What is the first thing to do when you want to open a business in the Canton of Vaud?

The first decision is the choice of legal form (sole proprietorship, SNC, SAS or SA), which determines liability, required capital and administrative charges. Subsequently, you must register with the cantonal Trade Register, which is mandatory to operate legally. Consulting an accountant can help you choose the structure that best suits your business.

How much does it cost to open a business in the Canton of Vaud?

Costs vary considerably depending on the legal form and nature of the business. They include Trade Register registration fees (variable per canton), registration with federal and cantonal tax administrations, monthly LAMal insurance premiums (dependent on canton and age), quarterly AVS/AI contributions (percentages on net income), and LPP payments if hiring employees. For an accurate estimate, consult the cantonal tax administration or an accountant.

What are the insurance obligations of a new entrepreneur in the Canton of Vaud?

Every entrepreneur in Switzerland is subject to: compulsory health insurance (LAMal) within 3 months of starting business, monthly or quarterly AVS/AI/IPG contributions, and occupational pension (LPP) if hiring employees. If you work as an independent, you can subscribe to LPP voluntarily. A professional liability policy, mandatory in some sectors, is also recommended.

Is a minimum capital required to open a company in the Canton of Vaud?

It depends on the legal form chosen. A sole proprietorship does not require a formal minimum capital. Partnerships (SNC, SAS) do not require a minimum capital required by law. A joint stock company (SA) requires a share capital, the exact amount is verifiable at the RdC office of the Canton of Vaud. Consult the cantonal administration for specific details.

Opening a business in the Canton of Vaud: registration and costs (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 5 September 2026

Cantonal administration building in Lausanne, canton Vaud

Practical guide to registration and costs to start a business in the Canton of Vaud: legal forms, Trade Register, three-tier taxation and insurance obligations.

Context

In brief

The Canton of Vaud requires registration with the Commercial Register for any activity
Three levels of taxation: federal (IFD/VAT), cantonal and municipal
Contribution obligations: AVS/AI, LPP/BVG, LAMal, accidents
Legal form determines liability, minimum capital and administrative burdens

Key facts

What: Opening a commercial or professional activity
Where: Canton of Vaud (French-speaking Switzerland)
Who: Individuals, partnerships, corporations
Federal competence: AFC/ESTV (IFD, VAT)
Cantonal competence: Vaud Tax Administration (cantonal/municipal taxes)
Registration: With the Commercial Register (CR) of the canton

Starting an activity in the Canton of Vaud requires an initial crucial choice: the legal form. Whether it is a sole proprietorship, a general partnership, a limited partnership or a corporation, each structure entails different obligations in terms of taxation, insurance and administration.

Registration with the Commercial Register (CR) is the first mandatory step: without it, the activity cannot operate legally. Each legal form has specific registration procedures and generates costs that vary depending on the nature of the business and the estimated income. In the Canton of Vaud, as in the rest of Switzerland, the tax system operates at three levels: federal, cantonal and municipal. This means that the new entrepreneur will have to fulfill tax obligations with three different administrations.

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Operational details

Three-level tax system

In the Canton of Vaud, as everywhere in Switzerland, taxation is structured on three levels, each with its own deadlines and declaration methods. Federal level (managed by AFC/ESTV): Includes federal direct tax (FDT) and value-added tax (VAT). VAT applies to almost all supplies of goods and services, except for certain regulated exceptions (e.g., rents, healthcare, educational services). FDT is a progressive tax on the income and profits of individuals and legal entities. Any business exceeding a certain turnover threshold must register with the AFC for VAT and manage periodic declarations.

Cantonal level (tax administration of the Canton of Vaud): Applies a cantonal tax on income and profits. The Canton of Vaud has its own multipliers and rates, different from other cantons. The rate is progressive and varies based on the net income of the business, with specific declaration deadlines for the canton. Municipal level (municipalities of the Canton of Vaud): Applies a municipal tax, usually calculated as a multiplier applied to the cantonal tax amount. This means that each municipality has its own multiplier, creating territorial variability even within the canton. The same business can have slightly different tax burdens depending on the municipality of residence.

This three-level structure implies that a business will have to pay taxes to three different administrations, with distinct deadlines and declaration methods for each.

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Key points

Step-by-step procedure

Step 1: Choose the legal form The decision on the legal form is the foundation of the entire operation. Sole proprietorship, LLC, LLP, or corporation? Each model has different implications for personal liability, tax burden, and administrative complexity. Consulting an accountant or lawyer can help evaluate the most suitable structure for the business plan, number of partners, degree of risk, and growth objectives.

Step 2: Registration with the Commercial Register of the Canton of Vaud After choosing the legal form, the entrepreneur (or partners, if a company) must submit an application for registration with the Commercial Register of the canton. The required documents vary depending on the legal form but generally include: registration form (available at the cantonal RdC office), certificate of domicile or lease of business premises, copy of the identity documents of the partners/owners, partnership agreement (for partnerships or corporations), declaration of compliance with hygiene and safety regulations (if relevant).

Step 3: Registration with tax authorities Once registered with the RdC, the company receives a federal identification number (UID). With this number, it is mandatory to register with AFC/ESTV for federal direct tax and, if applicable, for VAT; register with the tax administration of the Canton of Vaud for cantonal taxes; check with the municipality for municipal registration obligations.

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Frequently Asked Questions

What is the first thing to do when you want to open a business in the Canton of Vaud?: The first decision is the choice of legal form (sole proprietorship, SNC, SAS or SA), which determines liability, required capital and administrative charges. Subsequently, you must register with the cantonal Trade Register, which is mandatory to operate legally. Consulting an accountant can help you choose the structure that best suits your business.
How much does it cost to open a business in the Canton of Vaud?: Costs vary considerably depending on the legal form and nature of the business. They include Trade Register registration fees (variable per canton), registration with federal and cantonal tax administrations, monthly LAMal insurance premiums (dependent on canton and age), quarterly AVS/AI contributions (percentages on net income), and LPP payments if hiring employees. For an accurate estimate, consult the cantonal tax administration or an accountant.
What are the insurance obligations of a new entrepreneur in the Canton of Vaud?: Every entrepreneur in Switzerland is subject to: compulsory health insurance (LAMal) within 3 months of starting business, monthly or quarterly AVS/AI/IPG contributions, and occupational pension (LPP) if hiring employees. If you work as an independent, you can subscribe to LPP voluntarily. A professional liability policy, mandatory in some sectors, is also recommended.
Does the Canton of Vaud apply the same taxes as the other cantons?: No. Each canton has its own cantonal tax rates and municipalities have different multipliers applied to cantonal tax. This generates territorial variability even within the canton. The federal system (IFD and VAT) is uniform throughout Switzerland, but cantonal and municipal taxation is specific to the Canton of Vaud.
Is a minimum capital required to open a company in the Canton of Vaud?: It depends on the legal form chosen. A sole proprietorship does not require a formal minimum capital. Partnerships (SNC, SAS) do not require a minimum capital required by law. A joint stock company (SA) requires a share capital, the exact amount is verifiable at the RdC office of the Canton of Vaud. Consult the cantonal administration for specific details.