Blue Card and self-employment in Germany

Can blue card holders in Germany have their businesses at the same time? What are the requirements, if possible? In this article from Wise Business Group, we will talk about the blue card and the possibility of self-employment in Germany.

Self-employment in Germany

One of my clients, whom we helped to get his residence title in Germany via blue card, has recently asked me if he can run a separate business while working for his employer.

He also asked me if he should inform any authority in Germany about this decision or register it somewhere, even if his business is just a simple idea whose profitability is not clear to him.

I had a one-hour consulting session with him, and I later decided to prepare my advice for him as an article and post it here as a newsletter so it might be helpful for other applicants who have more or less the same question.

The Possibility of Self-employment for blue card holders in Germany

Can a Blue Card holder in Germany be self-employed at the same time?

Yes, Blue Card holders in Germany can simultaneously work as self-employed individuals. However, they must meet certain conditions and requirements to do so.

Self-employment Conditions and Requirements

Firstly, the Blue Card holder must have a work contract in Germany that does not prevent him from practicing self-employment (particular clauses in some contracts prohibit the employee from self-employment).

They must also have the qualifications and experience to work in their chosen field. Some self-employed people in Germany require to get a license to run their business.

Secondly, self-employment must be the secondary activity to their primary employment in Germany. It means they must work at least 15 hours per week for their employer. Also, their self-employment cannot interfere with their primary employment or the purpose of their blue card.

Self-employment for Blue Card holders in Germany

However, since it might cause a bit of a risk to arrange a contract as such to get the residence title in the first place, other ways are more applicable.

The best practice is to establish a company. While keeping the company share, the applicants assign another person (preferably their spouse) as the managing director. In this way, the self-employment is not technically under their name. So, the applicants can dodge the risks of being involved in two jobs while holding the blue card residence.

Lastly, one must inform the immigration authorities of their intention to engage in self-employment and obtain the necessary approval before starting the activity.

Self-employment rules and requirements in Germany vary!

It is important to note that the rules and requirements regarding self-employment for Blue Card holders may vary depending on the specific circumstances and location. We recommend seeking professional advice and guidance before engaging in self-employment activities in Germany.

Self-employment in Germany

Now the question is whether the applicant should inform authorities other than the immigration office about his business even if he thinks it might not work or be profitable much.

Generally, if you start a business in Germany, you have to register it with the authorities. The registration process and requirements may vary depending on the legal form of your business, such as sole proprietorship, partnership, or limited liability company (GmbH).

Business registration in Germany

We recommend registering your business as soon as you start operating, even if it does not make much money. It is because of the legal obligations and tax implications associated with running a business in Germany, regardless of its size or profitability.

In addition, registering your business can provide you with legal protection, as it establishes your business as a separate legal entity from yourself. It can help protect your assets in legal action or bankruptcy.

If unsure about your business registration process or requirements, confer with a legal or tax professional. Also, you can contact the appropriate authorities in your area, such as the Chamber of Commerce or the local trade office (Gewerbeamt).

Is self-employment possible for blue card holders in Germany?

Yes, they can also be self-employed under the following conditions:

• Having a work contract in Germany that does not prevent self-employment and having the necessary permits for certain businesses

• Working for at least 15 hours per week for their employer in Germany and their self-employment does not interfere with their primary job and the purpose of the blue card.

• Working for at least 15 hours per week for their employer in Germany and their self-employment does not interfere with their primary job and the purpose of the blue card.

Self-employment requirements for Blue Card holders may vary by location and specific circumstances in Germany.

In addition, it is necessary to register a business in Germany as soon as you start operating, even if it is not very profitable at first.

Self-employment in Germany

You can contact us to receive a blue card residence and start self-employment in Germany. WBG consultants will accompany you in the business setup process and registering a company in Germany using their expertise and many years of experience. They will also provide you with the necessary information about the terms and requirements of the business you are looking for.

You can also fill out the following form and send it to us for an online consultation.