IN BRIEF: The Swiss government will allow until 1stJuly 2020 to pay outstanding social security contributions and will waive interest on due contributions from the period of the 21stMarch until 30thJune.

The Swiss government has simplified the rules on the claims for short-time work compensation for employers who face difficulties due to COVID-19. What defines Short-time work?

Due to the economic consequences of the COVID-19 epidemic, the Swiss government is supporting companies in Switzerland with liquidity by providing bridging loans to companies affected by Covid-19.

Swiss government eased the bankruptcy law in order to prevent the corona-related bankruptcies among companies in Switzerland. The new rules will be effective on 20th April 2020. The main purpose of this “life-saving” is to keep the number of job loss as low as possible.

Credit Suisse Wealth Report 2019 shows that Switzerland remains the country with the highest wealth per adult in the world, followed by Hong Kong and the US. The mean wealth per adult in Switzerland is USD 564’650, which has increased 144% since 2000. It also has the biggest jump from 2018 in comparison to other countries. However, the average debt per adult is USD 142’620 which is also one of the highest.

Once a company is VAT registered in Switzerland, the 9-digit enterprise identification number or UID (in German Unternehmensidentifikationsnummer) will also be the VAT number. You can find this number on the company’s commercial registry extract (contact us for more info)

HFI or Human Freedom index, which is the broad measure of personal and economic freedom in various distinct areas included legal system and property rights, freedom to trade internationally and regulation of credit, labour and business, announced on its 2019 annual report that Switzerland has the highest level of freedom in Europe, second-highest globally and has remained in the top 3 positions for more than 10 years since 2008.

A business in Switzerland needs to be registered for VAT from the date of incorporation if it is expected to have the turnover of CHF 100’000 in the first 12 months. Otherwise, it will have to be VAT registered in the following year after the turnover exceeds the VAT registration threshold of CHF 100’000.

Since 2014, eCommerce has made a significant change in global retail market and the life style of people around the world. Thanks to new technologies, accessibility of internet, social medias and fintech, online shopping has never been as easy as it is before.

How to apply for a labour leasing license in Switzerland

Do you wish to setup the private placement company and/or lease your employees to Swiss companies? You have to be aware, that the Swiss market is regulated to protect its workers by the State Secretariat for Economic Affairs, which specifically governs the way in which temporary workers are employed and managed. This is done in order to prevent Swiss employers recruiting staff through foreign management companies and recruiters. Swiss companies are only to place personnel in the employment or under contrast with a Swiss client if they have a valid Swiss labour leasing license.

Switzerland gains its global reputation among tech companies as a location for research and development in the area of artificial intelligence. Giant tech such as Google, Microsoft and Facebook base some of their overseas research operations in Zürich, working alongside ETH University, whose IT department is ranked second-best in the world, by Times Higher Education 2019.

As of January 1, 2020 there was a light increase on social security (AHV) contribution rate of 0.3%.

What does it mean to Employers and Employees?

AHV / IV / EO contribution for employees and employers increases from 10.25% to 10.55%. (from 5.125% to 5.275% for each part), where employer pays 0.15% higher rate and employee pays 0.15% higher rate.

The Swiss pharmaceutical industry is well known for its high-quality standard. It is responsible for 30 % of Swiss export, which is more than the export of Swiss cheese, chocolate and watches combined!

How to register trademark in Switzerland?

Trademark registration in Switzerland

There are only 2 STEPS for you to get your trademark registered! 1. Provide us with the word marks/logos you wish to register.2. Select trademark classes for your products.

Following up on our previous newsletter, Swiss trademark and patent applications are one of the main measurements for the innovation outcomes which made Switzerland the world’s most innovative country. So, this week, we are providing you with some interesting FACTs and FIGUREs about trademark and patent applications in Switzerland:

Following up on our newsletter from last week. Here we have some interesting points about Swiss trademark for you.

According to the Global Innovation Index, Switzerland remains the top innovation leader for the ninth consecutive year. The country has excellent innovation outcomes such as trademark and patent applications, IP receipts and high-tech manufacturing products.

If you already have a company and would like to expand your business to Switzerland, registering a branch would be one of the interesting options.

The limited partnership companies (in German: Kollektivgesellschaft or KIG) are personal companies with the minimum of 2 partners. This legal structure is ideal for small private businesses and self-employed persons. Moreover, it is the second most popular legal structure in Switzerland with over 1’200 companies.

Sole-Proprietorships (in German: Einzelunternehmen) are used only for one man businesses, they can be set up really easily, there is no need for share capital and you can invoice clients inside and outside of Switzerland. If the profit of Sole Proprietorship is lower than CHF 500’000, then only simplified accounts need to be handed in to the tax office.