Here's a practical guide to starting and managing a freelance business in Switzerland, covering setup options, tax obligations, and financial management.
*Please be aware that we do not update this information in real time, so you should verify that the law has not changed recently.
You can freelance in Switzerland if:
You are a Swiss resident or have a Swiss partner.
You possess a valid Swiss legal entity.
You are an EU/EEA or UK citizen with a valid permit (L-permit for short-term or B-permit for long-term stays).
Non-EU citizens need a B-residence permit and must demonstrate self-sustainability and health insurance coverage.
Choose Your Business Structure:
Most freelancers register as a sole proprietorship (Einzelfirma/Entreprise Individuelle/Ditta Individuale) under the Swiss Code of Obligations.
No minimum capital injection is required.
Complete Registration:
File an affiliation form with the compensation office in your canton.
Submit documentation, including invoices, proof of Civil Liability Insurance, and your knowledge/experience in the chosen field.
Set Up a Business Address:
A professional address boosts credibility and supports networking opportunities.
VAT Registration:
Businesses earning over CHF 100,000 annually must register for VAT with the Federal Tax Administration (AFC).
VAT exemptions apply to sectors like farming, healthcare, and insurance.
Freelancers must:
Report profits as taxable income.
File taxes based on business accounts and personal income.
Deduct legitimate business expenses.
Key Tax Details:
Losses can be carried forward for up to seven years.
Detailed bookkeeping is mandatory for tax filings and audits.
Freelancers contribute to social security and pension funds.
Liability insurance is essential to cover risks associated with business operations.
Professional indemnity and legal protection insurance may also be necessary.
Swiss invoices must include:
Freelancer's name and address.
Invoice date and description of services.
VAT information and total amount due.
Temporary Freelancers: EU/EEA and UK residents can work short-term with an L-permit. Non-EU citizens generally require a Swiss work contract or residence permit.
Long-Term Freelancers: Non-EU citizens must establish a sole proprietorship and have health insurance, along with a B-residence permit for long-term work.
Freelancing in Switzerland requires careful planning and compliance with local laws. However, with benefits like flexibility, professional opportunities, and access to public services, it's an attractive option for many professionals. Leveraging resources like online platforms can help you succeed in this competitive market.