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Start a Franchise Business in Switzerland

Start a Franchise Business in Switzerland

A franchise business in Switzerland is established between a franchisor and a franchisee under a franchise agreement. In order to open a company in Switzerlandset up as a franchise business, the parties should follow the provisions of the Code of Conduct provided by the Swiss Franchise Association, which offers certain regulations for this type of activity. 

As a general rule, there are no statutory definitions of the terms associated with franchising, but the general consensus is given by the above mentioned Code. Our team of specialists in company formation in Switzerland can provide advice on the main legal acts referring to the registration of a Swiss franchise business

Regulations for franchising in Switzerland

As mentioned above, the franchising industry is not regulated by a designated rule of law. However, when starting the procedure of company registration in Switzerland in this case, there are certain rules of law which are also applicable to a franchising agreement, as follows:

The Swiss Code of Obligations;

The Swiss Civil Code;

The Swiss Intellectual Property Laws;

The Swiss Unfair Competition Act;

The Swiss Act on Cartels and other Competition Restraints.

According to the Swiss legislation on the matter, there are no legal distinctions between a franchise business in which the franchisor appoints a single franchisee or multiple franchisees and as a general rule, such businesses do not fall under specific authorization.

Incorporate a Swiss franchise 

Foreign businessmen can operate a franchise here with almost no restrictions (which can be imposed for certain activities).

Specific business activities that are started through a franchise agreement should obtain authorization on the local market prior to starting the operations in Switzerland. This can be the case of franchises operating in banking or insurance sectors, healthcare or gambling industry and our team of agents in company registration in Switzerland can provide more information on this matter. 

The Swiss company formationfor a franchise can be set up through a franchise agreement as a foreign company. At the same time, the franchise can be established through a branch office or a subsidiary.

Foreign investors can contact our team of consultants for in-depth advice on the registration requirements applicable in the latter case.