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Graduated from a German University: Setting Up a Business?

Frage

I have recently graduated from a German University with the Master degree in International Management. I am now having 18 months of time for job search. Now I want to setup a company in Germany and I am working on a business plan. I want to ask a few questions: Can I register a company being a 50 % partner in business with a German citizen, who is also having a 50 % partnership? Can I still be 50 % partner, being on Job search visa for 18 months? Can I just register a company and work somewhere else, until the company starts producing any income?

Antwort

www.make-it-in-germany.com provides international professionals with information on working and living in Germany. Detailed information on setting up a business are as well as specific information for graduates of German universities are also available on “Make it in Germany”.

Self-Employment:
As a graduate of a Germany university, you are allowed to set up a business as a self-employed entrepreneur (“Gewerbe”) or founding in a team. You can get a residence permit for self-employment (section 21 (1) of the Residence Act), if you satisfy the following requirements:

  • There is commercial interest or regional demand for your products or services.
  • Your business activity is likely to have a positive impact on the economy.
  • You have secured financing for your business by way of capital or a loan commitment.
  • If you are over 45 years old, a residence permit will only be issued to you, if you can also provide proof of adequate provision for old age.

Dependent employment:
As soon as you have a job offer, which corresponds to your qualifications, you can choose whether you want to apply for a German residence permit or an EU Blue Card for the next part of your stay. Various conditions are attached to both these residence permits (read more here). The EU Blue Card is tied to specific employment with a particular employer for the first two years of residence. Any highly-qualified employment can be taken up subsequent to this. Self-employment is however not permitted. Source: BAMF.

Living permanently in Germany:
Anyone holding an EU Blue Card can apply for a settlement permit after just 33 months, if they exercised skilled employment during that time. If you have an EU Blue Card and also have sufficient command of the German language, i.e. at least Level B1, this period is reduced to just 21 months - under two years. Graduates of German universities: As a graduate of a German university, you can apply for a settlement permit after just two years. This is on condition that after completing your studies you held a residence title for the purposes of employment or self-employment, or an EU Blue Card, for at least two years. Moreover, you need to have a job commensurate with your qualifications and to have paid the statutory pension insurance for 24 months. More information you will find on „Make it in Germany“.

For your individual case, we strongly recommend you to contact your foreigners’ authority (“Ausländerbehörde”). For a first personal advice according your residence status you may also contact the “Hotline Working and Living in Germany” under the telephone number +49 30 1815 - 1111. The service is provided in German and English and is free of charge.

We wish you all the best for your future plans.

* Please note:
The information presented here is a general service offering. Only the German missions and the foreigners’ authorities are responsible for the issuance of visa resp. residence permits. For further questions, please contact directly the respective authority.

Source: Justina Alichniewicz
Projekt „Make it in Germany“
Internet: www.make-it-in-germany.com
Institut der deutschen Wirtschaft Köln e.V.
März 2019

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