Germany GmbH vs UG
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
Germany Legal Entity Comparison
Basic Information
GmbH
UG
Ownership:
Consolidated Ownership
Ownership:
Consolidated Ownership
Limited Liability:
Positive
Limited Liability:
Positive
Publicly Participates In Capital Market:
Negative
Publicly Participates In Capital Market:
Negative
Shareholder / Director / Secretary Requirements
GmbH
UG
Requirements For Shareholders:
At least one shareholder
Requirements For Shareholders:
At least one
Requirements For Directors ::
At least one
Requirements For Directors ::
At least one
Legal Representative Not Mandatory:
Negative
Legal Representative Not Mandatory:
Positive
Local Directors Not Mandatory:
Positive
Local Directors Not Mandatory:
Positive
Local Secretaries Not Mandatory:
Positive
Local Secretaries Not Mandatory:
Positive
Registered Capital Requirement
GmbH
UG
Minimum Registered Capital Requirement:
1. Starting from 25,000 euros.
Minimum Registered Capital Requirement:
1. Starting from 1 euro in principle;
2. YCapital suggests a minimum of 100 euros. This will make the company registration, tax number application, and account opening process much smoother.
2. YCapital suggests a minimum of 100 euros. This will make the company registration, tax number application, and account opening process much smoother.
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:
The company must pay a certain amount of registered capital from its turnover annually until it reaches 25,000 euros.
Memo
GmbH
UG
Memo:
N/A
Memo:
N/A
DE
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
Learn More
DE
Germany
CI - Company Incorporation
German UG Company Registration + VAT + EORI
From EUR 3,250.00 / Company
Product Valid: Positive
Applicant Must Be Present: no
Applicable country/region
DE - Germany
Learn More
