Limited liability Company (Gesellschaft mit beschränkter Haftung)

The German limited liability company (Gesellschaft mit beschränkter Haftung, GmbH) is the most widely used legal form for corporations in Germany. The minimum share capital required to establish a German limited liability company is EUR 25,000. The German limited liability company is established by the founding shareholder(s) executing a deed of formation and articles of association in the presence of a German notary (Notar) or equivalent. The German limited liability company is deemed to exist on registration in the commercial register (Handelsregister). It is managed and legally represented by its managing directors (Geschäftsführer). Upon the death of a shareholder, the shares im the company pass to the heir (Erbe). Since the shareholders are not registered in the commercial register, the heir is not required to be entered in the commercial register. However, according to § 40 GmbHG, the list of shareholders to be submitted annually must be updated by the managing directors. The death of a managing director must be registered by all managing directors, §§ 78, 39 GmbHG.

 

 


Rate this description
 
 
 
 
 
 
 
3 Rates (100 %)
Rate
 
 
 
 
 
 
1
5
5
 

Glossary

Please select a letter in the character list and then select the desired expression in the left column.