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Understand the Jurisdictions Setup Requirement Before Proceed Your Register Company in Germany

Register Company in GermanyWhy Register Company in Germany?
Strategically located in the centre of Europe, German is the key driver of the European economy. As of now, Germany represents the fifth largest economy in the world and many see it as the powerhouse of the European economy. Germany is rising as one of the favoured locations for foreign investment.

There is a multiplicity of benefits for foreign investors to expand their business or set up new companies in Germany. Here is a brief list of the advantages of doing business in Germany:

  • Advanced technology in many industrial sectors.
  • Highly skilled and well-educated workforce.
  • Germany is the second biggest exporter and the third largest importer in the European Union.
  • Attractive tax system.
  • Minimum corruption.


How to Register a Company in Germany?

The German government welcomes all types of foreign investment as well as the establishment of all types of businesses. The process of setting up a business in Germany is straightforward with a series of formalities that are required to be followed

  1. Decide the business type:

    Business types that are available in Germany

    • Germany GMBH- It’s the most common form of business type in Germany with the minimal share capital is €25,000 and minimum one shareholder is required for the registration.
    • Germany UG- It is a smaller version of the GmbH. A minimum share capital of €1 and minimum one shareholder and one director is required for the registration.
    • AG company – It is the standard corporate form for major companies. Minimum share capital for an AG is €50,000 and at least one shareholder is required for the registration.
    • Partnership – Commonly used for small family business where a minimum of two partners are required for the registration.
    • Sole Proprietor Company – This is the simplest and least-regulated form of company type in Germany.
  2. Name the business
  3. Incorporate the business
    • Draft the Articles of Association (must include share capital, shareholders, business name, a valid address of registered office, and company object).
    • Notarization of Articles Of Association
    • Payment of Share Capital (this step involves the opening of a company account at a German bank where the minimum share capital or the initial capital of a partnership must be deposit)
    • Registration with the Commercial Register – Registration is mandatory before any commercial activities begin.
    • Registration in a special register for business activities (Gewerbeanmelding)
    • Registration with the Chamber of Commerce (IHK)
    • Registration with Tax Authorities

On a final note

The strong economy, the highly skilled workforce, as well as the vibrant business environment have positioned Germany as one of the investment hotspots in European country. If you are scouting for a country to expand your business globally, Germany has lots to offer.

Register Company in Germany

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