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Starting Your Own Business in Germany

Starting Your Own Business in Germany

The process of doing business in Germany is greatly simplified by state policy

In Germany, this form is called Gesellschaft mit beschränkter Haftung (GmbH). First, it requires a smaller authorized capital – 25,000 euros. And second, this form of organization is the most popular not only among foreigners but also among Germans themselves.

Now more about the process of establishing a company. Without being a permanent resident of Germany, you can create a GmbH only by depositing the full authorized capital before registration. But do not be afraid. The fact is that these funds do not have to remain in the account permanently and can be used at your discretion.

The main thing, in my opinion, to focus on is that registering a company in Germany is a very complex and time-consuming process. Registration is carried out with the involvement of a court, and you cannot do without a hired specialist. But in any case, it is worth familiarizing yourself with the law regulating the creation and operation of GmbH – Gesetz betreffend die Gesellschaften mit beschränkter Haftung.

After registering the LLC, further business operations proceed as in any other country. And everything here depends only on you and your abilities. Speaking of taxes, it is worth mentioning that the German government has planned a reduction in the main taxes for capital companies.

By the way, real estate in Germany after joining the European Union has significantly decreased in price. This makes it possible to purchase all types of real estate at a price below market value. It also made it easier to obtain long-term loans at low interest rates.

Equipment for warehouses or stores should also not be a problem. After all, now you only need to look into the Runet and you will be offered branded equipment from Germany at every turn. But here it will be at hand, and truly branded and truly from Germany.

In general, the process of doing business in Germany is greatly simplified by state policy. Both regarding private capital and regarding the principles of governing the country. This is exactly what answers the question you might ask: 'Why Germany?' The fact is that Germany's current policy is aimed at liberalizing relations with private capital. And the citizenship of the founder of the organization does not play a significant role here. A company founded by a foreign citizen has the same rights to government benefits, subsidies, banking services, and so on. Plus, doing business in Germany allows you to obtain a residence permit, which will save you from constant visa troubles. Among other things, the very German lifestyle – what Germans are so proud of, namely the famous German order, clear organization of all institutions, detailed regulation of business life and no surprises in politics – all of this in itself is the most favorable environment for doing business, especially for novice entrepreneurs. A stable economy, a risk-free banking system, social security, a centuries-old history of unchanging business laws – this cannot but attract a person looking for where to invest their capital and get maximum returns.

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