Company registration in Germany

GmbH (limited liability company)

GmbH is the most popular legal form to incorporate and run activity company in Germany.  The minimal share capital must be 25000 euros  during  the registration of the company at least 12500 euros  from 25000 euros should be paid up to the company bank account.The minimum number of shareholder should be one. GmbH is managed and represented by managing director there must be at least one managing director. To incorporate comapny it is needed to notarize in the presence of notary deed of formation and  articles of associations as well company must be registered in  commercail register  and director sign needed documents afterwards company need to be registered at trade office. Company need to have bank account. Physical address of the  company is required in Germany. Company need to have  description of the line of business.

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  • The company can be set up in 3 – 6 weeks upon receipt of all documentation.
  • Company can operate after visiting the notary and signing the documents in front of him.
  • Company will be entered into commercial registry about 2 – 3 weeks after filing by notary.
  • When you do not wish to come to Germany, then you can found it and typically also open an account remote.

UG (Mini-GmbH)

As a legal entity the mini-GmbH is much the same as a corporation. It has a management board, is subject to corporate taxes, can acquire property, own assets, sue and be sued. Founding of UG is not so complicated.  During UG formation there should be standard protocol signed requiring not much information this protocol  and articles of associations should be notarized . This company’s contract determines how the shares and profit are allocated, how many legal representatives should be . Companies formed under this standard protocol may only have one managing director and no more than three shareholders. The managing director ought to then open a bank account. A UG differs from a GmbH in several other respects also. It may not accumulate capital in anything but cash. Mini-GmbH may be the requirement that a fourth of the profits be contributed to the capital reserve. The minimal share capital should be at least 1 euro. Physical address of the company is required.