{"id":14295,"date":"2026-11-09T09:00:00","date_gmt":"2026-11-09T08:00:00","guid":{"rendered":"https:\/\/my-swiss-company.com\/?p=14295"},"modified":"2026-11-09T09:01:35","modified_gmt":"2026-11-09T08:01:35","slug":"start-property-management-company-switzerland","status":"publish","type":"post","link":"https:\/\/my-swiss-company.com\/en\/start-property-management-company-switzerland\/","title":{"rendered":"How to start a property management company in Switzerland: management mandate, rent deposits, official forms and AML"},"content":{"rendered":"
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To start a property management company in Switzerland, you need no federal licence: a GmbH or an AG entered in the commercial register is enough, except in Ticino, which requires a personal authorisation. A property manager sells nothing. It holds other people’s money and contracts, and that is where the law expects it to be careful. The Code of Obligations governs the management mandate, tenancy law dictates your forms, and FINMA practice decides how the rent you collect sits under the anti-money laundering rules.<\/p>\n<\/div>\n

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Contents<\/h3>\n
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  1. Do you need a licence to start a property management company in Switzerland?<\/a><\/li>\n
  2. Ticino, the one canton where an authorisation has been confirmed<\/a><\/li>\n
  3. Starting a property management company in Switzerland from the UK or elsewhere outside the EU<\/a><\/li>\n
  4. The Swiss-resident representative<\/a><\/li>\n
  5. The property management mandate under the Code of Obligations<\/a><\/li>\n
  6. Rent deposits and the move-out inspection<\/a><\/li>\n
  7. Official forms, canton by canton<\/a><\/li>\n
  8. Client accounts and anti-money laundering rules<\/a><\/li>\n
  9. Legal form and VAT for a property management company<\/a><\/li>\n
  10. Five mistakes that cost a portfolio<\/a><\/li>\n
  11. FAQ<\/a><\/li>\n<\/ol>\n<\/div>\n

    Do you need a licence to start a property management company in Switzerland?<\/h2>\n

    No federal act makes the management of buildings subject to an authorisation. Art. 418 CO, the provision that lets cantons regulate certain trades, reads: “The cantons reserve the right to enact special regulations governing stockbrokers, official brokers and employment agencies.” Property managers are not on that list.<\/p>\n

    A federal PET diploma for property managers exists (brevet f\u00e9d\u00e9ral de g\u00e9rant d’immeubles in French). According to orientation.ch, it is usually prepared part-time, alongside a job, over 16 months. Outside Ticino, none of the texts we reviewed requires it, and none requires membership of a professional association such as USPI. Its main use is to recruit a credible managing property manager for your team.<\/p>\n

    A property manager runs a building that stays with its owner. If your plan is to sell properties for a commission, you are in brokerage territory, covered in our guide to becoming a real estate broker in Switzerland<\/a>.<\/p>\n

    Ticino, the one canton where an authorisation has been confirmed<\/h2>\n

    In Ticino, the cantonal act on accounting and real estate agency professions (LFid) makes real estate trustee work carried out for third parties subject to authorisation. Its Art. 4 places the letting of buildings and flats, and the management of buildings and real estate companies, in that category. Art. 3 also lists building management among the tasks of the commercial trustee, so property management in Ticino always requires an authorisation, whichever heading applies.<\/p>\n

    \n\n\n\n\n\n\n\n
    LFid rule<\/th>\nEffect on your management company<\/th>\nArticle<\/th>\n<\/tr>\n<\/thead>\n
    The authorisation is personal and granted only to natural persons<\/td>\nThe GmbH or AG itself never holds it<\/td>\nArt. 1(2)<\/td>\n<\/tr>\n
    At least one authorised person works in the company, with signing authority entered in the commercial register<\/td>\nA managing director of the GmbH, or a board member with management responsibility or an executive officer of the AG<\/td>\nArt. 6(1) and (2)<\/td>\n<\/tr>\n
    Recognised qualification and two years of practice in Switzerland at a firm in that line of business<\/td>\nThe supervisory authority sets the recognised qualifications in its regulations; an equivalent foreign qualification may be recognised too<\/td>\nArt. 8 and 11<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

    Source: Ticino act on accounting and real estate agency professions (LFid, RL 953.100) of 1 December 2009, in force since 1 July 2012, as amended with effect from 1 January 2022.<\/p>\n<\/div>\n

    For Vaud and the other cantons, our research has not settled the question either way. Have the cantonal trade authority confirm the rule before you sign the lease on your office.<\/p>\n

    Starting a property management company in Switzerland from the UK or elsewhere outside the EU<\/h2>\n

    Your residence status depends on your passport, and the United Kingdom is no longer a member of the European Union. An EU national who comes to pursue a self-employed activity receives a residence permit valid for at least five years, provided they prove they are establishing themselves for that purpose (Agreement on the Free Movement of Persons, AFMP, Annex I, Art. 12). A national of any other country is admitted only if the admission serves the country’s economic interests and the financial and operational requirements of the business are met (Art. 19 of the Foreign Nationals and Integration Act, FNIA).<\/p>\n

    The Swiss-resident representative<\/h2>\n

    The company itself “must be able to be represented by a person who is resident in Switzerland”: a managing director or a manager in a GmbH (Art. 814(3) CO), a board member or an executive officer in an AG (Art. 718(4) CO). In Ticino, the same person can also be the authorised professional, if they meet the LFid conditions.<\/p>\n

    The property management mandate under the Code of Obligations<\/h2>\n

    Each contract you sign with an owner is a mandate within the meaning of Art. 394 ff. CO. The mandatee “undertakes to conduct certain business or provide certain services in accordance with the terms of the contract” (Art. 394(1) CO), and “remuneration is payable where agreed or customary” (para. 3). Put your fees and your powers in writing.<\/p>\n

    \n\n\n\n\n\n\n\n\n
    CO article<\/th>\nWhat it requires of the manager<\/th>\nIn practice<\/th>\n<\/tr>\n<\/thead>\n
    Art. 398<\/td>\nDiligent and faithful performance, in principle in person<\/td>\nA void termination notice or a lost rent increase makes you liable<\/td>\n<\/tr>\n
    Art. 400<\/td>\nAccount for the mandate at any time on request, and hand over everything received<\/td>\nA statement per building must be available at short notice<\/td>\n<\/tr>\n
    Art. 401<\/td>\nClaims and chattels acquired for the owner pass to the owner, even in your bankruptcy<\/td>\nBooks that keep each owner’s money clearly identifiable<\/td>\n<\/tr>\n
    Art. 404<\/td>\nRevocation possible at any time, with compensation if it comes at an inopportune juncture<\/td>\nA portfolio can leave overnight<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

    Source: Swiss Code of Obligations (CO, SR 220), Art. 394 to 404, version in force on 1 October 2026.<\/p>\n<\/div>\n

    Under Art. 401(3), where the manager is bankrupt, the owner “may claim chattels of which the mandatee took possession in his own name but on the mandator’s behalf”, and the owner’s claims follow the same route against the bankrupt’s assets (para. 2). When an owner hesitates to let you collect the rent, that rule is a sales argument.<\/p>\n

    Art. 404 weighs more heavily on your business plan: “The mandate may be revoked or terminated at any time by either party.” Build your forecasts without counting on a minimum term clause.<\/p>\n

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    Your property management company in Switzerland<\/p>\n

    A management company ready before your first building<\/p>\n

    Choice of canton, GmbH or AG, commercial register entry, a Swiss-resident representative while you still live abroad, accounting per owner and VAT on your fees: My Swiss Company SA incorporates and administers your property management company from Geneva, Lucerne or Zug.<\/p>\n

    Scope your project<\/a>
    \n Swiss Corporate Services Provider in Geneva, Lucerne and Zug, serving clients in more than 20 countries.<\/span>\n<\/div>\n

    \n

    My Swiss Company’s view<\/h4>\n

    Attach a schedule to every management contract stating the amount of works you may order without prior approval, how often you send statements and which account the rent goes through. It answers Art. 397 and 400 CO in advance and settles most disputes over an invoice before they start.<\/p>\n<\/div>\n

    Rent deposits and the move-out inspection<\/h2>\n

    A tenant’s rent deposit never goes through the manager’s account. A landlord who receives security in cash or negotiable securities “must deposit it in a bank savings or deposit account in the tenant’s name” (Art. 257e(1) CO). For residential leases, the deposit is capped at three months’ rent (para. 2); the text sets no cap for commercial premises.<\/p>\n

    The bank then releases the deposit only with the consent of both parties, under a final payment order or under an enforceable court decision (para. 3). If the landlord has brought no claim within a year of the end of the lease, the tenant can ask the bank to return it alone.<\/p>\n

    The move-out inspection<\/h3>\n

    When the flat is returned, the landlord “must inspect its condition and immediately inform the tenant or lessee of any defects for which he is answerable” (Art. 267a(1) CO). A late notice forfeits the owner’s claims, except for defects that a customary inspection would not reveal.<\/p>\n

    Official forms, canton by canton<\/h2>\n

    Three acts of a property manager require an approved form: a rent increase, a termination notice and, in some cantons, the signing of a new lease. A rent increase not communicated on the prescribed form is void (Art. 269d(2)(a) CO), and so is a notice of termination given without the form approved by the canton (Art. 266l(2) and 266o CO).<\/p>\n

    For the initial rent, Art. 270(2) CO allows cantons with a housing shortage to make the official form compulsory for any new lease. Since 1 October 2025, the form must also state the reference interest rate and the consumer price index that applied to the previous rent (Art. 19(3) of the Ordinance on the Lease and Usufructuary Lease of Residential and Commercial Premises, OBLF). The Federal Office for Housing (FOH) published its overview of the cantons concerned in September 2026.<\/p>\n

    \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
    Canton<\/th>\nInitial rent form in 2026<\/th>\nVacancy rate on 1 June 2026<\/th>\n<\/tr>\n<\/thead>\n
    Geneva<\/td>\nCompulsory<\/td>\n0.31%<\/td>\n<\/tr>\n
    Lucerne<\/td>\nCompulsory<\/td>\n0.70%<\/td>\n<\/tr>\n
    Zug<\/td>\nCompulsory<\/td>\n0.20%<\/td>\n<\/tr>\n
    Zurich<\/td>\nCompulsory<\/td>\n0.52%<\/td>\n<\/tr>\n
    Basel-Stadt<\/td>\nCompulsory<\/td>\n0.78%<\/td>\n<\/tr>\n
    Bern<\/td>\nCompulsory<\/td>\n1.04%<\/td>\n<\/tr>\n
    Fribourg<\/td>\nCompulsory<\/td>\n1.26%<\/td>\n<\/tr>\n
    Vaud<\/td>\nCompulsory in every district except Aigle<\/td>\n0.87%<\/td>\n<\/tr>\n
    Neuch\u00e2tel<\/td>\nCompulsory in some municipalities, for flats of 2 to 5 rooms<\/td>\n1.64%<\/td>\n<\/tr>\n
    Valais<\/td>\nNot compulsory<\/td>\n1.04%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

    Source: Federal Office for Housing, overview for 2026 of the use of the official form to communicate the initial rent, September 2026 (French). Other cantons are not covered by the overview.<\/p>\n<\/div>\n

    Cantonal decrees usually apply from 1 January of the following year, the FOH notes, so a manager working in several cantons reviews its lease templates at the start of each year. The tenant then has 30 days from taking possession to challenge the initial rent before the conciliation authority (Art. 270(1) CO).<\/p>\n

    Client accounts and anti-money laundering rules<\/h2>\n

    Collecting rent for an owner does not make your company a financial intermediary, according to FINMA practice. Its Circular 2011\/1, in the version in force since 1 January 2017, treats this activity as debt collection: a property manager who receives rent, service charges and deposits in the name, on the instructions and on behalf of the owner, as part of routine management, is not subject to the Anti-Money Laundering Act (AMLA) (margin no. 124).<\/p>\n

    The same circular places payments directly linked to the building outside the Act (margin nos. 125 and 126): mortgage interest and repayments, utilities, taxes and insurance on the building, heating, maintenance and works, the caretaker’s wages, and the return of balances to the owner. It also draws the line. Outside that management activity, accepting funds and passing them on falls under the AMLA (margin no. 127), and the same applies to the management of condominiums.<\/p>\n

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    Important<\/h4>\n

    Investing an owner’s surplus rent or handling the price of a building sale goes beyond routine management. The AMLA then applies, and since 1 October 2026 sales fall under the regime for advisers (Art. 2(3bis) AMLA). FINMA’s page on that revision does not say whether the circular has been updated.<\/p>\n<\/div>\n

    Do you need a separate account for each owner?<\/h3>\n

    No federal provision requires one. Arts. 400 and 401 CO do assume that each owner’s money stays identifiable, though. A management account kept apart from your own funds, with records per building, is the good practice that reassures owners.<\/p>\n

    Legal form and VAT for a property management company<\/h2>\n

    A property management company at launch usually chooses the GmbH: CHF 20,000 of minimum capital (Art. 773 CO), fully covered by the founders’ contributions. The AG requires CHF 100,000 of share capital, of which at least CHF 50,000 must be paid up (Art. 621 and 632 CO), and suits a project with several partners. Our guide to company incorporation in Switzerland<\/a> sets out the steps.<\/p>\n

    For VAT, keep two flows apart. The rent belongs to the owner and stays outside the scope of the tax, since the VAT Act excludes making immovable property available to third parties for use or enjoyment (Art. 21(2)(21) VAT Act). Your management fees pay for a service that is not on the list of exclusions. They are taxable at the standard rate of 8.1% (Art. 25 VAT Act) and count towards the CHF 100,000 registration threshold (Art. 10(2)(a) VAT Act).<\/p>\n

    A worked case: a Dutch manager opens a GmbH in Zurich<\/h3>\n

    A property manager from Rotterdam plans to take over the management of 35 flats owned by a Zurich family. As a Dutch national, she relies on the free movement agreement for her residence permit and sets up a GmbH in which she is the Swiss-resident managing director. Before renting an office, she asks the canton whether any authorisation applies to her activity. Her management contract fixes her fees, a cap on works she may order alone and quarterly statements.<\/p>\n

    The FOH overview lists Zurich among the cantons where the initial rent form is compulsory for 2026, so every new tenant receives it. Each tenant’s deposit goes into a deposit account opened in that tenant’s name, never into the GmbH’s account. Once her annual fees reach CHF 100,000, she registers for VAT and charges 8.1% on her own remuneration, while the rent she collects for the family stays outside the scope of the tax.<\/p>\n

    Five mistakes that cost a portfolio<\/h2>\n