Navigation

Frage

How much minimum capital is required to become eligible as a business person?

Antwort

The amount of financial resources needed to set up a business primarily depends on the structure of the business you are planning to set up. As a rule, the more financial resources you own, the more independent you will be. Ideally, equity should amount to at least 20 percent of the overall capital. Surveys have indicated that “insufficient securities” and “lack of equity” are the most important reasons for banks to turn down a credit application. More information on financing and funding you will find on “Make it in Germany”: http://www.make-it-in-germany.com/en/for-qualified-professionals/working/setting-up-a-business-in-germany/financing-and-funding

Please note: If you are not a Citizens from the European Union, Iceland, Liechtenstein, Norway and Switzerland you will need to apply for a residence permit for the purpose of self-employment in Germany. In order to get a residence permit you will need to fulfill a number of criteria. Amongst other things you will have to proof that the financing of your business is secured (by own capital or loan commitment, for example).
Further information about visa process and requirements you will find here: http://www.make-it-in-germany.com/en/for-qualified-professionals/working/setting-up-a-business-in-germany/visa-for-self-employment

Source: Justina Alichniewicz
Projekt „Make it in Germany“
Institut der deutschen Wirtschaft Köln e.V.
May 2016

Notice from the editor:

• English version of the business start-up portal
• Information concerning legal structures
  http://www.existenzgruender.de/EN/Die-ersten-Schritte/Gruendungsarten/inhalt.html
  and http://www.existenzgruender.de/EN/Die-ersten-Schritte/Rechtsformen/inhalt.html
• Checks and Overviews
• Investment Guide to Germany
• German Federal Central Tax Office: Foreign Investors Help Desk