What do you need to start an Ltd (AG) in Switzerland?
For many first-time founders, startups, and international entrepreneurs, the Swiss Limited Company (Ltd), known locally as an AG (Aktiengesellschaft), is a highly attractive legal structure. It offers strong credibility, flexibility in ownership, and clear separation between personal and company assets.
But what exactly is required to form an Ltd? And what costs should you expect?
This guide gives you a structured overview and shows how to complete the process efficiently online.
What is an Ltd?
A Swiss Ltd is a corporation with its own legal personality. This means the company is legally separate from its shareholders.
The Ltd is particularly suitable for:
- Startups planning to raise investment
- Founders who want limited personal liability
- International entrepreneurs entering the Swiss market
- Businesses looking for a scalable and reputable structure
It is often the preferred legal form for companies with growth ambitions.
What Do You Need to Start a Limited Company?
To form an Ltd in Switzerland, you must meet the following requirements:
1. Minimum Share Capital
The legally required share capital is CHF 100,000.
At least CHF 50,000 must be paid in at the time of incorporation.
The capital is deposited into a blocked bank account before registration. Once the company is entered in the Commercial Register, the funds are released for business use.
2. Shareholders
An Ltd can be founded by:
- One or more individuals
- Legal entities
- Swiss or foreign residents
There are no nationality or residency restrictions for shareholders.
3. Board of Directors
The company must appoint at least one member of the board of directors.
Important – at least one person with signatory authority must be resident in Switzerland. This can be:
- A board member, or
- A managing director with individual signing authority
International founders should plan for this requirement early in the process.
4. Registered Office in Switzerland
Your Ltd must have an officially registered address in Switzerland. This can be:
- Your own office
- A co-working space
- A domiciliation address
The address will be publicly recorded in the Commercial Register.
5. Articles of Association and Notarisation
The Articles of Association define:
- Company name
- Business purpose
- Share capital and share structure
- Governance rules
The incorporation must be notarised. Traditionally, this involved multiple in-person appointments. Today, digital processes allow for a significantly more streamlined experience.
6. Commercial Register Entry
An Ltd legally exists only once it has been registered in the Swiss Commercial Register. After registration, the company receives:
- A UID number
- Official confirmation of incorporation
How Much Does It Cost to Form an Ltd?
The total cost depends on the complexity of the structure and the canton of registration. Typically, you should budget for:
1. Share Capital
- CHF 100,000 total share capital
- Minimum CHF 50,000 paid in at incorporation
2. Notary and Registration Fees
- Approximately CHF 2,000 to CHF 3,500
(depending on the canton and structure)
3. Optional Additional Services
- Legal or fiduciary advice
- Domiciliation services
- VAT registration
- Accounting setup
Clear planning helps avoid unexpected costs and delays.
How Long Does Ltd Formation Take?
With traditional processes, forming an Ltd can take several weeks due to coordination between banks, notaries, and authorities.
With a structured digital process, timelines can be significantly reduced to less than 24h. Online identification, guided document preparation, and centralised coordination help ensure a smooth and predictable incorporation.
Frequently Asked Questions
Do I need to be physically present in Switzerland?
Not necessarily. Many steps can be completed remotely through digital identification and online workflows.
Can foreigners own 100 percent of a Swiss Ltd (AG)?
Yes. There are no ownership restrictions. However, the requirement for a Swiss-resident signatory still applies.
Is an Ltd (AG) the right legal form for my startup?
If you plan to raise capital, issue shares, or scale internationally, a Limited Company is often the preferred structure. For smaller or less complex businesses, an LLC may be an alternative.
Start Your Ltd – Simply and Securely
Forming a Limited Company involves legal, financial, and administrative steps. With the right partner, it does not have to be complex.
Hoop simplifies the entire incorporation process through a fully digital platform. From document preparation to Commercial Register entry, everything is handled in one place – structured, transparent, and secure.
Instead of coordinating multiple providers, you manage your company formation efficiently and with full visibility.
Ready to launch your Ltd?
Start your company online and bring your business idea to life in Switzerland with Hoop!
This blog article does not constitute legal advice, it is made available “as is” and makes no claim to completeness or accuracy. Hoop makes no warranty or liability as to its content. This is excluded to the extent permitted by law. Use is at your own risk. Legal advice is recommended if necessary.