Typical Mistakes When Founding a Company and How to Avoid Them

The Importance of Thorough Preparation

Good preparation saves time, money, and nerves. The formation phase is exciting but also demanding for many entrepreneurs. Between the business plan, financing, and the choice of legal form, things can easily be overlooked. However, many mistakes can be avoided effortlessly with the right steps.

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Carefully Choosing the Appropriate Legal Form

A common mistake is to determine the legal form too early or without thorough analysis. Each form has tax, liability, and organisational implications. Those who decide too hastily often need to make costly adjustments later. A careful assessment of one’s needs and the planned business development is therefore essential.

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Formulating the Business Purpose Precisely

A clearly formulated purpose defines the future scope of action of a company. If important activities are missing, this may require expensive amendments to the articles of association later on. It is equally important to check whether planned business activities require authorisation. If this is discovered only after the formation, delays and additional costs may arise.

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Preparing the Incorporation Documents Completely and Correctly

Another common mistake is insufficient preparation of the incorporation documents. Capital confirmations, articles of association, and documents must be formally flawless. Even small errors can lead the Commercial Register Office to reject the registration. Professional support – for example from Startups.ch – helps avoid such delays.

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Ensuring Realistic Financial Planning

Financial planning is often underestimated. Budgets that are too optimistic or missing reserves can quickly lead to liquidity shortages. A realistic financial plan with sufficient buffer is therefore essential.

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Fulfilling Administrative Obligations on Time

Many founders fail because administrative tasks are completed too late – such as VAT (MWST) registrations, social security requirements, or employment contracts. Establishing clear structures right from the start lays the foundation for a smooth launch.

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Conclusion

With clear structures and good preparation, most formation mistakes can be easily avoided. Startups.ch safely guides you through every step of your company formation.

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