Switzerland finances a great part of the world's commodity trade and banks companies from every continent. Find out what a Swiss bank will ask of your company, how trade and commodity finance work, and how a company from China, Eastern Europe, Africa or another emerging market becomes bankable here.
A Swiss bank account gives your company credibility with counterparties across the world, but opening one requires careful preparation. Swiss banks examine the beneficial owners, the source of funds and the business model of every new client, and for companies from emerging markets this review is thorough.
Preparation means documents: a structure chart down to the natural persons, audited accounts, evidence of how the wealth was created, and the main contracts that show where the money comes from and where it goes. A complete file allows a bank to decide quickly; an incomplete one leads to rounds of questions or a refusal, for which the bank need give no reasons.
Swiss banks are supervised by FINMA and bound by the Anti-Money Laundering Act and the banks' Code of Conduct on due diligence (CDB). They must identify the beneficial owner, clarify unusual transactions and report suspicions to the Money Laundering Reporting Office (MROS). Politically exposed persons and companies from high-risk jurisdictions are subject to enhanced due diligence.
Trade and commodity finance follow their own logic. Swiss banks finance the transaction rather than the balance sheet, secured by the goods, the documents of title and the receivables, through letters of credit, borrowing-base facilities and pre-export finance. A trader with clean documentation and control over the goods obtains finance that its balance sheet alone would not support.
Banking and Wealth Management
Switzerland is one of the largest centres for cross-border private wealth, and its banks remain the central institutions of its financial centres. The articles collected here explain the Banking Act and the protection of bank client secrecy under Article 47, the rules of conduct under the Financial Services Act, the licensing of asset managers and trustees under the Financial Institutions Act, due diligence and discretionary mandates, retrocessions and their restitution, and dormant assets. They also trace the history of Swiss private banking and the consolidation of the banks in recent decades. To the articlesCommodity Finance
Commodity finance is the specialised lending that keeps physical trade moving, and Geneva and Zug are among its main centres. The articles collected here explain prepayment and pre-export finance, borrowing-base facilities, warehouse receipts and collateral management, security over goods afloat and in storage, and the credit insurance and letters of credit that protect lenders against counterparty default. They also show how commodity finance is used to fund projects in Africa and Central Asia, and which contract terms producers, traders and banks need when the counterparty is a state or a state-owned company. To the articlesTrade Finance
Trade finance keeps commodities and goods moving between producers, traders and buyers. The articles collected here explain the documentary credit and the doctrine of strict compliance, pre-export and prepayment finance, security over goods afloat and in storage, the assignment of receivables, and the role of the banks in Geneva and Zug that specialise in financing trade. They also look at the cases in which trade finance failed, what lenders learned from the losses of 2020, and how electronic trade documents and tokenised receivables are beginning to change the business. To the articlesCommodity Trading
Geneva and Zug are among the world's leading commodity hubs, and a large share of the world's oil, grains, metals and minerals is traded by companies based in Switzerland. The articles collected here explain what a trading house does, how the trade is structured and financed, which contracts and securities it relies on, and which rules govern it, from anti-money laundering and sanctions to corporate criminal liability for bribery. They also discuss the figures behind the Swiss commodity sector and the particular questions raised by trade with Africa, Central Asia and the Middle East. To the articlesBankability and Onboarding
Before a Swiss bank opens an account for a company or lends to it, it examines who owns and controls the company, where its money comes from and what the account will be used for. The articles collected here explain what banks ask for, how beneficial ownership and the source of funds are documented, why companies from certain countries or sectors face more questions, and how to prepare an onboarding file that is accepted. They also cover the capital deposit account needed to form a Swiss company, the choice of bank, and what to do when an application has been refused. To the articlesChinese Companies
Companies from mainland China and Hong Kong use Switzerland to hold investments, trade commodities, raise capital and serve European customers. The articles collected here explain the questions that matter most to them: opening Swiss bank accounts, the double taxation treaties with China and Hong Kong, listings and capital raising in Switzerland, the free trade agreement between Switzerland and China, investment screening, and US sanctions that affect groups with Chinese shareholders. They are written for owners and in-house counsel of Chinese groups and for the lawyers in Hong Kong and mainland China who advise them. To the articlesEastern European Companies
Companies from Central and Eastern Europe have long used Swiss banks, trading houses and holding companies for their international business. The articles collected here explain the questions that matter most to them today: opening and keeping Swiss bank accounts, trade and commodity finance, group and holding structures, and the sanctions against Russia and Belarus that Switzerland has adopted. They show which activities remain possible, which require particular care or a licence, and how to document the ownership and source of funds so that Swiss banks and counterparties can continue to work with the company. In preparationAfrican Companies
Companies and investors from Africa trade, bank and hold assets through Switzerland, and a growing number of projects on the continent are structured through Swiss companies. The articles collected here explain the questions that matter most to them: Swiss project, holding and trading vehicles, the choice between Zug and Geneva, the tax and investment treaties between Switzerland and African states, export quotas and state participation, stablecoins in trade with China, sanctions and export controls, and the new transparency and anti-money laundering rules. They are written for African companies, state-linked entities and their Asian partners. To the articlesOther Foreign Companies
Companies from the Middle East, Central Asia, South-East Asia and Latin America use Switzerland to hold investments, trade commodities, raise capital and protect their assets. The articles collected here explain the questions that matter most to them: forming a Swiss company, opening bank accounts, the double taxation treaties, sanctions and export controls, and the courts and arbitral tribunals that decide their disputes. They are written for owners and in-house counsel of companies that want to use Switzerland as a stable base for their international business. In preparation