Industry

Building an online shop

Digital sales have low start-up costs but many pitfalls around data protection, taxes and international shipping. The turnover thresholds for VAT registration abroad are often overlooked.

Building an online shop

Legal form

Sole proprietorship for testing, LLC once revenue is serious (liability for product claims, return risk, investor access).

Capital need

CHF 5,000 – 50,000. Critical: stock and marketing budget for the first 6 months.

Regulation

What you need to know

Revised Data Protection Act

Privacy policy, register of processing activities, cookie banner under the revised Data Protection Act (in force since 09.2023).

Distance selling

Switzerland has no mandatory 14-day right of withdrawal – a voluntary return policy is still recommended as a selling point.

VAT abroad

Selling into the EU: OSS scheme from CHF 10,000 turnover per country. Selling to Germany with stock there (FBA): immediate VAT registration.

Product labelling

Conformity declaration (CE), textile labelling, food declaration depending on the assortment.

Cost blocks

Where the money goes

  • Shop system

    Shopify CHF 30–300/month, WooCommerce from CHF 0 + hosting, Wix eCom from CHF 20/month.

  • Payment provider

    1.5–2.9% per transaction (Stripe, Datatrans, Payrexx).

  • Shipping & returns

    Return rate 5–25% depending on assortment – must be factored into pricing.

VAT & tax

Tax specifics

Sales within Switzerland: 8.1% VAT. Exports abroad: 0% (proof of export required!). From CHF 100,000 worldwide turnover with goods shipped to Switzerland, foreign sellers are also liable for VAT.

Practical tips

What experienced founders do differently

  • Start with a niche market – few win a generic fight against international players like Zalando or Amazon.
  • Budget a customer acquisition cost of CHF 30–80 – content and SEO lower it over time.
  • Use Fulfilment-by-Amazon or Swiss fulfilment services (e.g. Planzer, Rhenus) instead of your own warehouse in the first years.