Rapidly Launch Your Business
in Germany

UG or GmbH. From the notary appointment to the trade register, from the tax number to the bank account, we run the process.

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7-14 days Average Setup Time
Apex Global
Active Process

Germany Company Formation Process

Application received · Notary and official documentation process in progress

Completion 75%
Initial Consultation
Completed
Document Preparation
Approved
Notary & Trade Registry
In Progress...
Banking & Tax Process
Pending
UG / GmbH Formation two options based on capital
1

Needs Analysis & Company Type Selection

The core difference is capital. A UG can be founded with one euro, while a GmbH requires 25,000 euros of share capital, at least half of which has to be paid in at formation. We work out which one fits your budget and your customer profile.

2

Document Preparation & Notary Process

The articles of association are drafted and the notary appointment is booked. In Germany a company cannot be formed until the deed is signed before a notary, so this step cannot be skipped.

3

Trade Registry & Tax Process

The notary files the case with the trade register (Handelsregister). Once the entry is made, the company becomes a legal entity. The tax office application for the tax number follows.

4

Bank Account & Operational Setup

The bank account is opened and the share capital is paid in. For a GmbH the trade register entry is not completed until the capital sits in a blocked account, so getting the order right matters.

Company Structure Comparison

Differences Between UG and GmbH

Short version: start with a UG if your budget is tight, choose a GmbH if you are selling to corporate buyers. The details are in the table.

Comparison Criteria
UG
GmbH
Best Use Case
Suitable for low-budget startups and newly established businesses
Suitable for more corporate and large-scale companies
Capital
Can be established with a minimum of €1
Requires a minimum capital of €25,000
Taxation
Subject to standard German corporate taxes
Subject to standard German corporate taxes
Corporate Image
Offers a more entry-level structure
Provides a stronger and more prestigious corporate image
Investment Potential
May be limited in attracting investors
More suitable structure for investors
Management Structure
Simpler and more flexible management
More structured and corporate management
Official Processes
Faster and lower-cost processes
More detailed and costly processes
Flexibility
Flexible structure for beginners
More stable but less flexible structure
Growth Potential
Suitable for medium-scale growth
Ideal for high growth and corporate scaling
Foreign Entrepreneurs
A practical option for starting
More suitable for long-term investment

Which structure is right for you: UG or GmbH?

Let’s determine the most suitable company structure in Germany together.

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FAQ

Frequently Asked Questions About Company Formation in Germany

The questions we get most often about the UG and GmbH difference, the notary step, trade register entry and the tax number.

Do I need to go to Germany to set up a company?
The notary step takes place in Germany. Representation by power of attorney is possible, so in most cases you do not need to travel. Banks sometimes ask the director to verify identity in person, and we settle that before the application.
Which company types are most commonly preferred in Germany?
UG and GmbH. A UG can be founded with one euro of capital but has to set aside part of its annual profit as a reserve until it reaches the GmbH threshold. A GmbH is founded directly with 25,000 euros.
How long does it take to set up a company in Germany?
The notary appointment, trade register entry and tax office application run one after another, so the process usually takes a few weeks. The step that waits longest is normally the tax number.
What is the difference between UG and GmbH?
The difference is mainly capital. A UG can be founded with one euro but must retain part of its profit as a reserve until it reaches the GmbH threshold. A GmbH is founded directly with 25,000 euros and reads as a more established structure in the market.
What are the advantages of setting up a company in Germany?
VAT registration and cross border selling inside the European Union, a public and trusted registry entry, euro based banking, and access to Amazon’s German warehouse.
What documents are required to set up a company in Germany?
Passport, proof of address, a preferred company name, the business activity and shareholder details. We draft the articles of association, which are then signed before the notary.
Why is the notary process important?
In Germany the articles of association for a UG or GmbH are not valid without notarisation. The notary also files the case with the trade register, so the process continues from there.
What is trade registry registration?
The Handelsregister is the German trade register. The company becomes a legal entity once the entry is made and can start operating officially. The records are public.
Can I open a bank account in Germany?
Yes. For a GmbH the share capital has to be paid into a blocked account, so the banking step sits in the middle of the process rather than at the end. Banks may ask for extra documents and verification.
Do tax and accounting processes continue after the company is established?
Yes. Monthly or quarterly VAT returns, the annual corporate tax return and the balance sheet obligation all continue. German filing deadlines are not forgiving.