What Documents Do You Need to Register in Germany?

Germany is recognised as a commercial hub in the EU. In the EU, this country is seen as a major powerhouse. All of these perks encourage investors to register a company in Germany. Germany is considered as one of the European Union's economic powerhouses. There have been significant changes on the German mainland as a result of government support and initiatives for Small and Medium Enterprises (SMEs). Small businesses are also referred to as 'Mittlestands.' For these businesses to run successfully, the government provides several perks and incentives.

In Germany, the government is helpful, giving training for all businesses to carry out all types of activities. In Germany, SMEs are regarded as the economy’s backbone. Entrepreneurs and investors can register a company in Germany because the economy is favourable for doing business. The German passport is regarded as one of the most powerful in the world. As a result, investors should think about the German company registration process of documents for Register in Germany

Benefits of Company Registration in Germany

The following are the benefits of company registration in Germany:

Transparency

When it comes to doing business, Germany is one of the most transparent countries in the world. Investors who choose to incorporate a company in Germany will find the process to be relatively simple. Furthermore, the German government offers a great deal of support to many businesses.

Infrastructure

World-class infrastructural facilities are offered in Germany. In Germany, there is a state-of-the-art telecommunications system. Apart from that, Germany has high-speed transportation infrastructure in the form of trains and other forms of infrastructure.

Less Corruption

Germany is regarded as one of the world’s least corrupt countries. According to the 2018 Transparency Index, Germany is among the top 20 countries in the world with the least degree of corruption.

No Exchange Controls for Foreign Investment

For international investment opportunities, there are no exchange controls. As a result, international companies and organisations are permitted to invest in Germany.

Eligibility Criteria for Company Registration in Germany

For company registration in Germany, the following criteria must be met:

Minimum Capital

The type of structure used in the German business registration process is determined by the capital required. Typically, an applicant would have to select a structure depending on the required minimum capital. The required minimum capital is EUR 25,000. However, some businesses only have a EUR 1 minimum capital requirement.

Organisational Structure

For company registration in Germany, the applicant must select the appropriate business structure. For this, the candidate would have to examine the above-mentioned business’s criteria and compare them to those of other businesses.

Compliances Required for Company Registration in Germany

The process of opening a company does not end with the registration of a company. There are a number of regular compliances that the applicant must adhere to in order for the organisation to run smoothly.

In order to register a company in Germany, you must meet the following requirements:

• Annual accounts: At least one shareholder meeting per year is required to decide on the company’s annual accounts
• Board meetings: This is dependent on whether it is indicated in the company’s articles of association
• Tax returns: Tax returns must be filed with the appropriate tax authorities at least once a year
• Corporate income tax: All companies in Germany are subject to corporate tax (Körperschaftsteuer) and trade tax (Gewerbesteuer), both of which are imposed by local governments. The rate of corporate taxation is 15.825 %
• VAT applicable is 19%
• The company would be required to file annual accounts with the German Federal Gazette under German Commercial Law (Bundesanzeiger). Financial statements must be audited on an annual basis.

Procedure for Registering a Company in Germany

• Obtain the company’s name from the local chamber of commerce
• Notarise the association’s files
• Open a bank account in Germany
• All articles of association will be filed with the business register by the notary.
• The business and standards of the establishment shall be reported to the local labour office
• Register with the professional of the specific trade
• Notify the local labour office of the company’s establishment
• Employees must be registered for health and social insurance
• Send the Documents for Register in Germany to the tax office.

Conclusion

Foreign investors who want to start a company in Germany can contact our team of experts, who will be able to guide them through the company registration process.

Also, Read:

• Company Formation in Germany for Non-Residents
• Company Formation Procedure In Germany