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Good reasons for the advice of a lawyer when founding a company

In Germany, the advice and preparation of the establishment of a company tailored to the individual case is carried out by lawyers. The lawyer draws up a tailor-made partnership agreement for the new company, taking into account the needs of the individual case. In addition, he is responsible for the notary's appointments and the application for registration in the commercial register. All the legal work associated with the incorporation of a company is usually taken from the founder by the lawyer.

For foreigners, the assignment of a lawyer is advisable, as he can also represent the founders at the time of formation. They do not then have to appear before the notary in Germany. The lawyer can also act as a trustee, so that the partners do not appear to the outside world.


To clarify tax issues, it may be advisable to consult a tax advisor, especially if larger transactions are planned or if the tax returns for the new company are to be handed over to a German tax advisor's office.

For the entry in the commercial register, it is necessary for the founders to declare that It is therefore necessary to ensure that the capital is paid into a company account. The new company can only work with the capital after its formation.

The share capital is not blocked on an account after its formation" in order to be available to the company creditors in the event of the company's other insolvency, as is often wrongly assumed. Rather, the capital is available for the company's business - but only after its foundation. The amount of the share capital entered in the commercial register thus does not provide any information about the actual assets of the GmbH except at the time of its foundation.

The easiest way is to have the required notarial deeds done by a notary public working in Germany. The prerequisites for the recognition of a notarisation performed abroad are quite complicated, and there are in any case delays to be feared if the notarisation did not take place in Germany.

The business letters of the GmbH must meet certain formal requirements. Since the limited liability company, which is in the process of being founded, can commence its business after the notarisation, but the entry in the commercial register usually takes a few weeks to complete, the problem arises as to whether special printed matter needs to be produced for the transitional period. However, it is usually sufficient to have the letterheads, etc. printed and to enclose the suffix "i. Gr." with the name of the company, so that the business partners are informed that the company is "in the process of formation".

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