Germany GmbH vs AG

Germany GmbH vs AG

Legal Entity Comparison

Time of Update: 2026-03-31
GmbH is a legal entity in Germany, its full name is Gesellschaft mit beschränkter Haftung, abbreviated as GmbH. It is a form of corporation with limited liability. Unlike other legal entities, GmbH is not allowed to participate in the public market. According to German company law, GmbH requires at least one shareholder, but can have multiple shareholders. Additionally, GmbH must have at least one director to manage the company's affairs. Unlike legal entities in other countries, German GmbH requires the appointment of a legal representative, but non-Germans can serve as directors. Furthermore, GmbH does not require a company secretary. According to German company law, the minimum registered capital for GmbH starts at 25,000 euros and 50% of the registered capital must be paid before the company is established. In summary, GmbH is a limited liability company suitable for entrepreneurs who wish to operate business in Germany.

Germany Legal Entity Comparison

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Germany Legal Entity Comparison

Basic Information

GmbH
AG
Ownership:
Consolidated Ownership
Ownership:
Consolidated Ownership
Limited Liability:
Positive
Limited Liability:
Positive
Publicly Participates In Capital Market:
Negative
Publicly Participates In Capital Market:
Positive

Shareholder / Director / Secretary Requirements

GmbH
AG
Requirements For Shareholders:
At least one shareholder
Requirements For Shareholders:
Unrestricted
Requirements For Directors ::
At least one
Requirements For Directors ::
At least one
Legal Representative Not Mandatory:
Negative
Legal Representative Not Mandatory:
Negative
Local Directors Not Mandatory:
Positive
Local Directors Not Mandatory:
Positive
Local Secretaries Not Mandatory:
Positive
Local Secretaries Not Mandatory:
Negative

Registered Capital Requirement

GmbH
AG
Minimum Registered Capital Requirement:
1. Starting from 25,000 euros.
Minimum Registered Capital Requirement:
50,000 euros
Capital Injection Not Required:
Negative
Capital Injection Not Required:
Positive
Capital Injection Requirement:
1. 50% needs to be paid before the establishment of the company.
Capital Injection Requirement:
N/A

Memo

GmbH
AG
Memo:
N/A
Memo:
At least three members of the board of supervisors are needed to oversee the decisions of the board of directors.

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TKEG Expat Corporate Services - German Gmbh company registration + VAT + EORI
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Germany
CI - Company Incorporation

German Gmbh company registration + VAT + EORI

From EUR 3,875.00 / Company
Product Valid: Positive
Applicant Must Be Present: no
Applicable country/region
DE - Germany
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