Switzerland is undoubtedly one of the most attractive countries in the world to live, work and do business. So what makes Switzerland the perfect place to conduct your business?
According to The Global Competitiveness Report 2014–2015, for the sixth consecutive year Switzerland leads the top 10 most competitive economies in the world. The reasons are as follows:
- Favorable institutional environment
The legal and administrative framework within which individuals, firms, and governments interact to generate wealth determines the institutional environment of Switzerland. It is well recognized in Switzerland, that the owners of land, corporate shares, or intellectual property are unwilling to invest in the improvement and upkeep of their property if their rights as owners are not protected. Excessive bureaucracy and red tape, overregulation, corruption, dishonesty in dealing with public contracts, lack of transparency and trustworthiness, inability to provide appropriate services for the business sector, and political dependence of the judicial system? No, none of these practices play role in Switzerland.
- Well-developed infrastructure
Extensive and efficient infrastructure is critical for ensuring the effective functioning of the economy. Well-developed Swiss infrastructure (including effective modes of transport, reliable electricity suppliers, an extensive telecommunications network, etc.) reduces the effect of distance between regions, integrating the national market and connecting it at low cost to markets in other countries.
- Stable macroeconomic environment
The government cannot work efficiently if it has to make high-interest payments on its past debts. Running fiscal deficits limits the government’s future ability to react to economic cycles. Firms cannot operate efficiently when inflation rates are out of hand. The well-established control under the stability of the macroeconomic environment in Switzerland plays an important role for the overall competitiveness of a country.
- First class health care and education
Poor health leads to significant costs to business, as sick workers are often absent or operate at lower levels of efficiency. Speaking of education, often workers who have received little formal education can carry out only simple manual tasks and find it much more difficult to adapt to more advanced production processes and techniques, and therefore they contribute less to devising or executing innovations. A healthy workplace environment and the quantity and quality of the education in Switzerland are vital to a country’s productivity.
- Goods market efficiency
Switzerland is well positioned to offer the right mix of products and services given its particular supply-and-demand conditions. For cultural and historical reasons, customers are more demanding in Switzerland than in other countries. This in turn helps Switzerland in creation of an important competitive advantage, as it forces companies operated in Switzerland to be more innovative and customer-oriented.
- Financial market efficiency
Swiss efficient financial sector allocates the resources saved by a nation’s citizens, as well as those entering the economy from abroad, to their most productive uses. It channels resources to those entrepreneurial or investment projects with the highest expected rates of return rather than to the politically connected.
- Perfect location
Switzerland is a country in the heart of Europe. This presents specific location advantages. In Switzerland you are never far from other countries, and Swiss business is closely linked to markets around the Europe, be that through exports, branch offices or direct investments. Switzerland is politically independent and is not a member of the European Union. However, a dynamic European policy and a body of democratically approved bilateral agreements ensure close, long-term political cooperation with the EU and economic integration into the European market, home to nearly 500 million potential clients.
- High-tech innovation environment
Although gains can be obtained by improving institutions, building infrastructure, reducing macroeconomic instability, or improving human capital, all these factors eventually run into decreasing returns. The same is true for the efficiency of goods and financial markets. In the long run, standards of living can be largely enhanced by technological innovation. That is why Switzerland is conducive to innovative activity. Sufficient investment in research and development, especially by the private sector; the presence of high-quality scientific research institutions; extensive collaboration in research and technological developments between universities and industry, in addition to access to venture capital and financing, -altogether help Switzerland in its sustainable growth.
What are the considerations to make?
You’re already thinking of registration a company in Switzerland? There are a number of things you need to consider before you proceed.
Firstly, it is essential to choose the right Swiss business legal structure for it. Choosing your business structure is an important decision, so you need to investigate each option carefully. If you are thinking of setting up a company in Switzerland, you need to be aware that the most common types of companies in Switzerland are Stock corporation (AG/SA) and Limited liability company (GmbH/Sàrl). There are advantages and disadvantages to consider for each.
Are you still unsure which type of company to choose? From the analysis up to the registration, Maximus Capital S.A. will guide and support you during the entire process.
Second consideration you as foreigner have to take into account is that you must be a Swiss resident, or have a Swiss legal entity or partner who is a Swiss resident to start a business in Switzerland. For instance, when it comes to the composition of the bodies that govern the Stock corporation (AG/SA), a member of the board or a director must be resident of Switzerland, with sole signatory rights. This prerequisite can also be met if two members of the board or two directors have joint signatory rights and are residents of Switzerland. With regard to Limited liability company (GmbH/Sàrl), at least one managing director who is authorized to sign on behalf of the company must be resident in Switzerland.
It seems difficult to achieve? Well, don’t worry – it really isn’t hard at all! A Swiss resident – consultant from our company will become nominee director of your company as outlined above. This service is optional. You may of course have your own Swiss resident director should you prefer so.
Why Maximus Capital S.A.?
Are you still unsure whether you can make it in Switzerland? Maximus Capital S.A. will not leave you alone. There are a few reasons why you should work with us:
- Quality of services
There are many companies on the market, offering cheap and quick “solutions” for your business. But cheap and fast service is not always meant to be of high quality. As a result of such a cooperation, problems “no one is responsible for” often occur. We do not promise you the lowest price and the fastest results. We guarantee the quality.
- Individual approach
We are not interested in attracting the largest possible number of clients by providing a standardized package of services. We rather work with each client individually and provide services according to its needs. All our services are economically and legally justified and appropriate.
- Integrated services
We are interested in long-term cooperation. As our customer, you will not only get a company registered in Switzerland, but also a permanent advisory support on all issues (secretarial and domicile services, tax and legal advice, accounting services, financial planning, etc.).