Setting up a business - Ways to self-employment

Health insurance [Krankenversicherung]
The statutory health-insurance fund needs to be informed about the move to self-employment. The fund will then examine whether this is a “full-time” activity. Here, a role is played by the hours worked and the likely level of income.

Tax office [Finanzamt]
If you are offering a professional service (i.e. are a member of the “Freie Berufe”, such as tax adviser, doctor, journalist), you only need to apply for a tax number from the tax office.

Trade office [Gewerbeamt]
Anyone else setting up a business must register their project with the trade office of the municipality in which the firm is opened.
To do so, you need:

The trade office automatically informs the following authorities with which you also have to be registered: tax office; accident insurance fund; chamber of industry and commerce or chamber of crafts; local court (trade register); trade supervisory office (responsible for the health and safety of your employees and customers; it checks ovens, drinks dispensers, etc.). Play safe and check whether all of these bodies have actually received the information.

Health office [Gesundheitsamt]
Depending on which sector you are working in, you may need a permit or a certificate of non-objection from the health office. This applies, for example, to new businesses in catering and the sale of foodstuffs. In the case of start-ups in catering or childcare, the health office and the trade supervisory office (varies from region to region) will also examine the standards of hygiene in your rooms. Also, you will need a certificate of good conduct from the police and confirmation from the chamber of industry and commerce that you have participated in a seminar on hygiene and the handling of food.

Construction Office (Bauamt)
If you wish to use rooms previously used for other purposes as your future operational rooms, you need to apply for a change in use from the relevant Construction Office. The planning of rebuilding work and of new buildings for commercial purposes must also be co-ordinated in good time with the construction office.

Trade supervisory office (Gewerbeaufsichtsamt)
Find out in good time before operations commence whether the rooms you plan to use meet statutory requirements.

Occupational accident insurance fund (Berufsgenossenschaft)
The Berufsgenossenschaft (BG) is the statutory accident insurance fund for staff members and also – depending on the sector – for the self-employed. If you employ staff, you must insure them at the relevant BG. Depending on the sector, you may be required to insure yourself there as well. If not, you can insure yourself on a voluntary basis. Enquire at the Association of Occupational Accident Insurance Funds (Deutsche Gesetzliche Unfallversicherung – DGUV).

Commercial register (Handelsregister)
Apart from very small businesses and companies organised as a GbR (Gesellschaft bürgerlichen Rechts), all companies must be entered in the electronic commercial register at the local court (Amtsgericht). The electronic commercial register is public and provides information about the company (name of company, name of owner, personally liable shareholder, etc.)

Chamber of crafts (Handwerkskammer)
If you are from an EU member state or an EEA state, you will enjoy a large degree of freedom to set up a business in the craft sector. The requirements for documentation of qualifications are based on EU law. Accordingly, you must have worked for between three and six years as a self-employed person or a company director in the relevant occupation.

If you are unable to provide documentation of the required number of years, you can still register as a craftsman in Germany if you have obtained a qualification equivalent to the German master-craftsman’s certificate (Meisterprüfung). You will need to demonstrate your skills by means of a diploma, examination certificate or other proof of skills from your country of origin. If the foreign certificate lacks proof of certain skills and knowledge, you can acquire these in an adaptation course or an aptitude test. Occupational experience alone is not adequate for craft occupations in the health sector.

If you come from a non-EU country and wish to set up in business in a craft occupation in Germany which requires permission, the rules of Germany’s Crafts Code (Handwerksordnung) will apply to you. Here, it may be possible for a foreign examination to be recognised as being equivalent to the Meisterprüfung. Naturally, you can also utilise all the long-standing or new exemptions.

Foreign freelancers can find information at
www.professionals-in-germany.de (www)