Hahaha, good one, little padavan...
People outside of Germany really have no idea how sclerotic the state is. Mean while Germans suffer from the brain damage of having lived there their whole lives and don't see a problem with this.
If you think brain damage is too strong a word, the last time I brought it up a bunch of Germans came out of the wood work to defend an 8 week process as completely reasonable. Then when told I could do the same thing in Australia in 15 minutes they insinuated I was probably a criminal for wanting less paper work to open a business there.
You can bill as soon as you started the process afaik
I may be misremembering the exact steps because I tried drilling all those memories out of my head as soon as I left Germany.
Frankly, I understand how one can be annoyed at certain requirements but how do people imagine it without those? I can totally accept temporary annoyances since ultimately all of it serves to protect me from harm as a customer. I really don’t want to deal with companies whose founders already find the quite straightforward registration procedure too difficult.
The claim by others in this thread that you have to wait for the registration entry is false, your company is created the moment you pass notarization. While it makes proof of existence easier to be in the database, you can act and get bank accounts etc with those documents already. And I doubt the stability of your business idea if you cannot even wait a bit.
This isn't true in Spain - all company creation requires a notary, among other awkward steps (although as of relatively recently in some cases you can now do this over videoconference, without physically visiting at least). It's not as bad as what I hear of in Germany, but it's non-trivial and slow, and the banking setup process is similarly annoying and slower than it should be.
You can register as autonomo (an individual freelancer) easily with just a couple of forms, but that is not the same thing as creating a separate legal business entity (SL).
https://www.bnotk.de/en/tasks-and-activities/magazines/bnotk...
To be fair, I think the problem operating in Germany is its federated nature. And so you have similar issues to companies operating in other federated jurisdictions e.g. US.
If you look at the UK (through pre-Brexit eyes, of course) or Ireland, establishing and operating companies is significantly easier.
Any changes you need to make, adding more capital, change address, requires again, paperwork, tons of hours and again the notary.
Taxes are also quite difficult to figure out, I'm not German born, and my German is good for conversation, but to read and understand the tax has been a problem and I had to rely on very expensive tax consultants. (I know, this is my problem, not a german problem)
It's not that is hard, it's very time consuming, manual, and involves a lot of paperwork. Other countries do this much easier. Also, shutting down a company... I'm still trying to figure that out :(
It would have been significantly quicker if you used a well-connected law firm.
I know a number of friends of friends in Germany who have all visited the lawyer, the notary and the bank all in the course of one morning. The whole experience was orchestrated by the lawyer because they knew the notary and the bank manager. In some cases the lawyer even drove them around between locations. ;)
The Steuerberater then took care of the Finanzamt.
Of course this entails extra professional fees. But the point is that there are many examples out there showing it can be done in less than 8 weeks.
It’s crazy expensive, because of all the bureaucracy. The UG is supposed to be quick and easy to set up, requiring minimum capital… but the process proves expensive.
I agree, the process is not easy or nice in Germany, but it’s enough to start businesses despite all the complications and overregulation. But getting VAT number and bank account in other comments mentioned Estonia was huge pita for friends.
Lesson learned I guess!
My feeling about tax consultants in Germany is that most of them are scammers helping lazy people to enter mandatory things in corresponding Elster fields. The ones with knowledge are super rare. Better ask AI and then verify the information, that’s cheaper and makes more sense.
But sometimes I feel they are doing me a favor by taking my company, rather than me feeling like I'm hiring them as a service.
Also taxes will be much easier. Just get one of the countless apps where you add invoices, and they generate tax reports for you. With an LLC or when employing other people, getting a tax consultant is advised. IMO, they are not expensive - how many hours of your time are you willing to spend on this topic instead of paying e.g. 200 EUR/mo?
I’m nearly at 3.5k/year and I have barely 10 invoices a month that I need to process between incoming and outgoing lol
It might have changed, but a few years ago you could go from 0 to a fully functional limited company, with accounting, business account, registered address with mail forwarding, etc. in a matter of days, from the comfort of your sofa.
Possibly closer to the US Inc?