Wise Business Group
September 26, 2024
An overview of the financial requirements for obtaining a self-employment residence permit in Germany
As an applicant for a self-employed residence permit in Germany, you must provide documents based on having sufficient financial resources to start a business and cover your expenses in Germany. Also, you need to prove that your business has a good chance of success in the German market and can be favorably profitable. Other financial requirements include:
• A document based on obtaining private or public health insurance in Germany
• Realistic predictions of how to make money in the first years after starting a business in Germany
• A document based on the ability to provide the minimum required initial capital and start-up costs
Evidence of the ability to cover other expenses in a business setting up procedure in Germany, including licensing fees, office space, and operational requirements.
September 16, 2024
A summary of the crucial points for self-employment through import or export in Germany
To answer your questions regarding import or export in Germany, you can get help from the following institutions and authorities:
Rules and regulations:
• German Federal Office of Economics and Export Control (BAFA): It is possible to see the regulations related to import or export restriction of commercial goods here.
• German Federal Agriculture and Food Agency (BLE): This department is responsible for checking export or import restrictions of agricultural products.
• Customs: You should get complete information about customs rules and regulations. You can access this information through the Atlas electronic system and handle your customs affairs online.
Information on countries, markets, and a database for searching business partners
• Foreign chambers of commerce, as your contacts in the target country, can provide information in this field.
• German trade and investment also provide great information and support international businesses.
• You can also search for information and business partners on the iXPOS portal.
Export insurance
• Click here to enter the federal information portal related to export insurance in Germany.
Foreign trade statistics and data
• The Federal Bureau of Statistics provides foreign trade data.
• These data are presented graphically in the Foreign Trade Statistical Atlas.
August 24, 2024
A brief about querying the information of a company in Germany
You can use the following sources if you intend to buy a specific company in Germany and want to inquire about some tax, legal, and credit information before purchasing the company:
1. Inquiring about the company's registration history, legal status, and its managers through the Handelsregister website
2. Access to annual reports, balance sheets, and financial information of the company through the Bundesanzeiger website
3. Inquiring about the company's possible lawsuits through local judicial authorities in Germany
4. Inquiring about the company's tax situation through tax consultants or local auditors
5. Receiving a comprehensive report of the company's financial, credit, and judicial status through validation companies
July 17, 2024
An overview of start-up grants in Germany
If you dream of starting your own business in Germany, you must be very persistent and incur huge expenses. Most start-up entrepreneurs in Germany cannot provide enough capital to start a business alone. There are many options for financing businesses in Germany, especially in the start-up phase. The most important is the start-up grant awarded to young entrepreneurs by the German Employment Office. To apply for it, you must have a coherent business plan and obtain confirmation from specialized and reliable institutions in Germany indicating that your business idea is viable. You can also use a KfW start-up loan to finance your business or receive a grant from other development or guarantee banks in Germany.
June 25, 2024
The legal form of limited partnership with shares (Kommanditgesellschaft auf Aktien, KGaA) in Germany is a combination of the structure of both joint stock companies (AG) and limited partnership (Kommanditgesellschaft). A limited partnership with shares (KGaA) like stock companies in Germany must be commercially registered. Also, it should register its activity with the regional trade office.
May 19, 2024
Information on UG or mini-GmbH companies at a glance
• The entrepreneurial company (UG) has existed since 2008.
• It is a particular form of limited liability company (GmbH), not an independent legal form.
• It is also colloquially called a mini-GmbH.
• The required capital for establishing a UG in Germany is 1 euro.
• Shareholders must keep one-quarter of the company's annual net profit to compensate the initial capital.
• By providing 25000 euros, you can convert it to a GmbH.
April 29, 2024
One of the common questions of our clients is often related to the purchase conditions and how to conclude a GmbH company purchase agreement in Germany. […]
April 22, 2024
Summary of important information about the VAT number in Germany
• The responsible tax office, as one of the departments involved in the business registration process in Germany, will automatically be notified of your business registration at the trade office.
• You must apply for a sales tax number when you start your business in Germany and as soon as the business license is available. The reason for this is that you have to correctly record all the financial transactions of your business in the accounts from the beginning.
• Receipt and collection of sales tax is part of a commercial activity. Finally, you must pay it to the tax office by mentioning your requested tax number.
• To obtain a VAT or sales tax identification number, you can submit your application online when registering your business and as part of your tax registration. Another way is to submit your request in writing and directly to the responsible federal tax office.
• VAT number is used in Germany to facilitate trade with other EU member states. Note that the corresponding country code will be placed in front of the numerical sequence.
• The German sales tax law explicitly states that you can use the VAT ID number on your invoices instead of the personal tax number.
• Small businesses in Germany are not required to declare sales tax as long as they do not exceed the limit. It is essential for cross-border trade in the European Union to Obtain a VAT identification number.
March 19, 2024
The new immigration rules in Germany at a glance
In 2023, the German government created new changes to the immigration rules for skilled workers. These changes have been made to attract skilled foreign labor and solve the labor shortage in Germany. The significant changes are related to the following:
• Requirements for obtaining a blue card
• Recognition of educational qualifications
• Introduction of opportunity card
Generally, according to the changes made in the immigration laws to Germany, a broader range of jobs with lower earnings will be eligible to obtain the German Blue Card. There is no requirement to recognize educational qualifications before entering Germany. If specialists get enough points, they can enter Germany using the opportunity card and search for their qualified job.
