Which legal form is suitable for a cleaning company?
For many founders, a sole proprietorship is the easiest start. It is straightforward, cost-effective, and particularly suitable if you are starting alone, serving your first private customers, or building up the business part-time. The major disadvantage is personal liability. With a sole proprietorship, you are not only liable with your business assets, but in principle also with your private assets.
An entry in the Commercial Register is only compulsory for a sole proprietorship if a turnover of at least CHF 100,000 was achieved in the last financial year (Art. 931 Abs. 1 OR). Below this, you can register voluntarily. This can make sense if you want to appear more professional, negotiate with business customers, or want a clear company name.
The LLC is often the appropriate legal form if you want to build up your cleaning company seriously, hire employees, or win larger customers. It is a capital company in which, in principle, only the company's assets are liable for liabilities (Art. 772 Abs. 1 OR). For this, you need at least CHF 20,000 of share capital (Art. 773 Abs. 1 OR). The LLC has a professional effect, creates clear structures, and separates private and business assets better than a sole proprietorship.
The stock corporation is more likely to be considered if you are planning on a larger scale right from the start, want to bring in investors, or need a particularly flexible participation structure. In the case of a stock corporation as well, in principle only the company's assets are liable (Art. 620 Abs. 1 OR). The minimum share capital is CHF 100,000 (Art. 621 Abs. 1 OR), which is why it is usually not the first choice for small cleaning businesses.
For most founders, the following therefore applies: Starting out alone and small often speaks in favor of a sole proprietorship. As soon as staff, liability risks, and larger orders are added, the LLC usually becomes significantly more attractive.
Does a cleaning company need a permit?
For classic cleaning services, there is no general professional permit at the federal level that every cleaning company would have to obtain before starting. You therefore generally do not have to present a certificate of competence to clean apartments, offices, staircases, or commercial properties.
However, this does not mean that you are completely free. What is crucial is exactly what services you offer. If, for example, you clean with special chemicals, undertake work with an increased safety risk, or work in sensitive areas such as hospitals, laboratories, or food businesses, additional requirements on occupational safety, hygiene, or hazardous substances can become relevant. Municipal or property-specific requirements can also play a role, for example in public contracts or specialized cleaning.
In practice, it is also important that you register your company correctly. Depending on the legal form, this concerns the Commercial Register, AHV compensatory fund, accident insurance, value-added tax, and if necessary, the pension fund. Starting a cleaning company in Switzerland therefore means less "obtaining a permit" and more "registering cleanly and insuring correctly".
When does VAT become relevant?
The value-added tax becomes relevant as soon as your company reaches the turnover limit. In principle, anyone who runs a company and provides domestic services is liable to tax (Art. 10 Abs. 1 MWSTG). However, anyone who generates less than CHF 100,000 in turnover from taxable services within one year is exempt from tax liability (Art. 10 Abs. 2 lit. a MWSTG).
For a small cleaning company, this means: Under CHF 100,000 annual turnover, you are generally not liable for VAT. As soon as you reach or are likely to exceed this threshold, you must register with the Federal Tax Administration and account for VAT correctly.
Particularly in the cleaning business, this limit can be reached faster than expected. Recurring office cleanings, caretaking mandates, move-out cleanings with acceptance guarantees, and commercial customers generate predictable sales. Therefore, you should monitor your turnover development early on and not only react when the threshold has already been significantly exceeded.
What insurance does a cleaning company need?
As soon as you employ people, accident insurance is central. According to the Accident Insurance Act, employees employed in Switzerland are compulsorily insured (Art. 1a Abs. 1 lit. a UVG). The employer must establish the insurance relationship in good time. In the case of enterprises subject to Suva, this is done by law, and the employer must report the opening of the enterprise within 14 days (Art. 59 Abs. 1 UVG).
For cleaning companies, it is particularly important that they are frequently subject to Suva. The UVG mentions, among others, enterprises in the construction and installation trades as well as line construction as subject to Suva (Art. 66 Abs. 1 lit. b UVG). The Accident Insurance Ordinance also includes enterprises that clean buildings, streets, public spaces, and facilities (Art. 73 lit. b UVV). The Federal Supreme Court understands building cleaning broadly. It is not sufficient to distinguish between interior cleaning, apartment cleaning, office cleaning, final cleaning, or staircase cleaning. Cleanings in apartments and offices can also fall under the Suva subjection (BGer 8C_129/2025 E. 5.2.1, BGer 8C_129/2025 E. 5.2.3).
For part-time employees, you must also keep an eye on non-occupational accident insurance. Part-time employees are also insured against non-occupational accidents with an employer if their weekly working hours are at least eight hours (Art. 13 Abs. 1 UVV). If they work less, accidents on the way to work are at least insured as occupational accidents (Art. 13 Abs. 2 UVV).
In addition to compulsory social security, business liability insurance is practically indispensable. It is not legally required in every case, but it is very important in the cleaning business. A scratched parquet floor, a damaged washbasin, a lost key, or an incorrectly used cleaning agent can quickly become expensive. Many commercial customers also require proof of sufficient heavy liability coverage before awarding a contract.
Depending on the business, further insurances are added. These include daily sickness benefits insurance, property insurance for equipment and machinery, vehicle insurance for company vehicles, and if necessary, legal protection insurance. If a generally binding GAV is applicable, the daily sickness benefits insurance may not merely be voluntary, but may be prescribed contractually or collectively under labor law.
What applies to the GAV in the cleaning industry?
The collective employment agreement is particularly important in the cleaning industry. If a GAV is declared generally binding, its rules can also apply to employers and employees who are not members of an employers' association or a trade union (Art. 1 Abs. 1 AVEG).
According to official SECO information, there are generally binding GAV declarations for the cleaning industry in German-speaking Switzerland as well as for the cleaning sector in French-speaking Switzerland. For founders, this means: You must check whether your business falls locally, operationally, and personally within the scope of application. Particularly relevant are the canton, the type of cleaning work, the number of employees, and the function of the persons concerned.
The GAV can regulate minimum wages, 13th-month salary, working hours, holidays, implementation cost contributions, daily sickness benefits insurance, and other working conditions. In German-speaking Switzerland, according to the current industry information, small businesses with fewer than six employees are also affected by provisions that have been declared generally binding under facilitated conditions. Anyone who founds a cleaning company and employs staff should therefore not simply use a standard employment contract, but check the GAV subjection first.
This is not just a formality. Incorrect wages, missing insurance, or unpaid contributions can lead to supplementary demands. In addition, compliance with the GAV is a signal of trust towards business customers, administrations, and public contracting authorities.
What employment contracts do you need for cleaning staff?
As soon as you employ people, you need clear employment contracts. An individual employment contract exists if a person performs work in the service of the employer for a specified or unspecified period of time and receives wages for it (Art. 319 Abs. 1 OR). Regular hourly, half-day, or daily work is also considered part-time work in the employment contract (Art. 319 Abs. 2 OR).
Particularly in cleaning, part-time quotas, evening shifts, changing deployment locations, and property-specific working hours are common. The employment contract should therefore not only state the hourly wage, but also regulate the workload, working hours, place of work or area of activity, expenses, work clothing, cleaning agents, confidentiality, key responsibility, holidays, illness, accident, and notice periods.
It is important that you respect the mandatory labor law limits. Certain regulations may not be deviated from, either to the disadvantage of the employer or to the disadvantage of the employee (Art. 361 OR). Other provisions may not be deviated from to the disadvantage of the employee (Art. 362 OR). These include central rules on continued payment of wages, holidays, personal protection, reimbursement of expenses, and protection against dismissal.
In case of illness, a limited obligation to continue paying wages generally applies if the employment relationship has lasted for more than three months or was entered into for more than three months (Art. 324a Abs. 1 OR). Deviating regulations are possible if they are made in writing, by standard employment contract or collective employment agreement, and are at least equivalent for the employees (Art. 324a Abs. 4 OR). This is precisely where GAV and daily sickness benefits solutions often intervene in the cleaning industry.
Which customer contracts are important?
In addition to employment contracts, you need good customer contracts. Cleaning sounds simple, but quickly leads to disputes if the scope of services is unclear. A good contract does not just say that "cleaning" is done. It describes which rooms, areas, and works are meant, how often cleaning is carried out, which quality standards apply, and what is not included in the price.
In the case of regular cleanings, the contract should regulate cleaning days, time slots, access, key handover, alarm codes, responsibilities, replacement in case of illness, materials, consumer products, additional services, and notice periods. In the case of business customers, it is also important whether cleaning times take place outside of office hours and who must be informed in the event of damage or security incidents.
For move-out cleanings, the acceptance guarantee is the classic. If you offer such a guarantee, you should state exactly what it includes, how long it is valid, who is present when the apartment is handed over, and how follow-up cleanings are organized. Without a clear scheme, a seemingly small follow-up cleaning can quickly turn into a dispute over price, date, and responsibility.
General Terms and Conditions can also help to regulate recurring points uniformly. However, they do not replace a clear order. Particularly with larger customers or administrations, a clean individual contract with a service directory is worthwhile.
Which accounting obligations apply?
Even small cleaning companies need order in their bookkeeping. Sole proprietorships and partnerships with less than CHF 500,000 in sales revenue in the last business year must at least keep records of income, expenditure, and the asset situation (Art. 957 Abs. 2 Ziff. 1 OR). From CHF 500,000 turnover, the ordinary bookkeeping and financial reporting obligation applies to sole proprietorships and partnerships (Art. 957 Abs. 1 Ziff. 1 OR). Legal entities such as LLC and stock corporation are subject to bookkeeping and financial reporting obligations regardless of turnover (Art. 957 Abs. 1 Ziff. 2 OR).
In cleaning, clean bookkeeping is particularly important because wages, social security, expenses, material costs, vehicle costs, and VAT must be recorded correctly. Anyone who business employs staff should consistently document wage slips, working hours, and holiday balances. This protects you during checks and helps you to calculate your prices realistically.
If you need support during the founding process, Jurata will be happy to help you at any time.
Conclusion: How to set up on a legally clean basis
Starting a cleaning company in Switzerland is very feasible if you take the legal framework seriously from the very beginning. A sole proprietorship is suitable for an easy start, while the LLC often offers the better structure when it comes to personnel, liability risks, and growth. From CHF 100,000 turnover, entry in the Commercial Register for a sole proprietorship and VAT become particularly relevant.
As soon as you employ people, accident insurance, social security, GAV verification, and clean employment contracts are at the center. Cleaning businesses can be subject to Suva, and the GAV can bindingly regulate minimum wages, daily sickness benefits, and other working conditions. On the customer side, you need clear contracts so that performance, price, acceptance, keys, and liability are not only discussed in the event of a dispute.
Anyone who starts off cleanly appears more professional, protects themselves against supplementary demands, and builds trust with customers, employees, and business partners.
Frequently asked questions about cleaning companies in Switzerland
Do I have to register a cleaning company in the Commercial Register?
A sole proprietorship must be registered if it achieved at least CHF 100,000 in sales revenue in the last financial year (Art. 931 Abs. 1 OR). LLC and stock corporation are entered in the Commercial Register upon foundation. A voluntary entry can also make sense below the turnover limit if you want to appear more professional.
Is an LLC better than a sole proprietorship for a cleaning company?
Not always. For a small start alone, a sole proprietorship can be sufficient. If you hire employees, take on larger orders, or want to better separate your private assets, the LLC is often more useful, because in principle only the company's assets are liable (Art. 772 Abs. 1 OR).
Do I have to insure my employees with Suva?
Many cleaning companies fall under Suva jurisdiction because the regulation also covers companies that clean buildings, streets, public spaces, and facilities (Art. 73 lit. b UVV). The Federal Supreme Court interprets building cleaning broadly and also covers interior cleanings such as apartments and offices (BGer 8C_129/2025 E. 5.2.3).
Does the cleaning GAV also apply to small businesses?
That can be the case. GAV rules that have been declared generally binding can also apply to companies that do not belong to any association (Art. 1 Abs. 1 AVEG). In the cleaning industry, subjection depends in particular on the canton, the activity, the size of the business, and the function of the employees.
