Your choice of legal form determines how much your company formation costs - and which obligations you take on. This page compares the three most common legal forms in Switzerland - sole proprietorship, GmbH (LLC) and AG (stock corporation) - with all the hard figures for 2026.
Comparison: sole proprietorship vs. GmbH vs. AG (2026)
| Feature | Sole proprietorship | GmbH (LLC) | AG (Ltd) |
|---|---|---|---|
| Minimum capital | none | CHF 20'000 | CHF 100'000 |
| Paid-in requirement | – | 100% (CHF 20'000) | min. CHF 50'000 / 20% |
| Public deed (notary) | no | yes | yes |
| Commercial register entry | voluntary, mandatory from CHF 100'000 annual revenue | mandatory | mandatory |
| Register fee, new entry (approx.) | CHF 80–120 | CHF 420–600 | CHF 420–600 |
| Notary costs (approx.) | – | CHF 600–1'500 | CHF 800–2'000 |
| Issuance stamp duty | none | 0 (CHF 1m exemption) | 0 at standard capital (CHF 1m exemption) |
| Formation cost excl. capital (approx.) | CHF 0–120 | CHF 700–2'100 | CHF 1'200–2'600 |
| Liability | unlimited, personal assets | limited to share capital | limited to share capital |
| Min. number of persons | 1 | 1 | 1 |
| Company name | surname mandatory | freely chosen + "GmbH" | freely chosen + "AG" |
"Formation cost excl. capital" = one-off fees (notary + commercial register) without the capital to be paid in. Register fees vary by canton under GebV-HReg; notary costs depend on canton and capital. As of 2026.
Example cost breakdowns 2026
Realistic one-off formation costs when doing it yourself (without a formation service). The capital to be paid in remains your asset - it is not a "fee".
Sole proprietorship
- NotaryCHF 0
- Register entry (if needed)CHF 0–120
- CapitalCHF 0
- One-offCHF 0–120
GmbH
- NotaryCHF 600–1'500
- Register entryCHF 420–600
- Misc. (articles etc.)CHF 0–300
- One-off (+ CHF 20'000 capital)CHF 700–2'100
AG
- NotaryCHF 800–2'000
- Register entryCHF 420–600
- Misc. (articles etc.)CHF 0–300
- One-off (+ ≥ CHF 50'000 capital)CHF 1'200–2'600
The share capital is not lost money: after formation it belongs to the company and can be used for investments, salaries or running costs. It must be paid into a blocked account for the formation and is released after the commercial register entry.
Which legal form fits?
- Sole proprietorship - cheapest and fastest; ideal for testing a business idea and for small service providers. Downside: unlimited personal liability.
- GmbH - the standard for most SMEs: limited liability from CHF 20'000 capital, professional image, you can employ yourself as managing director. Slightly more administration.
- AG - when capital, investors or owner anonymity matter. Higher capital, but flexible transfer of shares.
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Founding Guide Switzerland 2026
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Methodology & definitions
Where the figures come from
- Minimum capital & paid-in: set by the Swiss Code of Obligations (CO) - GmbH Art. 773/777c CO (CHF 20'000, fully paid in), AG Art. 621/632 CO (CHF 100'000, min. CHF 50'000 / 20% paid in).
- Register obligation of the sole proprietorship: from CHF 100'000 annual revenue (Art. 36 HRegV); voluntary below that.
- Register fees: federal fee ordinance GebV-HReg (SR 221.411.1); since 2021 capital-independent flat fees that vary slightly by canton (range shown).
- Notary costs: regulated cantonally and dependent on capital - hence a range. No public deed for sole proprietorships.
- Issuance stamp duty: 1% on equity, but with a CHF 1 million exemption at formation - so CHF 0 for typical SME capital.
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Sources
- Swiss Code of Obligations (CO), GmbH - Art. 773 ff.: fedlex.admin.ch - CO
- Commercial Register Ordinance (HRegV), Art. 36: fedlex.admin.ch - HRegV
- Commercial register fee ordinance (GebV-HReg, SR 221.411.1): fedlex.admin.ch - GebV-HReg
- EasyGov.swiss - official portal for businesses: easygov.swiss