Limited liability companies in Switzerland.

An article summarize the changes in the law for the limited liability companies in Switzerland that came into force in January 2008.

The main changes were that as from 2008 only one person is necessary for the formation of such a company, such company can have a non economic purpose, there is no upper cap for the equity (before it was limited to CHF 2 Mio.), the minimum participation is CHF 100.- (before it was CHF 1’000.–), a person may hold now more than one certificate, for the transfer of the certificate a written contract is sufficient (before it needed a notarized deed), the competences are clearly divided between the general assembly and the management board, a right of veto can be stated for one or more participants, the joint and several liability of the participants was abolished and the companies need to have its books audited under certain conditions (more than 10 full time employees or if the company is listed).
The new law has created a more attractive company form for small and medium sized enterprises.