Insights
Reorganization of a Sole Proprietorship into a Limited Liability Company or a Stock Corporation
Many companies that have limited capital requirements in the start-up phase commence their business activities as sole proprietorships. As soon as they have reached a certain size and investors come into play, a reorganization into a legal entity (GmbH or AG) becomes an obvious choice.
Sole Proprietorship, Limited Liability Company or Company Limited by Shares? What Startups Ought to Know
For anyone looking to found a company, there are a range of potential legal forms available under Swiss law. On closer examination, however, only a few of these forms will typically be viable. The appropriate form is determined by the number of stakeholders, the size of the company and the seed capital available.