At the moment, one of the most attractive countries for doing business, not only in Europe but all over the world, is Germany. It is impossible to imagine the economy of the European Union without Germany.
The stability and development of business in Germany are not affected by the global crisis, the cost of hydrocarbons, Brexit, and migration problems.
Many foreign entrepreneurs who have achieved certain results in their homeland and do not want to be satisfied with what has already been achieved consider Germany a ticket to big business. Let’s take a look at the advantages of registering a company in Germany.
Benefits of registering a company in Germany
Having opened your business in Germany, you will not regret your decision, since the company starts working in a truly stable legal state, in which corruption and injustice are fought.
The rules and laws
The business activity develops following the rules and laws. Enterprises involved in the introduction of innovative technologies, eco-projects that affect the economy of underdeveloped regions, and firms in need of modernization can count on subsidies from the state.
The banking sector actively supports business in Germany by providing long-term loans with favorable interest rates. For example, clients with an impeccable credit history can take out a loan at 1.1% per annum for a fairly long time.
“Made in Germany”
It is not difficult to find a consumer for your product or service, since the logo on the product “made in Germany” has already become a global brand with an impeccable reputation, which is well sold all over the world. The developed infrastructure of Germany, a good geographical location, and a high purchasing opportunity for citizens of the Eurozone – all these are positive aspects to have a company in Germany.
Businesses outside Germany
It should be said that it is not at all necessary to be engaged in the production of products on federal lands. It is enough to pay taxes in Germany on time, and the main facilities of the enterprise can be located in any country. Thus, you can avoid the unnecessary influence of local authorities on your business, and significantly save on wages for the company’s employees.
Wide your horizons
As for the branches of the company, their opening is possible in all EU countries. Having representative offices of a German company in France, Belgium, or Sweden, it will not be difficult to find business partners or investors.
Residence of EU
The main advantage for an entrepreneur is obtaining a residence permit. After three years of successful business, you can count on obtaining the right to permanent residence. The businessman’s family will also be able to immigrate to Germany.
A residence permit in Germany will give you and your family access to quality health care and education. You will also be able to easily move around the Schengen area and, in a simplified manner, obtain visas to the USA, Canada, Japan, and other developed countries.
Company registration in Germany – step by step instructions
It is worth saying that non-residents of Germany and the European Union have the opportunity to register:
Limited Liability Company (GmbH)
The authorized capital is 25,000 euros. It can be entered all at once or in part, but the second part is brought in no later than the first year of the company’s operation. This money can be used for the needs of the company immediately after registration.
This legal form is popularly known as Mini-GmbH, has an official name – Unternehmergesellschaft (UG), and is a kind of “LLC”. But as far as the registration procedure is concerned, it is the same as for GmbH. The statutory fund can range from 1 euro to 25,000 euros. Based on the results of the first year of operation, 25% of the profits should remain in the firm’s reserve fund.
Joint-Stock Company (AG).
The authorized capital of the company must be at least 50 thousand euros. At the time of registration, the fourth part of the amount is paid – 12,500 euros.
After you decide on the choice of the organizational and legal form of the future enterprise, we need to provide information about the directors, and founders, starting from passport data and ending with a share in the business of each of them. Without this data, it is impossible to prepare the memorandum of association.
Next, we need several options for the name of the company. Each name will be checked by the Chamber of Commerce to avoid plagiarism.
Provide a legal address. If it is not there, we will help to resolve this issue as well.
Description of the main activity of the company.
If personal presence is a problem for you, this can be avoided without going beyond the legal framework. After visiting the notary public, the next step is to open a corporate account for the firm.
After opening a bank account and depositing the authorized capital, the notary will send an application to the German registration court to receive an extract from the register of legal entities with information about the company. Registration with the department of business activities and tax inspection is the final stage.