Head of International Corporate Law and Fintech Practice
Expert in fintech, crypto, and international corporate law with over 20 years of experience. Specializes in crypto licensing (VASP/CASP), iGaming business support, and international structuring, asset protection, and OSINT analytics for risk assessment and due diligence.
Business Setup and Support in Germany
Germany – one of the most attractive jurisdictions for doing business in Europe.
The country offers a stable economy, a transparent legal system, developed infrastructure, and access to the European market.
However, for a successful start and effective management of a company, it is necessary to comply with local corporate legislation, tax regulations, and bureaucratic procedures.
The law firm “Prikhodko & Partners” provides comprehensive business support in Germany: from company registration to full legal support, including tax planning, licensing, and protection of interests in courts.
Corporate law in Germany: business forms
In Germany, there are several popular organizational and legal forms for doing business:
GmbH (Gesellschaft mit beschränkter Haftung) – an analogue of LLC. The most common form for small and medium-sized businesses.
- Minimum capital: €25,000 (can be contributed in part from €12,500).
- Limited liability of founders.
- A director (Geschäftsführer) must be appointed.
UG (union company) – “simplified” GmbH with capital from €1.
- Ideal for startups.
- Annual capital increase of up to €25,000 for conversion to GmbH.
AG (Stock Company) – joint-stock company.
- Minimum capital: €50,000.
- Suitable for large companies planning to go public.
Branch or representative office of a foreign company– allows you to conduct activities without creating a separate legal entity.
Taxes in Germany (2025)
The German tax system underwent minor changes in 2025, but remains one of the most transparent in Europe.
The main taxes for businesses and individuals under current legislation are as follows:
- Corporate taxes
- Corporate tax (Körperschaftsteuer) – 15% + solidarity surcharge (Solidaritätszuschlag) of 5.5%, which together amounts to 15.825% of taxable income.
- Corporate income tax (Gewerbesteuer) – local tax, which varies depending on the municipality (on average 14–17%). In Berlin, for example, the rate in 2025 is 14.975%, while in Munich it is 15.825%.
- Total burden on company profits (together Körperschaftsteuer + Gewerbesteuer) is approximately 29–32%.
- VAT (Value Added Tax)
- Standard rate — 19% (applies to most goods and services).
- Discounted rate – 7% (applies to food, books, medicines, hotels and certain social services).
- Dividend tax (Capital income tax)
- Base rate – 25% + solidarity levy (5.5%), total 26.375%.
- If the shareholder is an EU resident, double taxation agreements may apply.
- Personal income tax (Einkommensteuer)
A progressive scale applies:
- 0–11,604 € – not taxable (basic non-taxable minimum).
- From €11,605 to €66,760 – the rate increases from 14% to 42%.
- Over €66,760 – 45% (tax for high incomes).
- Solidarity collection (+5.5%) is added to the income tax.
- Other important taxes
- Property tax (Grundsteuer) – depends on the municipality (0.3–1.5% of the cadastral value).
- Vehicle tax (Kraftfahrzeugsteuer) – depends on the engine capacity and environmental class of the car.
- Inheritance and gift tax (Erbschaftsteuer/Schenkungsteuer) – rates from 7% to 50% depending on the degree of relationship and the value of the property.
Recent changes in tax legislation (2025)
Reduction of tax breaks for startups – some support programs (e.g. for IT companies) are limited.
Increase in the tax-free minimum for individuals (from €11,208 in 2024 to €11,604 in 2025).
Changes in the taxation of remote workers – If an employee works from abroad, the company must take into account the norms of local tax law.
How to optimize taxes in Germany?
Prikhodko & Partners lawyers help businesses:
- Choose the optimal form of taxation (for example, GmbH or UG).
- Use international agreements to avoid double taxation.
- Document expenses in a way that reduces taxable income.
- To accompany tax audits and appeals of decisions of fiscal authorities.
How to open a business in Germany?
The registration process includes the following steps:
- Choosing a company form (GmbH, UG, AG, etc.).
- Preparation of documents (charter, founders’ data, certificate of origin of funds).
- Depositing capital into a special account.
- Notarization of the foundation agreement.
- Registration in the Trade Register (Handelsregister).
- Tax registration.
- Obtaining licenses (if required).
This process usually takes 2–4 weeks, but may take longer if additional checks are required.
Services of the company “Prikhodko and Partners” in Germany
Our team provides a full range of legal and consulting services:
For business:
- Company registration (GmbH, UG, AG, branches).
- Tax planning and optimization.
- Support of transactions (M&A, investments, contracts).
- Licensing and permitting documentation.
- Labor law: registration of employees, visas, contracts.
- Defense in courts and arbitration.
For individuals:
- Immigration law: obtaining a residence permit, EU Blue Card.
- Tax advice for expats.
- Inheritance law: registration of inheritance in Germany.
- Real estate: purchase, rental, taxes.
Why choose Prykhodko and Partners?
- Experience in the European market – We help clients in Germany, Poland, Austria and other EU countries.
- Individual approach – We analyze your business and offer optimal solutions.
- Full legal support – from registration to daily operational management.
- Saving time and money – we avoid mistakes that lead to fines or refusal of registration.
If you are planning to open a business in Germany or are already operating and need legal support, contact Prikhodko & Partners.
We guarantee a professional approach, meeting deadlines, and effective solutions for your business.
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Compensation for moral, material damage
Protection of honour, dignity, and business reputationContract Development for Business and Legal Entities
Licensing of business activities
Compensation for moral, material damage
Legal services in the field of cryptocurrency and blockchain
REGISTRATION OF COMPANIES AND OPENING OF BANK ACCOUNTS
Sale and purchase of ready-made firms
Grants and attracting investment
Business registration and support in Great Britain
Business registration and support in Switzerland
Business registration and support in the EU
Business Registration and Support in the Gulf Countries (GCC)
Business registration and support in Turkey
Business registration and support in USA
Lawyer for administrative cases
Legal services for medical businesses and doctors
Protection of honour, dignity, and business reputation
Real estate transaction support
Escort of the tender participant
Trial lawyer: support and defense in court
European Court of Human Rights (ECHR)
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