Business start-up
Updated:
Saxony offers a wide range of opportunities and support for start-ups and founders from all over the world. If you have an innovative business idea and would like to take the plunge into self-employment, you will find important information and tips here on how to successfully launch and organize your start-up in Saxony.
Founding a company in Saxony
Would you like to work independently in Saxony? This is possible under various conditions. You can set up a business - for example a store, an IT company or a craft business. Or you can work as a freelancer, for example as a doctor, architect, interpreter, architect, artist or writer.
When you are self-employed, you are free to decide when and where you work. You can implement your own ideas and work independently.
The important thing is that you often need your own start-up capital. You also have to take out your own insurance and comply with various legal requirements.
Preparing for Self-Employment
If you are not from the EU, the EEA or Switzerland, you will need a residence permit for self-employed persons.
If you already have a residence permit for work, please check whether self-employment is permitted or whether you need to apply for a new residence permit.
You need a good business plan for the visa. In it you show
there is a demand for your offer in Saxony,
the region will benefit economically,
you have secure financing.
We recommend that you contact the regional advice centers at an early stage.
The Business Plan Workbook from the IQ Migrant Economy Unit or the business plan tool from the Unternehmenswerkstatt Deutschland and the start-up platform will help you to draw up your business plan.
In some professions you need:
a recognized qualification,
a license to practice the profession,
membership of a chamber.
For regulated professions, you must have your qualification recognized. Sometimes an additional qualification is required. Seek advice, e.g. from the Chamber of Crafts.
You can find out which qualifications and requirements you need to fulfill in order to register your self-employment in the professions dictionary from Wir gründen in Deutschland. You can also find an overview of activities and trades that require a permit on the website of the Leipzig Chamber of Industry and Commerce.
Find out about funding opportunities in our section on funding opportunities for business start-ups.
After you have received the residence permit for self-employment, register your business or your liberal profession.
Business registration
You can complete your business registration and the registration with the tax office via ELSTER directly in the start-up platform app and send it to the authorities.
To register your business, you will generally need: your valid passport, your registration certificate, your valid residence permit, a permit to exercise the profession (only necessary for businesses requiring a permit) and, in the case of trades, entry in the trades register.
Registration costs between €15 and €65. There may be additional costs for obtaining documents for commercial activities requiring a permit.
Once you have registered, you will receive a trade license and may operate your business. You can obtain information on this from the relevant trade office in the city in which you wish to register your business.
Freelancers
As a freelancer in the following professional groups, you must register directly with the relevant tax office(via ELSTER) no later than four weeks after starting your activity:
Doctors and health professionals
Legal, tax and business advisory professions
Scientific/technical professions
Language and information-providing professions
Journalists, photojournalists, interpreters, translators
Scientific, artistic, writing, teaching and educational activities
Ellipsis and the association EFBS Existenzgründung Freie Berufe Sachsen e.V. offer freelancers advice and support services when setting up and succeeding in business.
Legal form
If you want to set up a company in Germany, you must select a legal form in the business registration form. These include, among others
the sole proprietorship (often for freelancers),
the GmbH (a limited liability company)
or the GbR (a partnership).
You can find an overview of all legal forms on the business start-up portal. You can also use the start-up platform or the Unternehmerwerkstatt to find out which legal form suits your company.
When choosing the legal form and setting up your company, you should seek tax and legal advice. Specialists such as tax consultants or lawyers can help you avoid mistakes. Some legal forms must be entered in a register by a notary. The commercial register is kept by the local court. Which court is responsible for you depends on the location of your company. You can find this information on the Amt24 service portal.
Anyone wishing to become self-employed in Saxony should find out about the relevant professional associations and chambers.
For doctors in private practice, the Saxon State Chamber of Physicians is the right place to go, while the Chamber of Lawyers is responsible for lawyers in law firms.
Self-employed tradespeople must be entered in the register of tradespeople, which is done via the chambers of trades in Chemnitz, Dresden or Leipzig.
Commercial companies that do not belong to the skilled trades should contact the respective Chamber of Industry and Commerce in Chemnitz, Dresden or Leipzig.
In addition, the Landesverband der freien Berufe Sachsen offers support and information for members of the liberal professions.
You can find information on important contracts and insurance policies in the Insurance for the self-employed section.
After registering your business, the tax office will inform you of your tax obligations and provide you with a tax number that you can use for your invoices. As an entrepreneur, you generally have to pay VAT. You do not have to pay VAT if you are a small business owner (§ 19 UstG) and your annual turnover exceeds €25,000. You must always pay income tax.
There are some mandatory details that your invoices must contain:
Your address and the customer's address
Tax number or VAT ID
Invoice date and invoice number
Quantity/type of delivery/service
Date of delivery or provision of service
Gross and net amount, VAT rate or reference to tax exemption
Your bank details
Invoices must be kept for 10 years and commercial letters for 6 years. Seek advice from a tax consultant or accountant, especially in special cases such as invoices to customers outside the EU.
