{"id":816,"date":"2024-09-18T14:19:40","date_gmt":"2024-09-18T14:19:40","guid":{"rendered":"https:\/\/iqeq.com\/ch\/insights\/why-switzerland-remains-a-leading-european-jurisdiction-for-foreign-companies\/"},"modified":"2024-09-18T14:19:41","modified_gmt":"2024-09-18T14:19:41","slug":"why-switzerland-remains-a-leading-european-jurisdiction-for-foreign-companies","status":"publish","type":"post","link":"https:\/\/iqeq.com\/ch\/insights\/why-switzerland-remains-a-leading-european-jurisdiction-for-foreign-companies\/","title":{"rendered":"Why Switzerland remains a leading European jurisdiction for foreign companies"},"content":{"rendered":"<section class=\"text-block standard-spacing  \">    <div class=\"container fade-in\">\n        <p><strong>Despite market disruption since 2020, Switzerland continues to uphold its status as one of the most attractive destinations for foreign companies seeking a European foothold. The Financial Times\u2019s <a href=\"https:\/\/www.fdiintelligence.com\/content\/rankings-and-awards\/european-cities-and-regions-of-the-future-2024-the-winners-83483\">FDI 2024 report<\/a> highlights Zurich as one of the top ten \u201cregions and cities of the future\u201d amidst mid-sized regions, with particular emphasis on its economic potential and business friendliness.<\/strong><\/p>\n<p>Against a backdrop of general European decline in foreign direct investment (FDI) in 2023, Switzerland has held fast to its strengths and solidified its position as a jurisdiction of choice, with several major corporate moves to underscore its ongoing appeal.<\/p>\n<p>In this article, we\u2019ll delve into the latest facts and figures around burgeoning activity in Switzerland and explore why Switzerland remains <a href=\"https:\/\/iqeq.com\/insights\/the-swiss-advantage-why-choose-switzerland-for-your-next-fdi-venture\/\">such an appealing destination<\/a> for foreign companies.<\/p>\n<h2>Switzerland\u2019s recent settlement figures<\/h2>\n<p>In 2023, <a href=\"https:\/\/www.s-ge.com\/en\/article\/news\/20241-vdk-positive-settlement-figures?ct\">206 foreign companies<\/a> established operations in Switzerland. In keeping with recent trends, most are from the information and communications technology (ICT) and life sciences sectors.<\/p>\n<p>These new settlements demonstrate continued international confidence in Switzerland\u2019s business environment\u2014and this confidence is well-placed. In their first year of operation, these companies created 640 new jobs, with plans to generate over 2,500 additional jobs over the coming three years.<\/p>\n<p>Approximately 40% of the companies that settled in Switzerland during 2023 originated in the United States, Germany, and France, reflecting its intercontinental appeal.<\/p>\n<h2>Company formations also on the rise<\/h2>\n<p>Switzerland\u2019s appeal extends beyond attracting existing companies; it\u2019s also a fertile ground for new businesses. In 2023, a grand total of 51,637 new start-ups were registered (an average of <a href=\"https:\/\/www.ifj.ch\/Incorporations-in-Switzerland-2023\">141 new companies daily<\/a><u>)<\/u>. These figures represent a 3.2% increase over 2022, showing a continued upward trend in Swiss-based company formations.<\/p>\n<p>Among the various company structures, the limited liability company (LLC) remained the most popular choice in 2023, while sole proprietorships saw a marked increase of nearly 10%. Leading industries for new company formations include skilled crafts and trades, consulting, real estate, and retail.<\/p>\n<h2>Why Switzerland attracts foreign companies<\/h2>\n<ul>\n<li><strong>Business-friendly environment: <\/strong>Switzerland is renowned for its political stability, efficient legal system, and strong intellectual property protections. Combined, these factors create a fertile environment for businesses to operate and grow<\/li>\n<li><strong>Corporate tax structure: <\/strong>Switzerland has long offered one of the most competitive corporate tax rates in Europe. Despite recent reforms, including the introduction of the global minimum tax, a range of <a href=\"https:\/\/kpmg.com\/ch\/en\/media\/press-releases\/2024\/05\/clarity-swiss-taxes.html\">subsidies and specialised tax credits<\/a> (such as Qualified Refundable Tax Credits, or QRTCs) have kept the jurisdiction competitive<\/li>\n<li><strong>Regulatory stability: <\/strong>The Swiss regulatory landscape is famously transparent and predictable, which is critical for businesses planning long-term commitments. The <a href=\"https:\/\/caplaw.ch\/2024\/the-regulatory-agenda-for-2024-in-switzerland\/\">2024 regulatory agenda<\/a> explicitly emphasises Switzerland\u2019s ongoing commitment to maintaining a business-friendly regulatory framework<\/li>\n<li><strong>Central location: <\/strong>Situated at the heart of Europe, Switzerland\u2019s central location offers excellent connectivity to major European markets. World-class infrastructure, including robust transportation and communication networks, further enhances its appeal<\/li>\n<li><strong>Skilled workforce: <\/strong>The Swiss workforce is highly educated and multilingual, making it easy for international businesses to <a href=\"https:\/\/iqeq.com\/insights\/the-crucial-role-of-corporate-administration-in-catalysing-fdi-growth-in-switzerland\/\">source top talent<\/a><\/li>\n<\/ul>\n<h2>Conclusion<\/h2>\n<p>Switzerland&#8217;s unique combination of stability, favourable tax regime, robust regulatory framework, and highly skilled labour force make it an ideal jurisdiction for firms looking to establish or expand their European presence.<\/p>\n<p><strong>If your business is considering a move, <a href=\"https:\/\/iqeq.com\/make-an-enquiry\/\">contact our team<\/a> to take full advantage of Switzerland\u2019s corporate settlement benefits. <\/strong><\/p>\n<hr \/>\n<p><strong>About the author<\/strong><\/p>\n<p>Inga Nitsche is the Head of Corporate Service Team and Funds at IQ-EQ Switzerland. She has more than a decade of experience in the finance sector, with a strong focus in asset management tax. Inga holds a Master in International Taxation from the University of Mannheim and a Bachelor in Business Administration and Economics from Goethe University Frankfurt.<\/p>\n            <\/div>\n<\/section>\n\n    <section class=\"related-section related-section--people related-section--centered standard-spacing\">\n        <div class=\"container\">\n                            <h2>Contact the author<\/h2>\n                        <div class=\"cards row-load\">\n                    <div class=\"person-card\">\n                    <div class=\"bg-img lozad normal\">\n                <img width=\"290\" height=\"192\" class=\"attachment-person_card size-person_card lozad\" alt=\"\" sizes=\"(max-width: 290px) 100vw, 290px\" data-src=\"https:\/\/iqeq.com\/ch\/wp-content\/uploads\/2024\/08\/0343_WebsitePortrait-IngaNitsch_FA_01-01-290x192.png\" \/>            <\/div>\n            <div class=\"bg-img lozad hover\">\n                <img width=\"290\" height=\"192\" class=\"attachment-person_card size-person_card lozad\" alt=\"\" sizes=\"(max-width: 290px) 100vw, 290px\" data-src=\"https:\/\/iqeq.com\/ch\/wp-content\/uploads\/2024\/08\/0343_WebsitePortrait-IngaNitsch_FA_01-02-290x192.png\" \/>            <\/div>\n                <div class=\"info\">\n                            <h3>Inga Nitsche<\/h3>\n                        <p class=\"job-title\">Head of Corporate Service Team<\/p>\n            <div class=\"border\"><\/div>\n                            <p class=\"location\">Switzerland<\/p>\n                        <a href=\"#contact-person\" class=\"link link--deepgray email\">\n                Send email            <\/a>\n                            <a href=\"tel:+41223188113\" class=\"link telephone\">\n                    +41 2231 88113                <\/a>\n                                                    <div class=\"socials\">\n                    <a href=\"https:\/\/www.linkedin.com\/in\/inga-nitsche-a81a8914b\/\" class=\"linkedin\">\n                        <span class=\"screen-reader-text\">LinkedIn<\/span>\n                    <\/a>\n                <\/div>\n                    <\/div>\n    <\/div>\n            <\/div>\n            <div class=\"button-wrapper\">\n                            <\/div>\n        <\/div>\n    <\/section>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":5,"featured_media":817,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[1],"tags":[],"expertise":[11],"service_category":[],"class_list":["post-816","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Why Switzerland remains a leading European jurisdiction for foreign companies | 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