regulators. This gives you a compliant and transparent structure that won’t raise red flags with clients, platforms, or financial institutions. It's the kind of “legit” that opens doors rather than closes them.
Can Digital Nomads Legally Register a Swiss Company?
Yes—digital nomads can legally register and own a Swiss company without being residents of Switzerland. The country’s business laws are notably open to foreign entrepreneurs, making it possible to form and operate a company remotely. However, there are key legal and structural requirements to be aware of.
100% Foreign Ownership Is Allowed
Switzerland places no restrictions on foreign ownership for limited liability companies. Whether you're a solo founder or part of a distributed team, you can fully own a Swiss GmbH (Gesellschaft mit beschränkter Haftung) or AG (Aktiengesellschaft) without holding Swiss citizenship or residency.
2. Local Director Requirement
While ownership is flexible, Swiss law does require at least one individual with legal residence in Switzerland to be listed as a company director or authorized representative. This person acts as the company's legal point of contact and is responsible for certain filings and official communications.
Note: Many digital nomads address this by partnering with a local fiduciary or service provider that offers nominee director services—often bundled as part of a company formation package.
3. Choosing the Right Legal Structure
For most remote founders, the GmbH structure is ideal. It offers:
- Limited liability protection
- Lower minimum share capital (CHF 20,000)
- More straightforward compliance than an AG
While offering more prestige and broader shareholder options, the AG requires a higher capital contribution (CHF 100,000) and stricter corporate formalities—typically more suitable for larger ventures or investor-backed companies.
Physical Presence Not Required for Setup
You don’t need to travel to Switzerland to register your company. Formation, including notarization and registration, can be handled remotely through a certified agent. Some steps, like opening a bank account, may require identity verification, but this can also be completed remotely, depending on the bank.
Tax Considerations for Remote Entrepreneurs
One of the main reasons digital nomads explore Swiss company formation is for smart, compliant tax structuring. While Switzerland isn't a "low-tax" country across the board, it does offer significant tax advantages—especially when compared to high-tax jurisdictions where remote founders might otherwise be personally liable.
1. Corporate Tax Rates Vary by Canton
Switzerland operates a three-tier tax system: federal, cantonal, and municipal. The federal corporate income tax rate is a flat 8.5%, but total effective rates vary by location.
In business-friendly cantons like Zug, Nidwalden, and Lucerne, total corporate taxes can fall as low as 11.9%–14.5%—putting Switzerland on par with some of the most tax-efficient jurisdictions in Europe.
2. Tax Residency Depends on Where You Work and Live
Forming a Swiss company does not automatically make you a Swiss tax resident. If you operate your business entirely from abroad, you remain a nonresident owner for personal tax purposes. However, if you relocate to Switzerland, your global income may become subject to Swiss personal income tax, depending on your residency status.
This distinction is key for digital nomads who want to separate their personal tax obligations from their company’s—a process that can be achieved with proper structuring and legal advice.
3. VAT Registration Requirements
Swiss companies must register for VAT (Value Added Tax) if they generate more than CHF 100,000 annually globally, even if the business is conducted outside of Switzerland. The standard VAT rate is 7.7%, with reduced rates for specific services.
If you sell digital services to clients in Switzerland or the EU, you’ll also need to consider cross-border VAT compliance, which a local advisor can help manage.
4. Double Taxation Treaties Work in Your Favor
Switzerland has over 100 double taxation treaties, including those of the U.S., UK, EU, and most major economies. These treaties help ensure that your income isn’t taxed twice—once in Switzerland and again in your country of residence—provided you comply with the rules in both jurisdictions.
Residency and Work Permits – Do You Need One?
The short answer is no. You don’t need Swiss residency to open or own a Swiss company. But if you plan to live and work within Switzerland’s borders, then immigration and work permit rules come into play.
Owning a Swiss Company Doesn’t Grant You Residency
Foreigners can establish and fully own a Swiss company without being residents. Your company will be taxed in Switzerland, but you won’t be personally taxed there unless you physically move to the country or meet the criteria for tax residency.
If you're a digital nomad operating from abroad, you can manage your company remotely—as long as you meet the legal requirement of appointing at least one Swiss-resident director or representative.
Want to Relocate? You’ll Need a Permit
If you're considering relocating to Switzerland to run your business on-site or enjoy its quality of life, you’ll need the proper residence or work permit. Requirements vary depending on your nationality:
- EU/EFTA nationals: Generally easier; you can usually obtain a residence permit if you can prove you’re self-employed and have sufficient income.
- Non-EU nationals: Significantly more complex. You typically need to prove that your business will create local jobs or provide economic value to the region. Approval is handled at the cantonal level and requires a solid business plan.
Living Abroad? Stay Compliant Anyway
Even if you stay outside Switzerland, your company will still be subject to local compliance: tax filings, bookkeeping, and director representation. Working with a fiduciary or service provider helps manage these obligations without requiring you to be physically present.
How to Set Up a Swiss Company Remotely
Switzerland may be known for its precision and structure, but setting up a company there as a digital nomad doesn’t have to be complicated. Proper guidance can handle the entire process remotely—from company registration to opening a bank account.
Here’s how it typically works:
1. Choose Your Legal Structure
For most remote founders, a GmbH (Gesellschaft mit beschränkter Haftung) is the best fit. It offers:
- Limited liability
- A lower minimum capital requirement (CHF 20,000)
- A structure that’s widely recognized and easy to manage
An AG (Aktiengesellschaft) offers more prestige and is better for larger companies with multiple shareholders, but it requires a minimum of CHF 100,000 in capital and stricter compliance.
2. Reserve a Company Name
Your business name must be unique and meet Swiss naming standards. Before proceeding, check with the Commercial Registry to ensure it’s available.
3. Appoint a Local Director or Representative
Swiss law requires at least one person with legal residence in Switzerland to be authorized to represent the company. This doesn’t need to be a shareholder. Many foreign founders work with fiduciary firms—like SIGTAX—that provide local director or representation services.
4. Open a Swiss Bank Account
This step is often the most time-consuming, especially for non-residents. Most Swiss banks require:
- Proof of identity (passport, utility bill)
- Company documents
- Details on your business activities and clients
While in-person visits were once mandatory, many banks now offer remote onboarding with video verification—though acceptance still depends on your business model and risk profile.
5. Deposit the Share Capital
A GmbH must deposit the full CHF 20,000 into a blocked capital contribution account before registration. Once your company is incorporated, the account is converted into a standard business account.
6. Draft and Notarize Company Documents
Core documents include:
- Articles of Association
- Public deed of incorporation
- Confirmation of capital deposit
Swiss notaries can handle this step on your behalf or work with your fiduciary partner to process it remotely.
7. Register with the Commercial Registry
Once notarized documents are submitted and approved, your company is officially entered into the Swiss Commercial Register. You’ll receive a company identification number and be legally recognized.
8. Register for VAT (if required)
VAT registration is mandatory if your business expects to generate over CHF 100,000 annually. For lower revenue, it’s optional but can still be beneficial for reclaiming input tax.
Common Challenges for Digital Nomads
While Switzerland offers clear advantages for remote entrepreneurs, setting up a company from abroad isn’t without friction points. Understanding these early on helps avoid costly delays and frustration down the road.
Banking Can Be Selective
Swiss banks are known for their high standards and caution. If your business model involves crypto, high-risk industries, or a lack of a local presence, opening a business account can take longer or result in rejections. Even for straightforward setups, expect detailed due diligence on your identity, source of funds, and business activities.
Tip: Working with a local partner with banking relationships can help smooth the onboarding process.
The Local Director Requirement
Finding a trustworthy Swiss-resident director isn’t always straightforward. You’ll need someone who satisfies the legal requirement and is willing to act as your company’s public representative. Fiduciary firms can fill this role, but it’s essential to understand their scope of authority and any liabilities involved.
Compliance Isn’t Automatic
Swiss companies are partly respected because of their high standards for transparency and compliance. Even if you live abroad, your company must still meet requirements such as:
- Filing annual accounts
- Keeping proper bookkeeping records
- Submitting tax and VAT declarations (if applicable)
Neglecting these can result in fines, reputational damage, or administrative closure.
Limited Residency Options for Non-EU Nomads
While EU/EFTA citizens can more easily relocate to Switzerland, non-EU citizens face steeper hurdles. Owning a Swiss company doesn’t guarantee a residence permit, and the application process is complex—often requiring proof of local economic benefit or job creation.
Navigating Cross-Border Tax Complexity
If you live and work in another country, you may still have tax obligations in your home jurisdiction. Running a Swiss company doesn’t exempt you from declaring income locally—especially in countries with strict CFC (Controlled Foreign Company) rules or broad tax residency definitions.
Benefits of Partnering with a Company Formation Expert
Switzerland’s business ecosystem is efficient—but it’s also detail-driven and heavily regulated. For digital nomads setting up a Swiss company remotely, partnering with a professional formation expert isn’t just a convenience—it’s often the difference between smooth incorporation and costly missteps.
Navigating Legal and Regulatory Complexity
Swiss company law is precise, from cantonal tax nuances to director requirements and corporate governance rules. Formation experts help ensure your company structure is compliant from day one, so you’re not left untangling errors months later.
They also keep you ahead of key milestones like annual filings, VAT submissions, and shareholder updates.
Access to Local Director and Representation Services
For non-resident founders, this is a game-changer. A trusted partner can provide a Swiss-resident director or authorized signatory—fulfilling legal requirements while minimizing your involvement in day-to-day bureaucracy.
The best providers also ensure this representation comes with proper safeguards and transparency.
Simplified Bank Account Setup
Banks in Switzerland take risk assessment seriously. A formation expert can help position your business correctly during onboarding, prepare the necessary documentation, and even introduce you to banking partners with experience in your sector.
This saves time and increases your chances of approval.
End-to-End Remote Handling
From notarized documentation to Commercial Register filings and tax ID applications, every step can be coordinated remotely through a qualified service provider. You don’t need to fly to Zurich or Geneva. You just need a team that knows the terrain.
Ongoing Support Beyond Incorporation
The best partners don’t disappear once your company is live. They stay engaged—offering ongoing compliance assistance, accounting, tax advisory, and business expansion support as your operations grow.
Conclusion
Switzerland isn’t just for multinational giants—it’s a viable, strategic option for digital nomads who want more than a flashy business address.
You don’t need to live in Zurich or navigate Swiss bureaucracy on your own. With the right setup, you can operate a credible, tax-efficient Swiss company from anywhere in the world—while signaling professionalism to banks, clients, and partners alike.
Yes, there are challenges: regulatory details, director requirements, and selective banking. But none of these are deal-breakers with the right guidance.
That’s where SIGTAX comes in. With deep local knowledge and a streamlined, remote-friendly process, SIGTAX helps digital nomads set up and manage Swiss companies with confidence—from formation to compliance and beyond.
If you’re ready to give your business a stronger foundation—one that grows with you, not against you—Switzerland might be your smartest next move.
Add new comment