Go Back   English Forum Switzerland > Living in Switzerland > Business & entrepreneur  
Reply
 
Thread Tools Display Modes
  #1  
Old 21.09.2006, 17:46
cloudranger's Avatar
Newbie 1st class
 
Join Date: Sep 2006
Location: Monthey VS
Posts: 15
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
cloudranger has no particular reputation at present
Running foreign company in Switzerland

Anyone have any experience of any issues of running a foreign company from CH?

I am moving there soon and have an existing UK Ltd company which has traded since 1990 and given all I have read about setting up a CH company I was thinking of just continuing to use my UK company (or setting up one in the Isle Of Man/Gibralta etc for slightly easier admin)

I am not sure however if there are any particularly large issues with doing so (other than people being slightly more nervous about dealing with a non Swiss company).

Anyone on this forum doing anything similar?

Thanks
Reply With Quote
  #2  
Old 21.09.2006, 18:07
Guest
 
Posts: n/a
Re: Running foreign company in CH

What you're going to do with it ? I can't imagine why you would want to trade through your UK company unless it was small beer, or had a UK angle. Unless you intend to go back to UK or wish to trade in the UK market, I don't see a great deal of point.

If you are IT contracting here you may not need a company at all. Indeed you can be selbständig (self-employed) doing almost anything if you don't need the limited liability aspect.

dave


Quote:
Anyone have any experience of any issues of running a foreign company from CH?

I am moving there soon and have an existing UK Ltd company which has traded since 1990 and given all I have read about setting up a CH company I was thinking of just continuing to use my UK company (or setting up one in the Isle Of Man/Gibralta etc for slightly easier admin)

I am not sure however if there are any particularly large issues with doing so (other than people being slightly more nervous about dealing with a non Swiss company).

Anyone on this forum doing anything similar?

Thanks
Reply With Quote
  #3  
Old 21.09.2006, 18:25
cloudranger's Avatar
Newbie 1st class
 
Join Date: Sep 2006
Location: Monthey VS
Posts: 15
Groaned at 0 Times in 0 Posts
Thanked 0 Times in 0 Posts
cloudranger has no particular reputation at present
Re: Running foreign company in CH

Quote:
What you're going to do with it ? I can't imagine why you would want to trade through your UK company unless it was small beer, or had a UK angle. Unless you intend to go back to UK or wish to trade in the UK market, I don't see a great deal of point.

If you are IT contracting here you may not need a company at all. Indeed you can be selbständig (self-employed) doing almost anything if you don't need the limited liability aspect.

dave
IT Consultancy / Web Design / Internet Services etc. Not a huge earner but makes a comfortable living. Not necessarily UK specific so expecting to be doing some business in both CH and UK (infact probably 50% of existimng business currently comes from CH).

It's really just a case of finding a least-hassle route initially as there will be plenty of other things to sort out, so if I can avoid the hassles of a local company setup in maybe the first year or so, then I will (if it makes sense to do so).

Most of the companies we work for would not touch a sole trader and really want to deal with a "company". Limited Liability is not a real issue as our work is good quality and we have liability insurance in any case (most big companies require at least CHF 5M liability insurance which we have)

There are some potential benfits in keeping the current company or in running a company in one country and being resident in another - my issue is what instruments are in place in CH to prevent/limit me doing that (not looking for tax dodges or anything like that, just low hassles).

Cheers
Reply With Quote
  #4  
Old 21.09.2006, 18:32
Guest
 
Posts: n/a
Re: Running foreign company in CH

The real issue would be company taxation. If you are not in the UK, and the hassle factor. To be honest I would stump up the 10kchf minimum to get a Gmbh going. Its a lot less hassle than it seems. I started up a far more posh AG, but thats an overkill for contracting. At least with a Gmbh you can get the good taxation here and VAT reclaim on your considerable expenses such as type ratings. You also have the ability to define again what your company does. "Avionics" and "technical software" would obviously broaden your possible range of deductible expenses nicely.

Hope this helps

dave

Quote:
IT Consultancy / Web Design / Internet Services etc. Not a huge earner but makes a comfortable living. Not necessarily UK specific so expecting to be doing some business in both CH and UK (infact probably 50% of existimng business currently comes from CH).

It's really just a case of finding a least-hassle route initially as there will be plenty of other things to sort out, so if I can avoid the hassles of a local company setup in maybe the first year or so, then I will (if it makes sense to do so).

Most of the companies we work for would not touch a sole trader and really want to deal with a "company". Limited Liability is not a real issue as our work is good quality and we have liability insurance in any case (most big companies require at least CHF 5M liability insurance which we have)

There are some potential benfits in keeping the current company or in running a company in one country and being resident in another - my issue is what instruments are in place in CH to prevent/limit me doing that (not looking for tax dodges or anything like that, just low hassles).

Cheers
Reply With Quote
  #5  
Old 21.09.2006, 23:31
Guest
 
Posts: n/a
Re: Running foreign company in Switzerland

Simple structure for you would be a GmbH partly or wholly owned by the UK Company. Depending on the canton you file in, you'll need somewhere between 5K - 15K as starting capital. Interesting thing about the starting capital - If you then open a GmbH, say in Germany, that is a subsidiary of the CH firm, you can use the same starting capital.... anyway, you need to get real professional advise. Post in the commercial area if you want a real referral.
Reply With Quote
  #6  
Old 22.09.2006, 00:59
Jim2007's Avatar
Forum Legend
 
Join Date: Jun 2006
Location: Kt. Bern
Posts: 4,440
Groaned at 207 Times in 164 Posts
Thanked 7,216 Times in 3,220 Posts
Jim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond repute
Re: Running foreign company in Switzerland

Hi there,

From the Swiss point of view there are no big issues in doing this. You just hold a "board meeting" which decides to establish a branch office in Switzerland and draw up a certified copy of the minutes of this meeting. After that you can use the copy of the minutes to open a copy bank account, register for VAT, social security and so on. You can decide to register your "Branch" in the commercial register or not, it is up to you. One thing you will have to do is establish a pension fund for your "Swiss Employees", in other words yourself, if you are going to draw salary.

The big question is what will you do with the UK side of it. From what I remenber the UK no longer accepts non resident companies, so I expect you will need to do a lot of extra admininstration: you will need to keep accounts etc. for the "Branch" and the "Head Office" and submit corporate tax returns in both countries and so on.

Botton line is that you will need to get advice on both sides for this, so it is best to talk to one of the international accounting firms who have experience in handling this kind of thing.

On the other hand setting up a Swiss company is really not such a big hassle, so unless there are some very good reasons not to, I'd go ahead and set up a Swiss company.

Best Regards,

Jim.
Reply With Quote
Reply




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off



All times are GMT +2. The time now is 15:00.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2021, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0