Germany

Why Germany

• The largest market in EuropeGermany has about a fifth of the EU population and a quarter of its GDP, so a German reference client carries weight across the region.
• Industrial customersThe country produces 29% of the EU's manufacturing value added, which means a deep base of buyers for software, automation and AI in production.
• Several hubs, not one capitalBerlin, Munich, Frankfurt, Hamburg and Stuttgart each have their own strengths, and 25 federally backed de:hubs connect startups with corporates and research.

Source: GTAI, market Germany · GTAI, de:hub initiative

Priority sectors

Source: Germany Trade & Invest

How companies enter

1. Step 1Soft landingA first trip built around booked meetings or a trade fair, to test interest and meet partners.
2. Step 2PilotA paid pilot with a local client or partner, often still billed from home. Expect careful procurement and contracts in German.
3. Step 3Local companyA GmbH (share capital of €25,000) or a UG, the mini-GmbH with lower starting capital, set up before a notary and entered in the commercial register once there is revenue or a team to hire.

Founders from outside the EU usually apply for the residence permit for self-employment, granted for up to three years when the business is financed and meets a demand in Germany, with a settlement permit possible after three years.

Source: Make it in Germany

Costs to plan for

• Notary fees, entry in the commercial register (Handelsregister) and trade registration
• Share capital: €25,000 for a GmbH, with at least €12,500 paid in before registration
• Tax advisor, bookkeeping and trade tax, which varies by municipality
• Salaries plus employer social security contributions, and office or coworking space

Source: GTAI, corporate taxation 2026 · NRW.Global Business, GmbH

Who can help