Risk capital
The number of venture capital companies in Switzerland has grown considerably. The source of funds has shifted significantly away from private investors, with government agencies accounting for 24.5 %, followed by insurance companies and pension funds with 22 % and 18.7 % of the total, respectively. The federal authorities also support the creation of venture capital through the Federal Act on Venture Capital Companies (RKG), which provides two tax incentives:
- Recognized venture capital companies are exempt from securities issue tax on their capital at the time the company is founded, or for any subsequent capital increase. With respect to direct federal tax, they also have a lower threshold value for claiming the equity participation deduction.
- Private persons who assist in the foundation and development of new companies as business angels are entitled to relief from direct federal tax if they grant subordinated loans for the formation of start-up companies from their private assets.
The availability of venture capital and similar financing may fluctuate and therefore lacks transparency. Universities, consultants and the business community jointly provide a number of platforms, some of them online, to bring entrepreneurs and investors together.
