Swiss Capital Payment Accounts Explained

A capital payment account is a type of escrow account which is required in the process of founding a limited liability company or a corporation in Switzerland. A capital payment account is also required when a company performs a capital increase to raise funding.

After the capital required for the establishment of the company has been deposited the payment into the account, the bank notifies the commercial registry office. The bank holds the money in the capital payment account until the company has been entered into the commercial register.

Once the company has been registered, the capital is released and transferred into a regular business account, at which point the capital payment account is normally closed.

Swiss banks do not currently pay interest on assets deposited into capital payment accounts. Banks generally charge fees for the provision and management of capital payment accounts. Depending on which bank you use, the fees for capital payment accounts can be high.

Some banks charge a flat fee while others charge a fee based on a percentage of assets placed in capital payment accounts. The fees charged vary from bank to bank. Fees can, in some cases, amount to thousands of francs at the least favorable banks. Comparing accounts can save you a lot of money.

The interactive business account comparison on moneyland.ch lets you compare capital payment accounts based on your individual needs and view detailed breakdowns of the costs associated with each account.

More on this topic:
Business account comparison
Business loan comparison
Criteria for business loans in Switzerland
The costs of business loans explained
Choosing the right business loan: 9 key tips
Business mortgage comparison
Acquisition tax in Switzerland explained
Value-added tax (VAT) in Switzerland explained