Business registration; business registration by non-EU citizens

Before the start of an independent commercial activity is usually only a notification of the trade at the competent Chamber of Industry and Commerce or the Chamber of Crafts or the municipality in which the activity is carried out (§ 14 para 1 S. 1 Gewerbeordnung - GewO) required. When setting up vending machines of any kind as an independent trade, the notification is to be made to the competent authority of the main establishment (§ 14 para 3 GewO).

Trade is any not socially inferior, profit-oriented and permanently designed independent activity, except primary production (eg. e.g. agriculture), liberal professions (free scientific, artistic and literary activity of a higher nature, as well as personal services that require higher education) and mere administration and use of own property.

Any natural person (e.g., also partners in partnerships) is required to register. e.g. also partners of partnerships) or legal entity that starts a trade (main establishment) as well as the start of the operation of a branch office or a dependent branch office.

In the case of trades requiring a permit (e.g. In the case of trades requiring a license (e.g., real estate brokerage, hospitality) and craft activities, a permit or entry in the register of craftsmen is also required in addition to the trade notification.

Certain trades do not require a license, but are subject to special monitoring by the authorities (so-called trades requiring monitoring pursuant to § 38 GewO). The following trades are affected:

1) Purchase and sale of

a) high-value consumer goods, in particular consumer electronics, computers, optical products, cameras, video cameras, carpets, fur and leather clothing;

b) motor vehicles and bicycles;

c) precious metals and alloys containing precious metals, as well as goods made of precious metals or alloys containing precious metals;

d) precious stones, pearls and jewelry; or

e) scrap metals, insofar as they are not covered by subparagraph (c),

by establishments specializing in the trade of second-hand goods;

2) providing information on financial circumstances and personal affairs (credit agencies, detective agencies);

3) arranging marriages, partnerships and acquaintances;

4) operating travel agencies and arranging accommodation;

5) distributing and installing building security equipment, including key services; and

6) manufacturing and distributing special theft-related opening tools.

When registering a trade that requires supervision, the reliability of the trader is immediately checked. The applicant is therefore obliged to apply for a certificate of good conduct (§ 30 para 5 Federal Central Register Act) and information from the Central Trade Register (§ 150 para 5 GewO) for submission to the authority.
The foreign applicant is required to provide comparable proof of reliability (official certificate of good conduct or an extract from the criminal record of his home country or an equivalent document). If, on the basis of the foreigner's previous residence, it can be assumed that the above-mentioned certificates and proofs no longer contain or do not yet contain facts relevant to trade law, the foreign or German certificates can be waived.

Travel trade activities for which a travel trade card is required are not subject to notification. On the other hand, some activities that do not require a travel trade card (e.g., the sale of printed works in public places, the sale of foodstuffs from non-stationary points of sale) are subject to mandatory notification (Section 55c GewO).

The business registration must be made in writing using the form provided. The receipt of the business registration is certified by the competent authority.

About the business registration also other agencies (eg, tax office, Chamber of Crafts or Chamber of Commerce and Industry) are informed.

• Residence permit allowing self-employment
• Age of majority or approval of guardianship court

The notification must be made before the start of the commercial activity.

• Identity card or passport (copy)
• Non-EU foreigners: residence permit allowing self-employed activity
• Legal entities: Commercial register excerpt or comparable registration documents from abroad (with German translation)
• Civil law companies: partnership agreement
• GmbH in formation: a copy of the notarial contract of formation and a power of attorney of the founders, according to which the commencement of business is to be recorded already before the registration of the GmbH in the Commercial Register.
• Trades subject to supervision: certificate of good conduct and extract from the commercial central register (if necessary, substitution of proof of good conduct by affirmation in lieu of oath or similar acts)
• Foreigners: Proof of good character from the country of origin in certified copy and certified German translation
  (e.g. official certificate of good conduct, certificate of good character or extract from the criminal record of the home country or equivalent document as well as extract from the commercial register of the home country)
• Minors: power of attorney or authorization of the guardianship court
• Authorization: Written power of attorney and identification of the principal and the authorized representative