Opening a Branch vs. a Subsidiary in Switzerland

The Swiss Business environment A foreign company can decide to open a branch office or a subsidiary while setting up a business in Switzerland. The subsidiary is the most common type of company for foreign businesses that has been used very widely however the branch office has now started to gather popularity as well. There

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Mergers and Acquisitions in Switzerland

Swiss laws for merger and acquisition transactions In Switzerland, mergers and acquisitions come under the regulations of the Code of Obligations, specifically sale contracts. However depending upon the type of transactions, Swiss public companies listed on the stock exchange, may fall under the regulations of the Stock Exchange and Securities Trading Act (SESTA), or by the Merger

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Reserving a Company Name in Switzerland

Register a business name in Switzerland The following types of Swiss companies are required to register a trade name when carrying out business activities: Swiss sole proprietorships General and limited partnerships Corporations with unlimited partners Limited liability companies Non-profit organizations Foundations. In order to be able to identify the company, the registration of the business name in Switzerland is

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Taxation of Individuals in Switzerland

Taxes in Switzerland According to Swiss tax system, all the individuals living in Switzerland disregarding of their nationality are liable to pay taxes. Therefore, the income tax in Switzerland is applied to residents, temporary residents, and other foreign individuals as well. It is also to be noted that same income tax applies to Swiss legal

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Imports and Exports in Switzerland

The Swiss economy For manufactured goods, Switzerland has an open trade economy based on low prices and there is no limitation when it comes to quantity. This is one of the main reasons the economy is very stable and Switzerland attracts foreign investments. The Swiss goods like watches, chocolate and cheese make the country famous all

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Holding company Switzerland

Holding companies in Switzerland Joint Stock Company or Limited Liability Company, which play an important role in the major economic activities such as purchasing shares in other companies (both foreign and local), forms a legal entity which is termed as Swiss holding companies. The objective of such purely holding companies established in Switzerland is the long-term management of

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Dividend Tax in Switzerland

In Switzerland, dividends and interests are subject to a 35% withholding tax, which can be fully deducted. Taxes in Switzerland are collected at federal, cantonal and local level. Deduction on incoming dividend payments in Switzerland Switzerland’s corporate taxation system usually leads to double taxation. In Switzerland, apart from non-profitable organization, all legal entities are subjected to corporate tax.

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Company Management in Switzerland

The legislation for company management in Switzerland For drafting the interior regulations in terms of company management, The “Code of Best Practice for Corporate Governance” introduced in 2002, is used as an important guide for Swiss companies. Swiss Code of Obligations and the Federal Act on Mergers, Demergers, Transformations, Transfer of Assets and the Criminal Code, act as the

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Arbitration in Switzerland

The Swiss Arbitration Law Switzerland is one of the preferred countries in the world when it comes to international arbitration matters, which is of course due to its political neutrality. For many international institutions and dispute resolution organizations such as the United Nations, the World Trade Organization (WTO) or the World Intellectual Property Organization (WIPO),

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Hedge Funds in Switzerland

Legislation for hedge funds in Switzerland The regulations of the Swiss Federal Ordinance on Collective Investment Schemes (Collective Investment Schemes Ordinance, CISO) and the FINMA (Financial Market Supervisory Authority) apply on Hedge funds as well. Hedge funds can be constituted as contractual funds (fonds commun de placement, FCP) and Swiss investment companies with variable capital (SICAV) and have the same form

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