Why Doing Business In Switzerland?

Switzerland - Commerce Data - TKEG Expat ™ (South Africa)

Swiss Confederation (CH)

TKEG Expat ™ (South Africa) Business Guide

Swiss Confederation

Dividend Tax Relief

In order to avoid double taxation, Switzerland has signed treaties with the European Union and some other jurisdictions to prevent double taxation, allowing subsidiaries of Swiss holding companies to receive tax-free dividends. The holding company is entitled to federal tax relief on the dividends received from its subsidiaries, which is a portion of the net income.

Strategic Geographic Location

Situated in Western Europe, Switzerland provides the best logistics environment for important commercial activities. Being centrally located, Switzerland serves as an excellent entry point for businesses into the European market. It is also suitable for market testing new products or services before expanding into other European countries.

Circumventing EU Tax Regulations

Switzerland is not a member of the European Union, but rather a member of the European Free Trade Association. With these agreements, most market access barriers have been eliminated, including free movement of people, and duty-free cross-border trade. Compared to EU businesses, Swiss enterprises can easily enter the European market without facing the strict EU tax regulations.

Financial Stability

Switzerland's financial stability is mainly attributed to strong purchasing power, low inflation, a robust currency, and stable public finances. All these factors make Switzerland an excellent investment environment that promotes economic prosperity and stability. Swiss banks have a strong capital base, enabling them to better withstand financial crises. Considering all these factors, Switzerland is one of the most suitable places in Europe and even globally for entrepreneurship, expanding into the European market, and investment.

About Switzerland

Switzerland is one of the most attractive regions in Europe. Its economic environment is stable, and its financial system is also the most developed in the world. It is also renowned for pharmaceuticals, watchmaking, and tourism, and recently it has positioned itself as an important hub for financial technology and cryptocurrency companies.