The LLC (Sarl/GmbH) is the most popular legal form in Switzerland for creating an SME. In 2025, there were more than 220,000 active LLCs in the country, including nearly 18,000 in the canton of Geneva. This success is due to an ideal balance between personal asset protection (liability limited to capital), management flexibility and reasonable formation costs.
This guide details all the steps, costs and specifics of forming an LLC in the canton of Geneva in 2026. Whether you are a sole entrepreneur, a pair of partners or a foreign investor, you will find all the information needed to bring your project to fruition.
What is an LLC?
The LLC is a capital company governed by articles 772 to 827 of the Swiss Code of Obligations (CO). Its characteristics include:
- Minimum share capital of CHF 20,000, fully paid up at incorporation.
- Units with a minimum par value of CHF 100 each, registered in the commercial register with the members' names.
- Limited liability: members are only liable for the company's debts up to their contributions.
- Separate legal personality: the LLC is a distinct entity from its founders.
- At least one manager domiciled in Switzerland with signatory authority.
Unlike the corporation, LLC members are publicly visible in the commercial register. If you want discreet shareholding, a corporation may be more appropriate. However, the LLC offers a lighter structure and lower costs. See our LLC vs Corporation comparison for a detailed analysis.
Prerequisites
Company name (business name)
Your LLC's name must comply with these rules:
- It must be unique in Switzerland (verification on Zefix.ch).
- It must contain "Sarl", "GmbH" or "LLC" (depending on the language chosen).
- It must not be misleading (no reference to an activity not carried out).
- It may contain fantasy names, personal names or descriptive designations.
Business purpose
The business purpose defines the company's activity. It must be specific enough to inform third parties, but broad enough to allow business development. Example: "The company's purpose is business management consulting, professional training and all related activities."
Registered office
The company's registered office must be located in a Swiss municipality. In Geneva, you can use your office address or opt for commercial domiciliation (from CHF 99.-/month with AX-Fiduciaire, Boulevard Georges-Favon 26, 1204 Geneva).
Steps to form an LLC in Geneva
Step 1: Preparation and drafting of articles of association
The articles of association are the founding document of the LLC. They must contain (art. 776 CO):
- The company name and registered office
- The business purpose
- The share capital amount and unit details
- The form of communications to members
The articles may also include optional clauses: veto rights, ancillary obligations, non-compete clauses, unit transfer procedures, etc. At AX-Fiduciaire, our legal team drafts customised articles tailored to your situation.
Step 2: Opening the escrow account and depositing capital
Before incorporation at the notary, the CHF 20,000 capital must be deposited in an escrow account at a Swiss bank. This account is blocked until the company's inscription in the commercial register.
Banks commonly used in Geneva for escrow accounts include: UBS, BCGE (Banque Cantonale de Geneve), Raiffeisen and PostFinance. Opening fees range from CHF 100 to CHF 200. For more details, see our guide on share capital.
Step 3: Notary appointment (authentic deed)
LLC incorporation requires an authentic deed drawn up by a Geneva notary. During this session, the founders:
- Approve the articles of association
- Declare the incorporation of the company
- Appoint the manager(s)
- Appoint the auditing body (or declare opting-out)
- Sign the deed of incorporation
Documents to present to the notary include: signed articles, capital escrow certificate, founders' identity documents, and powers of attorney if applicable. Notary fees for a standard LLC in Geneva range from CHF 800 to CHF 1,500.
Step 4: Commercial register inscription
The notary submits the file to the Geneva commercial register. The inscription application comprises:
- The authentic deed of incorporation
- The articles of association
- The capital escrow certificate
- The managers' acceptance declaration
- The lex Friedrich declaration (acquisition of real estate by foreigners)
The Geneva commercial register fees for LLC inscription are approximately CHF 550 to 620. Processing time is 5 to 10 business days. Upon inscription, the company acquires legal personality and the capital is released from the escrow account.
Step 5: Post-formation steps
Once the LLC is registered in the commercial register, several steps are required:
- Opening a commercial bank account: the escrow account is converted to a current account.
- AVS/AI/APG registration: with the competent compensation fund (in Geneva: OCAS or professional fund).
- Accident insurance (LAA): mandatory from the first employee.
- Occupational pension (LPP): mandatory for employees earning above CHF 22,680/year (2026 threshold).
- VAT registration: mandatory from CHF 100,000 annual revenue.
- Accounting setup: double-entry bookkeeping is mandatory.
Detailed LLC formation costs in Geneva
| Cost item | Amount | Note |
|---|---|---|
| AX-Fiduciaire package | CHF 2,500.- | All-inclusive: articles, notary, CR |
| Geneva CR fees | CHF 550 - 620 | Initial inscription |
| Notary fees | CHF 800 - 1,500 | Depending on articles complexity |
| Escrow account | CHF 100 - 200 | Bank opening fees |
| SOGC publication | Included in CR | Swiss Official Gazette of Commerce |
| Federal stamp duty | CHF 0 | Exempt if capital < CHF 1,000,000 |
| Share capital | CHF 20,000 | Fully paid up (stays in the company) |
| Total excl. capital | CHF 3,000 - 5,000 | Budget to plan |
Our CHF 2,500.- package includes: initial consultation, name verification, custom articles of association drafting, preparation of all incorporation documents, notary coordination, commercial register filing, follow-up until inscription, and assistance with post-formation steps (AVS, VAT, bank).
LLC taxation in Geneva
The LLC is taxed as a legal entity. In Geneva, taxation is structured as follows:
- Income tax: effective rate of approximately 13.99% (federal + cantonal + municipal, City of Geneva 2026).
- Capital tax: approximately 0.4 per mille of equity (cantonal/municipal).
- Dividend taxation: dividends paid to members are taxed as personal income, but benefit from relief if the participation is at least 10% (partial taxation, approximately 70% of the dividend is taxed at the federal level).
The manager salary + dividend combination can be optimised to minimise the overall tax burden. Our taxation experts advise you on the optimal split.
Single-member LLC: forming a company alone
Since 2008, it has been possible to form an LLC with a single member. This option is very popular with sole entrepreneurs who want limited liability without needing to find a partner. The single-member LLC operates exactly like a standard LLC, with the same accounting and tax obligations.
The sole member combines the roles of founder, holder of all units and manager. However, formal obligations must still be respected (annual meeting, minutes). If you are deciding between a sole proprietorship and a single-member LLC, see our sole proprietorship vs LLC comparison.
Opting-out: waiving the auditing body
If your LLC does not exceed two of the following three thresholds for two consecutive financial years, you can waive the auditing body (opting-out under art. 818 CO referring to art. 727a CO):
- Total assets: CHF 20 million
- Revenue: CHF 40 million
- Employees: 250 full-time equivalents
The waiver must be approved by all members and mentioned in the commercial register application. The vast majority of newly formed LLCs opt for opting-out, which significantly reduces annual costs (a limited audit costs between CHF 3,000 and CHF 8,000 per year).
Typical LLC formation timeline in Geneva
| Step | Duration | Cumulative day |
|---|---|---|
| Initial consultation and document collection | 1-2 days | D+2 |
| Articles and document drafting | 2-3 days | D+5 |
| Escrow account opening + capital deposit | 3-5 business days | D+10 |
| Notary appointment | 1 day | D+11 |
| Commercial register inscription | 5-10 business days | D+21 |
| Capital release + bank account | 2-3 days | D+24 |
| AVS, VAT, insurance registration | In parallel | - |
Result: your LLC is operational in 3 to 4 weeks. With AX-Fiduciaire, we handle the entire process. Request your free quote or use our online estimator.
Documents required
Here is the list of documents we need to start forming your LLC:
- Copy of identity document (passport or ID card) for each member and manager
- Proof of address for each manager (less than 3 months old)
- Registered office address (or domiciliation contract)
- Desired company name (3 proposals recommended)
- Description of planned activity (business purpose)
- Capital allocation between members
- Designation of manager(s) and desired signatory powers
- If applicable: criminal record extract, residence permit, or professional diploma certificate (for regulated activities)
Questions? Our team is at your disposal. Contact us to start your LLC formation project in Geneva.