Sole Proprietorship · Limited Liability Company · Company Limited by Shares (Stock Corporation)
(Einzelfirma · GmbH · AG | Entreprise individuelle · Sàrl · SA | Ditta individuale · Sagl · SA)
The Swiss Biz Builder Sessions - episode #2
15 January 2026
What legal structure should you choose when starting a business in Switzerland — and why does this decision shape far more than just paperwork?
In Episode 2 of the Swiss Biz Builder Sessions, we take a clear, practical look at the three most common Swiss business structures:
Sole proprietorship
(Einzelfirma · Entreprise individuelle · Ditta individuale)
Limited liability company
(GmbH · Sàrl · Sagl)
Company limited by shares
(AG · SA · SA)
Host Susan Platt and co-host Libby O’Loghlin unpack how each structure works in real life — from liability and accounting obligations to how you pay yourself, what changes as your business grows, and why this choice is as much about mindset as mechanics.
This episode is designed to give you orientation, not overwhelm — so you can sit down with a fiduciary, accountant, or advisor feeling informed, grounded, and prepared.
What you’ll learn in this episode
✅ The core differences between sole proprietorship, limited liability company, and company limited by shares
✅ How liability works in each structure — in practice, not theory
✅ Which Swiss accounting rules apply, and when they change
✅ How paying yourself differs depending on legal form
✅ When it makes sense to move from a sole proprietorship to an LLC (GmbH / Sàrl / Sagl)
✅ Why “bigger” isn’t always better — and when a stock corporation (AG / SA) is actually appropriate
✅ What expats need to consider around permits, residency, and Swiss representation
Chapters
00:00 Introduction to business structures in Switzerland
01:52 Understanding the Legal Landscape
08:39 Exploring the Sole Proprietorship
13:06 The Limited Liability Company (GmbH / Sàrl / Sagl) Explained
16:53 The Company Limited by Shares (AG / SA) Overview
20:04 Conclusion and Next Steps
Key Takeaways
There is no “best” legal structure — only the one that fits your life, risk profile, and plans
A sole proprietorship is often a smart, low-friction starting point — but not always a long-term home
An LLC (GmbH / Sàrl / Sagl) creates legal and psychological separation between you and the business
A company limited by shares (stock corporation / AG / SA) offers flexibility for investors and scale, but comes with higher complexity and cost
Accounting obligations depend on both structure and turnover, not guesswork
Choosing a legal form is not just administrative — it’s a strategic decision about how you want to work and grow
