We live in times of dynamic change and growing uncertainty. The events of recent years and days—the global pandemic, the war in Ukraine, disruptions in supply chains, a spike in inflation, and the tariffs imposed by the new US administration—have made and continue to make running a business riskier than it was a decade ago. Many entrepreneurs are asking themselves: What will happen next with inflation? Will exchange rates change dramatically again? Are more sudden tax changes ahead? An unstable environment poses a real risk to the value of accumulated capital, business profitability, and long-term development plans. In such conditions, business owners must become not only managers but also strategists prepared for worst-case scenarios.

Instability – the New Normality for Entrepreneurs

In Poland, these concerns are particularly felt. The local market is developing dynamically; however, it is also highly exposed to external turbulence. The Polish economy, strongly linked to the European Union, feels the effects of global crises almost immediately—fluctuations in raw material prices, drops in demand, or collapses in financial markets. Additionally, there are internal turbulences: frequent and unpredictable changes in regulations (e.g., tax regulations) can undermine business plans literally from month to month. An example is the sudden introduction of the “Polish Deal” (“Polski Nowy Ład”) at the beginning of 2022—a broad tax reform announced at an express pace. Such hasty changes, then hastily corrected, caused a sense of legal chaos and uncertainty among entrepreneurs. It is no wonder that, according to research, in 2021 only about 20% of Polish entrepreneurs were optimistic about the future, while over 90% felt that domestic conditions were not conducive to business development. After these experiences, many companies began to seek ways to protect their company and assets from uncertainty.

Risk diversification: a business insurance policy for difficult times

As uncertainty has become the new normal, entrepreneurs increasingly consider risk diversification. Just as investors spread their capital across different assets, business owners can “spread” their business across different jurisdictions. The idea is not to keep all your eggs in one basket – not to base your company’s future solely on one economy or one legal system. History shows that finding a safe haven for your company or capital can be crucial to surviving crises. A hundred years ago, many Polish entrepreneurs secured their assets by setting up businesses abroad to protect them from domestic political turmoil. Today, in the age of globalization, you don’t even have to leave permanently – you can enjoy the privileges of more stable countries while still living and operating partly in Poland. For example, having two company headquarters is becoming increasingly common: one in the country for local operations and the other abroad for international operations or part of the capital. This structure works like an insurance policy: even if conditions worsen in one country, the business in the other continues to function without disruption.

Where can one find a safe haven for business?

The question naturally arises: which country can serve as a safe haven? Investors traditionally look to countries with a strong reputation for stability, predictability, and respect for property. Switzerland is often the first choice. This neutral, wealthy, and orderly country has been synonymous with safety for capital for decades. Of course, it is not the only option; some also consider Luxembourg, Liechtenstein, or Singapore, depending on priorities such as taxes or location. However, Switzerland stands out with unique features that provide entrepreneurs with true peace of mind. This country boasts a tradition of neutrality and institutional continuity spanning over 200 years. According to global rankings, it is one of the world’s most stable economies, holding the highest credit rating, AAA, and maintaining very low inflation for years. Such stability means that entrepreneurs do not have to worry about sudden political and economic shocks, which is invaluable for planning their development.

Advantages of a safe haven: In a stable jurisdiction, a company does not have to worry about sudden changes in the law or abrupt currency fluctuations. A stable banking system and a strong currency protect the value of capital, while predictable regulations enable long-term planning. Businesses can focus on development instead of extinguishing “fires” caused by external factors. For the business owner, this translates to fewer sleepless nights spent worrying about what tomorrow will bring. Moreover, a company’s presence in a country with an established reputation enhances its perception. A Swiss address in the registry data builds greater trust with contractors and increases the prestige of the brand – the famous Swiss quality applies not only to goods but also to companies.

In uncertain times, sensible entrepreneurs consider various scenarios to protect their business. One of them is to locate the business (or part of it) in a country that offers stability and security—in other words, to find a safe haven. Switzerland, which has been attracting investors with its predictable conditions for years, may be such a haven. Of course, the decision to diversify the business should be well thought out and tailored to the specifics of the company.

If you feel that global and local uncertainty threatens your business, it is worth seeking protective solutions in advance. Our law firm helps entrepreneurs analyze risks and find safe jurisdictions for business, including relocating or establishing a company in Switzerland. We invite you to contact us to discuss how best to secure your company’s future.