FAQ: German residence permit as a self-employed

Can I get the German residence immediately after opening a business in Germany? What amount of investments is required? Can I apply for a residence permit together with my family? It this article we are going to answer the most frequently asked questions on the topic of getting the German residence permit through business immigration. We will also be updating this article on a regular basis.

Our company, Nexus-Europe GmbH, assists foreigners with starting and developing their own business in Germany and moving to Germany through business immigration or the EU Blue Card. Over 20 years of operation we have helped more than 7000 customers. 

Watch our video: FAQ about the German residence permit as a self-employed

Here are the most commonly asked questions and answers to them.

1. Is there a requirement to the minimum amount of investments?

- Unlike many countries, starting from 2012, in Germany there is no requirement to the minimum amount of investments. However the amount of investments is an important factor for a positive decision.  You must have sufficient funds to realize your business idea and your business must be beneficial to Germany.

2. Is there a requirement to the minimum number of employees?

- Since 2012, you are not required to hire a minimum number of employees for your business. However this is still another important factor for the authorities when considering your application.
 

3. Does opening a company in Germany automatically grant me the right for a residence permit?

- No, just opening a company does not grant you the right for a residence permit. There are certain requirements to be fulfilled:

1. There is an economic interest or a regional need for the activity.
2. The activity is expected to have positive effects on the economy.
3. The person has a personal capital or an approved loan to realize the business idea.

Only in case all of these requirements are fulfilled the person might be eligible for a residence permit. We have a detailed article about the requirements for a residence permit as a self-employed.
 

4. Who decides if the activity of the company is beneficial to Germany?

- Each application case is examined by competent authorities to decide if the company business activity is beneficial to the region. Business concept and business plan are the key in such kind of application. They need to clearly show the available amount of investments, the planned number of employees, the intended salary the applicant will get as well as other important factors. Good business consultants can help prepare and adjust the business plan and business concept so that the risk of rejection is minimized.

Our company, Nexus-Europe GmbH, has developed our very own 5-step Nexus Smart Immigrate Technology of application for a residence permit. The risk of rejection is minimized because of the complex approach to the procedure. The Nexus Smart Immigrate Technology was developed by Premium class experts: lawyers, economists, and with informational support of competent authorities. On our website you can find a detailed article on how we carry out the cases to maximize the chances for success and what the 5-step Nexus Smart Immigrate Technology is.

5. Is it enough to be a shareholder to get a residence permit?

- To be considered a self-employed you need to hold at least 50% of the shares and be the managing director of the company.

6. How many managing directors can apply for a residence permit?

- In theory, two managing directors holding 50% of the shares each may apply for a residence permit as self-employed. However in practice you need to prove that the company needs the permanent presence in Germany of two managing directors: for example, if they have two completely different tasks and each of them is essential to the company and its activity. Again, this must be clear from the business plan. Nexus-Europe GmbH helps you prepare and adjust the business plan according to your needs and personal situation.

7. Is there a requirement to the managing director’s salary?

- The minimum salary of the managing director is 24 000 euro per year plus the cost of the health insurance in case you apply alone. Important is that the salary covers all your living expenses (renting an apartment, health insurance, further living expenses).

8. Can I apply with my family?

- Generally, it is possible, however it depends on the situation. If you apply with your family, your salary must cover the living expenses of the whole family. There is a formula for the calculation of the salary The salary must cover: cost of the health insurance for the applicant and all family members + rental costs + lump sum living costs. As of 2024, lump sum living costs for each member are defined by law as follows:

• for each adult person: 563 euro per month
• for each adult partner: 506 euro per month
• for children from 14 to 17: 451 euro per month
• for children from 6 to 13: 390 euro per month
• for children under 5: 357 euro per month

9. For how many years can a get a residence permit?

- It is possible to get a residence permit for up to 3 years.

10. How can a managing director apply for a residence permit having, for example, 25% of the shares?

- In general, if the managing director has 25% of the shares and isn’t considered a self-employed, one of the fastest ways to get a residence permit would be applying for the EU Blue Card. To be eligible for the Blue Card the following requirements must be fulfilled:

1) having a German degree or a foreign degree that is recognized in Germany or comparable to a German degree,

2) having an employment contract (for example, a managing director contract) or a binding job offer,

3) your employment must match your qualification,

4) and, as of 2024, having a minimum gross salary of 45 300 euro per year (or 41 041 euro per year for understaffed professions).

You can find more detailed information about the requirements, benefits and the procedure of application for the EU Blue Card in our article.

11. Can I hire employees from non-EU countries to work for my German company?

- Yes, but they will require a residence permit, such as, for example, the EU Blue Card. Unless it is a Blue Card, obtaining such a permit can be quite complicated and in some cases impossible.

Especially for investors and entrepreneurs who are willing to get a residence permit in Germany we have developed solutions. The risk of rejection is minimized because of the 5-step Nexus Smart Immigrate Technology. It is a complex approach to the procedure. The Nexus Smart Immigrate Technology was developed by Premium class experts: lawyers, economists, and with informational support of competent authorities. It helps foreign entrepreneurs have a maximally smooth application process. We show you in detail how we carry out the cases to maximize the chances for success and what the 5-step Nexus Smart Immigrate Technology is in our article.

Our company, Nexus-Europe GmbH is happy to assist foreign entrepreneurs with starting and developing their own successful business in Germany on a turn-key basis: from a trading company to a manufacture. Because of our many years of work with government organizations and top associations, we can help you become a true part of the German business society. We also assist with moving to Germany through business immigration or the EU Blue Card.