Register a Branch Office in Germany
Registering a branch office in Germany is a cost-effective alternative to establishing a subsidiary. Our law firm handles the complete preparation and registration process until entry in the commercial register, and supports you with tax services and opening a bank account. Trust our expertise for a smooth registration.
Learn more: Establishing a Subsidiary vs. Setting Up a Branch in Germany
| Costs of notarization and registration | depends on foreign entity - approx 400 EUR |
|---|---|
| Minimum share capital | no separate share capital required |
| Bank account | not required |
| Tax and Accounting service | required, can be provied by our accountants |
| Registration | yes, company register |
| VAT ID registration | optional |
Steps for Branch registration in Germany
Document Preparation
We draft all required documents, including the shareholder's resolution and trade register application. The managing director must sign the application, which must be certified by a notary public (with apostille and certified translation if needed) or at a German embassy/consulate.
Registration in Company register
Once we have the necessary documents and signatures we will apply for registration of the branch in the German company register.
Registration for taxes, social security
Our tax advisor team will gladly provide you with tax and accounting services and apply for a Tax Identification Number and VAT ID from the local tax office.
We also register the branch with the Social Security Office about your branch office and employee details.
Bank account
Generally, a bank account is not required for a branch office but we could support you to open a business bank account. In most cases a personal presence is not required.
Branch registration and necessary documents
To prepare the registration of the branch registration of foreign company in Germany we would need
- Notarized and apostilled company registration certificate plus certified translation
- Notarized and apostilled company articles of incorporation plus certified translation
- Notarized copy of managing director’s passport
A separate bank account is not required for the branch.
It takes about 1-3 months to register the branch, mostly depending on how long it takes to obtain the required documents for the foreign entity.
A branch can also register for EORI and VAT numbers but this needs to be filed under the name of the foreign company.
Benefits of a Branch Office in Germany
- Cost-Effective: Lower setup costs compared to establishing a subsidiary.
- Direct Control: Maintains tight operational control by the parent company.
- Simpler Administration: Reduced administrative burden compared to other business structures.
- Market Presence: Establish a local presence to engage with German customers and partners effectively.
Learn more: Establishing a Subsidiary vs. Setting Up a Branch in Germany
General information about a branch
A branch is not a separate legal entity from the enterprise of the main establishment. In legal and organisational terms it is part of the enterprise of the main establishment and, in that respect, subject to the laws of the main establishment. If the branch establishment is set up by a foreign corporation, its internal constitution is subject to the memorandum and articles of association as well as the applicable foreign law.Despite its internal dependency on the main establishment the branch participates in business transactions in a legally independent manner. The legal relationships of the branch establishment with its customers is subject to German law.
German law applies for the legal treatment of the branch establishment in Germany (more particularly entry in the commercial register).
In accordance with §§ 13 ff. HGB (German Commercial Code) a branch establishment is a branch which is geographically separate from the main establishment and which is created as an additional, permanent centre of the corporation and it is required to be registered in the trade register.
The branch must be organised in such a way that it is possible that it can attend legally independently in business transactions, i.e. the branch has to be able to continue existing in case of cessation of the main establishment. The branch’s transaction has to be the same business purpose as the entire corporation. The branch has to have a certain legal independence. It has to have its own management, the freedom of dispose in its own way as well as it is required that the branch has its own business assets allocated by the main establishment. Furhtermore the transactions of the branch are reported separately in the balance sheet of the corporporation.
Tax and accounting services
Our tax advisors can register the branch for tax and VAT purposes and provide general accounting and tax declaration services. Costs depend on turnover, monthly transactions and required services like payroll accounting, reporting etc. Here is a rough overview about the fees for a small operation
Why Choose Liesegang & Partner?
- End-to-End Service: We manage every step of the branch office registration, ensuring compliance with all legal requirements and minimizing hassle for you.
- Expert Legal Support: Our experienced lawyers provide detailed guidance and handle all legal aspects of the registration process.
- Comprehensive Tax and Accounting Assistance: Our partners offer full support for tax registration, VAT compliance, and bookkeeping, ensuring your branch office meets all German regulatory requirements.
- Bank Account Setup: Assistance with opening a German bank account to facilitate your business operations.
- Remote Registration: Complete the entire registration process remotely, without the need for you to be physically present in Germany.
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