Whoever intends to establish or restructure a business enterprise has to deal with many legal, commercial and naturally, actuarial matters. Because not every one of the respective legal forms suits every business enterprise.



The choice of the right legal form is a very important decision which has to be precisely considered. In theory, the once selected legal form can be changed at any time, but in practice this usually leads to high costs and fiscal problems. In this connection, Swiss law holds out the promise of numerous possibilities in the selection of a legal form for a business enterprise. First of all, a differentiation is made between partnerships and corporations, which both have their respective advantages and disadvantages. The basis question which you should ask yourself is: “As a founder, would I like to be liable for any accounts receivable with my entire personal assets, or would I rather prefer to limit the risk?”

Those who would like to bear the risk on their own – and can also do this – do not necessarily have to establish a business enterprise, but can register themselves in the commercial register relatively easily. Business enterprises which start together with colleagues will be better to establish a general or limited partnership. Whoever intends to financially bear less entrepreneurial risk does this best of all through the formation of a corporation, and thus limits the risk to a specific amount. For instance, a Gesellschaft mit beschränkter Haftung (limited liability company; GmbH) or an Aktiengesellschaft (corporation/public limited company; AG) would suggest itself here. However, one can also take up an entrepreneurial activity as a Verein (association) or Genossenschaft (cooperative).