Accounting

The obligation to keep accounts depends on the obligation to register in the commercial register, not on the registration itself; for sole proprietorships, this obligation begins with a turnover of CHF 100,000. Companies such as general partnerships, LLCs, and corporations must keep accounts regardless of turnover.

The liabilities on the balance sheet reflect who provides capital to the company, divided into debt and equity. Debt encompasses liabilities, while equity shows the ownership claims.

The asset side of the balance sheet shows the assets of a company, divided into current assets (e.g., cash, receivables, inventories) and fixed assets (long-term assets such as office equipment). Current assets are ordered by liquidity, with cash listed first and less liquid items such as receivables listed last.

The income statement of a company juxtaposes expenses and revenues annually to determine success. It is an essential financial instrument.

A balance sheet compares assets (assets) and liabilities (liabilities) of a company. Assets are divided into current and fixed assets, liabilities into debt and equity.