How to Register a Company in Germany

Today, you’ll learn how to register a company in Germany step by step. Read till the end to see why registering a business in Germany might fail if you are not a resident of Germany.  

Here are the main steps on how to register a company in Germany.

Step 1: Deciding on the federal state for registering a business in Germany. It is important to know what opportunities the chosen state offers to your business, what taxes there are etc. And yes, the tax rate in Germany depends on the state the company is registered in.

Step 2: Figuring out what licenses and permits your business activity requires or if it will be considered a so-called monitored activity.

Step 3: Deciding on the company ownership. Before registering a business in Germany, you need to decide if you are going to register an independent company with private shareholders or a subsidiary with another company as the shareholder.

Step 4: Choosing the legal form: UG or GmbH. Unless you are an EU citizen, the easy way of registration as the so-called Gewerbe (or sole proprietorship) is not available to you without a residence permit in Germany. On the other hand, UG and GmbH companies can be registered with foreign shareholders and managing directors without a German residence permit. In this article, we are talking about these two options of how to register a company in Germany.

Our company, Nexus-Europe GmbH, assists foreigners with starting and developing their own business in Germany and moving to Germany through business.

Step 5: Checking the availability of the chosen company name and whether or not the name and the business activity are acceptable for registration.

Step 6: Finding an office or a work place suitable for registering a business in Germany.

Step 7: Preparing the founding documents.

Step 8: Having the documents notarized with a German notary.  

Step 9: Opening a bank account.

Step 10: Transferring the share capital.

Step 11: Paying the registration fee.

Now, you know how to register a company in Germany. Please read our article on what is required after the company is registered.

Seems like a quite easy process, doesn’t it? At least many service providers seem to say so when explaining how to register a company in Germany. However, in case you are a foreign entrepreneur, things unfortunately don’t exactly work as easily as for German nationals. Please check out our article about the challenges foreign entrepreneurs face when registering a business in Germany.

Our company, Nexus-Europe GmbH, assists foreigners with establishing their own successful business in Germany and moving to Germany. We have decades of experience with foreign entrepreneurs, know the difficulties they face and how to overcome them. Contact us to get an individual solution!