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Europe · Limited Liability Company (GmbH) / Mini-GmbH (UG)

Register a company in Germany

Founders who need a heavyweight, highly credible EU entity and can fund €12,500+ capital — or who use a UG to start lean from €1.

Compare jurisdictions Find my fit
Government fee
$200
~€150 register entry + ~€30–50 publication
Corporate tax
~30% combined
headline
Min. capital
$27,500
paid-in
Setup time
2–4 weeks (3–6 weeks end-to-end for a non-resident)

Deep dives

Everything on Germany, in depth

How to register in Germany Read Germany company taxes Read Open a bank account Read Cost to register Read Germany vs a U.S. LLC Read

At a glance

How Germany scores for a non-resident

48/100
overall
Reach & trust 90
Tax efficiency 46
Remote & control 55
Cost 30
Banking 30
Speed 36

Relative edge

Heavyweight EU credibility — and a UG lets you start lean from €1.

Relative watch-out

A GmbH locks up €12,500 capital and the real tax burden is ~30–33%.

Which country fits me?

Scores are Lanzamo's editorial judgement (0–100, higher = better for a non-resident founder), built on the verified data on this page — guidance, not advice.

The essentials

Entity type Limited Liability Company (GmbH) / Mini-GmbH (UG) (GmbH)
Company registry Handelsregister (Commercial Register) official site →
Government fee $200 · Court/commercial-register costs are modest (~€150 entry + ~€30–50 publication). The real cost driver is the MANDATORY notarial deed: a standard custom GmbH deed runs ~€800–1,500, a simplified 'Musterprotokoll' (single shareholder/director) ~€230–300.
Annual government cost No government annual franchise fee. Recurring costs are accounting, mandatory annual financial statements published in the Bundesanzeiger, and tax filings. A UG must additionally retain 25% of annual profit as a reserve until it reaches €25,000.
Corporate tax ~30% combined · Headline corporate income tax (Körperschaftsteuer) is 15%, plus a 5.5% solidarity surcharge on it (= 15.825% effective), plus municipal trade tax (Gewerbesteuer ~14–17%, higher in big cities). COMBINED effective burden is roughly 30–33% — treat ~30%+ as the real rate, not 15%.
VAT / GST / sales tax VAT standard rate 19%; reduced rate 7%.
Minimum capital GmbH minimum share capital €25,000, of which at least €12,500 must be paid in before registration. The UG ('Mini-GmbH') can start from €1 but must retain 25% of annual profit until reserves reach €25,000.
Setup time 2–4 weeks (3–6 weeks end-to-end for a non-resident)

For non-resident founders

Can you run it from abroad?

The headline fee rarely decides it — these are the things that actually trip up a founder forming Germany from another country.

100% foreign ownership

Any adult or legal entity, regardless of nationality or residence, can form and own a GmbH/UG. 100% foreign ownership is allowed and there is no resident-director requirement.

Fully remote setup

Two remote routes: online formation via the Federal Chamber of Notaries' video-notarization platform (since Aug 2022), or a notarised + apostilled power of attorney to a German representative. Remote documents need apostille and certified translation.

Resident director required

No resident director or local shareholder required. A German registered business address is needed, and the managing director (Geschäftsführer) must be able to act for German authorities/banking — many non-residents use a local address service and advisor.

Banking for non-residents: Hard

A practical blocker: the €12,500+ capital must be deposited in a German business account before Handelsregister entry, and German banks are reluctant to open accounts for foreign-run companies without local presence. Fintechs (Qonto, Finom) and deposit workarounds are common; this step is the most frequent delay.

Accounting burden: High

The heaviest here: double-entry bookkeeping, monthly/quarterly VAT advance returns, annual corporate + trade tax + VAT returns, and annual statements published via the Bundesanzeiger. A German Steuerberater is effectively mandatory.

Why founders pick Germany

  • Top-tier credibility — a GmbH is one of the most respected entities in the EU
  • The UG ('Mini-GmbH') lets you start from €1 capital with the same limited liability
  • 100% foreign ownership and no resident-director requirement
  • Online/video notarization now allows fully remote formation

Watch out for

  • A GmbH requires €25,000 capital (€12,500 paid in at formation) — a real cash lock-up
  • Combined corporate tax burden ~30–33% (the 15% headline is misleadingly low)
  • Opening the mandatory German capital bank account is hard for non-residents
  • High ongoing compliance: trade tax, Bundesanzeiger filings, mandatory Steuerberater

Is Germany the right base for you?

Put Germany side by side with a U.S. LLC and 11 other jurisdictions — government fee, tax, capital and the resident-director catch — and decide with the full picture.

Compare all jurisdictions Germany vs a U.S. LLC

Official sources

Go straight to the authorities — these are the free, definitive sources for Germany.

Handelsregister (Commercial Register) Tax authority PwC Tax Summaries — Germany corporate income tax GTAI (Germany Trade & Invest, official) — Corporate Taxation Handelsregister — official German commercial register

Data reviewed June 2026.

Frequently asked questions

Can a non-resident register a company in Germany?

Any adult or legal entity, regardless of nationality or residence, can form and own a GmbH/UG. 100% foreign ownership is allowed and there is no resident-director requirement.

How much does it cost to register a GmbH in Germany?

The government fee is about $200 (~€150 register entry + ~€30–50 publication). Court/commercial-register costs are modest (~€150 entry + ~€30–50 publication). The real cost driver is the MANDATORY notarial deed: a standard custom GmbH deed runs ~€800–1,500, a simplified 'Musterprotokoll' (single shareholder/director) ~€230–300. There is no mandatory annual government filing fee. No government annual franchise fee. Recurring costs are accounting, mandatory annual financial statements published in the Bundesanzeiger, and tax filings. A UG must additionally retain 25% of annual profit as a reserve until it reaches €25,000.

Do I need a resident director to form a company in Germany?

No resident director is required. No resident director or local shareholder required. A German registered business address is needed, and the managing director (Geschäftsführer) must be able to act for German authorities/banking — many non-residents use a local address service and advisor.

What is the corporate tax rate in Germany?

Headline corporate income tax (Körperschaftsteuer) is 15%, plus a 5.5% solidarity surcharge on it (= 15.825% effective), plus municipal trade tax (Gewerbesteuer ~14–17%, higher in big cities). COMBINED effective burden is roughly 30–33% — treat ~30%+ as the real rate, not 15%.

Compare another country

United Kingdom 25% tax Ireland 12.5% tax Estonia 0% retained / 22% tax Netherlands 25.8% tax

See all 13 jurisdictions →