Fraud Blocker How to register your company in Germany in 12 steps
Step-by-step guide

Register your company in Germany

Get started in Germany

Germany, with its robust economy and strategic location in Europe, offers a fertile ground for entrepreneurs and businesses. If you’re considering tapping into this dynamic market, understanding the nuances of German business registration is essential. Here’s a comprehensive guide to help you navigate the process of setting up a company in Germany.

We’re here to help

Your local partner
in Germany

Native HR-experts

Our local HR team has a deep understanding of the local business culture in Germany and fluent language skills to provide you with the right support and service for you expansion needs.

20+ years of experience

Our experience in international business expansion goes beyond 20 years. This experience allows us to help you achieve your business expansion goals in a correct, efficient and compliant manner.

Customized solutions

At Parakar, we offer personalized solutions based on your specific growth ambitions. Whether a multinational or a small business, we’ll sort it out.

12 steps to register a company in Germany


Step 1: Choosing the right business structure

Your journey into the German market starts with selecting an appropriate legal form for your business. Options include Gesellschaft mit beschränkter Haftung (GmbH), Aktiengesellschaft (AG), and Unternehmergesellschaft (UG).

Each structure has specific implications in terms of liability, capital requirements, and corporate governance as outlined in German corporate law.


Step 2: Crafting a detailed business plan

A well-thought-out business plan is crucial when starting a business in Germany. It should detail your business objectives, market analysis, financial projections, and growth strategies.

In Germany, a robust business plan is not only a tool for strategic planning but also essential for attracting investors and partners.


Step 3: Securing a business address

Registering a company in Germany requires a registered office address. This address will be the official location of your business and is necessary for legal and administrative purposes. Choose a location that aligns with your business needs and target market.


Step 4: Opening a corporate bank account

Before registering your company, you need to open a corporate bank account in Germany. The initial share capital, as per your chosen legal form, needs to be deposited into this account. The GmbH, for instance, requires a minimum capital of €25,000.


Step 5: Notarizing incorporation documents

Incorporation documents such as the articles of association need to be notarized. This step is mandatory under German corporate law and ensures the legal establishment of your company.


Step 6: Registering with the Commercial Register

The next crucial step is registering your company with the local Commercial Register (Handelsregister). This involves submitting the notarized documents and other necessary paperwork. Upon successful registration, your company is legally recognized in Germany.


Step 7: VAT registration

If your business activities require charging VAT, you must register for VAT (Umsatzsteuer) with the local tax office. This is essential for tax compliance and is a key component of doing business in Germany.


Step 8: Complying with the Germany Commercial Code

The Germany Commercial Code (Handelsgesetzbuch) sets out the regulatory framework for business operations in Germany. Compliance with this code is essential for legal and financial operations, including bookkeeping, financial reporting, and audits.


Step 9: Understanding the entrepreneurship ecosystem in Germany

The entrepreneurship ecosystem in Germany offers various support systems, including business incubators, accelerators, and networking opportunities. Engaging with this ecosystem can provide valuable insights and support as you start your business.


Step 10: Hiring employees and setting up payroll systems

When hiring employees, you need to adhere to German employment laws. This includes drafting employment contracts, setting up payroll systems, and ensuring compliance with labor standards and social security requirements.


Step 11: Navigating the German business environment

The business environment in Germany is characterized by efficiency, innovation, and strict adherence to regulations. Understanding this environment, including market trends, consumer behavior, and competition, is crucial for your business strategy.


Step 12: Regular compliance and reporting

Maintaining compliance with ongoing legal and financial obligations is crucial. This includes timely tax filings, adhering to corporate governance standards, and fulfilling reporting requirements.

The correct way

How Parakar can help you register your company in Germany

Registering a company in Germany is a structured process that opens up numerous opportunities in a leading European economy. By meticulously following each step – from choosing the right legal structure to ensuring ongoing compliance – your business can successfully integrate into the German market. Embrace Germany’s dynamic business environment and embark on a journey of growth and innovation.

Parakar will support the client through the whole process as part of our entity and enablement services, customizing your entity to fit your needs and employ your team compliantly, as well as supporting you with our ongoing dynamic HR and Payroll services.

Let’s meet

German expansion guide

Let us guide you in your global expansion. Discover the benefits of expanding your business to Germany!

Steyn Geerts International Sales Consultant

This field is for validation purposes and should be left unchanged.

You’re welcome, we’re Parakar

Office Netherlands +31 85 2010 004
Office Germany +49 3222 109 47 14
Office Ireland +353 15 137 854
Office Belgium +32 2 592 0540
Office France +33 18 48 89 879
Office Spain +34 932 201 410
Office UK +44 2036 0862 58
Office Italy +39 0282 944 661
Office Portugal +351 305510191
Office Poland +48 221031254