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Germany GmbH vs UG

GmbH is a legal entity in Germany, its full name is Gesellschaft mit beschränkter Haftung, abbreviated as GmbH. It is a form of corporation with limited liability. Unlike other legal entities, GmbH is not allowed to participate in the public market. According to German company law, GmbH requires at least one shareholder, but can have multiple shareholders. Additionally, GmbH must have at least one director to manage the company's affairs. Unlike legal entities in other countries, German GmbH requires the appointment of a legal representative, but non-Germans can serve as directors. Furthermore, GmbH does not require a company secretary. According to German company law, the minimum registered capital for GmbH starts at 25,000 euros and 50% of the registered capital must be paid before the company is established. In summary, GmbH is a limited liability company suitable for entrepreneurs who wish to operate business in Germany.
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GermanyFlag of GermanyGermany

Germany Legal Entity Comparison

Basic Information

GmbH
UG
Ownership:
Consolidated Ownership
Ownership:
Consolidated Ownership
Limited Liability:
Positive
Limited Liability:
Positive
Publicly Participates In Capital Market:
Negative
Publicly Participates In Capital Market:
Negative

Shareholder / Director / Secretary Requirements

GmbH
UG
Requirements For Shareholders:
At least one shareholder
Requirements For Shareholders:
At least one
Requirements For Directors:
At least one
Requirements For Directors:
At least one
Legal Representative Not Mandatory:
Negative
Legal Representative Not Mandatory:
Positive
Local Directors Not Mandatory:
Positive
Local Directors Not Mandatory:
Positive
Local Secretaries Not Mandatory:
Positive
Local Secretaries Not Mandatory:
Positive

Registered Capital Requirement

GmbH
UG
Minimum Registered Capital Requirement:
1. Starting from 25,000 euros.
Minimum Registered Capital Requirement:
1. Starting from 1 euro in principle;
2. YCapital suggests a minimum of 100 euros. This will make the company registration, tax number application, and account opening process much smoother.
Capital Injection Not Required:
Negative
Capital Injection Not Required:
Positive
Capital Injection Requirement:
1. 50% needs to be paid before the establishment of the company.
Capital Injection Requirement:
The company must pay a certain amount of registered capital from its turnover annually until it reaches 25,000 euros.

Memo

GmbH
UG
Memo:
Memo:
TKEG Expat ™ (Canada) General Germany Incorporation Service

TKEG Expat ™ (Canada) General Germany Incorporation Service

TKEG Expat ™ (Canada) Overseas Company Incorporation, Accounting, and Consulting Services

  • TKEG Expat Corporate Services - Company Formation Germany (GmbH)
    Flag of Germany
    DE
    Germany
    CI - Company Incorporation

    Company Formation Germany (GmbH)

    From EUR 3,875.00 / Company
    Product Valid: Positive
    Applicant Must Be Present: no
    Applicable country/region
    DE - Germany
    Learn MoreCompany Formation Germany (GmbH)
  • TKEG Expat Corporate Services - Company Formation Germany (UG)
    Flag of Germany
    DE
    Germany
    CI - Company Incorporation

    Company Formation Germany (UG)

    From EUR 3,250.00 / Company
    Product Valid: Positive
    Applicant Must Be Present: no
    Applicable country/region
    DE - Germany
    Learn MoreCompany Formation Germany (UG)

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