[Start & run](https://www.helvate.ch/en/insights/categorie/start-run)# Becoming self-employed: the steps you should not overlook Becoming self-employed means gaining freedom, but also taking charge of formalities and social protection that were until then largely handled by your employer. Here are the key points to know before you get started. Going self-employed often begins with an idea, an area of expertise or the wish to work differently. But as soon as the project becomes a real business, a few formalities are essential to give it a solid framework and avoid unpleasant surprises. Published on 18 September 2026 Updated on 25 September 2026 3 min read [](https://www.linkedin.com/sharing/share-offsite/?url=https%3A%2F%2Fwww.helvate.ch%2Fen%2Finsights%2Fbecoming-self-employed-the-steps-you-should-not-overlook) [](https://twitter.com/intent/tweet?url=https%3A%2F%2Fwww.helvate.ch%2Fen%2Finsights%2Fbecoming-self-employed-the-steps-you-should-not-overlook&text=Becoming+self-employed%3A+the+steps+you+should+not+overlook) [](mailto:?subject=Becoming%20self-employed%3A%20the%20steps%20you%20should%20not%20overlook&body=https%3A%2F%2Fwww.helvate.ch%2Fen%2Finsights%2Fbecoming-self-employed-the-steps-you-should-not-overlook) Contents ## Step one: getting your self-employed status recognised In Switzerland, simply declaring yourself self-employed is not enough: your status must be recognised by the AVS compensation fund. It examines, among other things, whether you work in your own name and on your own account, whether you organise your activity freely and whether you bear the economic risk. You will then have to pay your compulsory social security contributions yourself, in particular AVS (old-age and survivors' insurance), AI (disability insurance) and APG (loss of earnings compensation). ## The formalities needed to structure your business No minimum capital is required for a sole proprietorship. Registration in the Commercial Register becomes compulsory once annual turnover reaches CHF 100,000. Below this threshold, it remains optional. From CHF 100,000 in annual turnover, a self-employed person must in principle also register for VAT. Some activities are exempt, however, including certain services in the fields of healthcare, education, culture and insurance. You must also keep accounts from the very start of your activity. For a sole proprietorship with annual turnover of less than CHF 500,000, simplified bookkeeping is sufficient: it must make it possible to track the business's income, expenses and assets. From CHF 500,000, accounts must be kept in accordance with the rules of the Swiss Code of Obligations. Finally, if you hire staff, you become an employer. You must then register your employees with the compensation fund and take care of the social insurance related to their employment. Depending on their situation and salary, this includes AVS/AI/APG, unemployment insurance, accident insurance and occupational pension provision (LPP). ## Protecting yourself in case of hardship As a self-employed person, you are not subject to compulsory accident insurance under the LAA. Accident risk must therefore be included in your basic LAMal health insurance so that medical costs resulting from an accident are covered. Optional accident insurance can also be taken out for more extensive protection. It is also important to plan for what happens if illness or an accident prevents you from working. Unlike an employee, a self-employed person does not benefit from continued salary payments from an employer. Daily allowance insurance can compensate for all or part of the loss of income during a period of incapacity for work. Finally, depending on your occupation, other protection may be necessary: professional liability insurance, legal protection insurance, insurance for premises and equipment, or cover specific to the risks of your activity. ## What about retirement? Self-employed people are not subject to compulsory LPP (pillar 2). They can, however, voluntarily join a pension fund, in particular that of their professional sector or the Substitute Occupational Benefit Institution. Pillar 3 also becomes particularly important and is often recommended. A self-employed person without pillar 2 can pay up to 20% of their annual income, up to a maximum of CHF 36,288 in 2026, into a pillar 3a account. These contributions are deductible from taxable income. ## Building your protection alongside your business Setting up as self-employed is about much more than choosing your insurance. At [**Helvate**](#cta), we support you in creating and setting up your business, while helping you make the right choices to protect your activity and your situation. The goal: to help you start out on a solid footing and focus fully on your business. [Back to all insights](https://www.helvate.ch/en/insights) Read next## Related articles [ Start & run ### The fiduciary firm: support that goes far beyond the numbers Published on 18 September 2026 Reading time : 2 min See more ](https://www.helvate.ch/en/insights/the-fiduciary-firm-support-that-goes-far-beyond-the-numbers) [ Start & run ### Business domiciliation in Switzerland: how does it work? Published on 18 September 2026 Reading time : 3 min See more ](https://www.helvate.ch/en/insights/business-domiciliation-in-switzerland-how-does-it-work) [ Start & run ### Starting your own business: the essential guide Published on 18 September 2026 Reading time : 3 min See more ](https://www.helvate.ch/en/insights/starting-your-own-business-the-essential-guide) A free initial conversation## Let's discuss your needs, simply. Tell us about your situation, and we'll take it from there. - Full analysis - Response within 24h - No obligation Thank you! Your request has been noted — a Helvate advisor will get back to you shortly. [+41 22 342 55 55](tel:+41223425555) [contact@helvate.ch](mailto:contact@helvate.ch)