gGmbH formation: Process, costs and services at a glance - firma.de

gGmbH formation: Kickstart your non-profit organisation with firma.de

Focus on your mission and not bureaucracy.

  • Get up and running as quickly as possible
  • Let us handle the paperwork for you
  • Receive ongoing support from a dedicated consultant
Compare Packages
or go straight to the Classic package
dreambusiness
Launchyour
Our customers Uber askCharlie caroobi movinga

Our gGmbH packages: Tailored solutions for your formation

Classic

Includes personal telephone consultation and all services for forming a gGmbH
444 €
/

one-time*

*Net price
Top features:
  • Company name check with the Chamber of Commerce and Industry (IHK)
  • Notary appointment in your city of choice
  • Preparation of the opening of your company bank account
  • Handling of your company's entry into the commercial register (Handelsregister)
  • Preparation of your trade registration (Gewerbeanmeldung)

firma.de

checked

A dedicated consultant

checked

Contract and document templates

checked

Checklists and form pre-filling

checked

Coordination and referrals

checked

On demand telephone support

ETL IP Patent- und Rechtsanwaltsgesellschaft mbH

Protect your brand, company name and logo in Germany

Provision of legal services is by ETL IP Patent- und Rechtsanwaltsgesellschaft mbH, Clayallee 343, 14169 Berlin.

Protect your company’s most valuable asset with an EU trademark

Provision of legal services is by ETL IP Patent- und Rechtsanwaltsgesellschaft mbH, Clayallee 343, 14169 Berlin.

Other Services

Digital handbook for founders: Firma gründen (currently only available in German)

Obligation-free business address offer by REGUS

Free 30-day trial of meineSCHUFA premium

Placetel all-in-one telephone solution

Obligation-free insurance check by AXA or Hiscox

All-In

Classic package plus
- bookkeeping
- annual accounts
583 €
/

one-time*

*Net price
All features of the Classic package plus:
  • Set up of bookkeeping services
  • Set up of financial accounting

firma.de

checked

Direct line to the firma.de executive team

checked

Set up of financial accounting €100 (plus preparation of annual accounts for €999)

checked

Set up of bookkeeping services €39 (plus €75 for up to 40 entries per month)

checked

A dedicated consultant

checked

Contract and document templates

checked

Checklists and form pre-filling

checked

Coordination and referrals

checked

On demand telephone support

ETL IP Patent- und Rechtsanwaltsgesellschaft mbH

Protect your brand, company name and logo in Germany

Provision of legal services is by ETL IP Patent- und Rechtsanwaltsgesellschaft mbH, Clayallee 343, 14169 Berlin.

Protect your company’s most valuable asset with an EU trademark

Provision of legal services is by ETL IP Patent- und Rechtsanwaltsgesellschaft mbH, Clayallee 343, 14169 Berlin.

Other Services

Digital handbook for founders: Firma gründen (currently only available in German)

Obligation-free business address offer by REGUS

Free 30-day trial of meineSCHUFA premium

Placetel all-in-one telephone solution

Obligation-free insurance check by AXA or Hiscox

Net prices

Want to go for the big exit? Minimise taxes with our Holding packages

gGmbH packages: Tailored solutions at fair prices

ClassicAll-In
firma.de
Direct line to the firma.de executive team
Set up of financial accounting €100 (plus preparation of annual accounts for €999)
Set up of bookkeeping services €39 (plus €75 for up to 40 entries per month)
A dedicated consultant
Contract and document templates
User friendly opening balance sheet template
Employment contract template (part-time)
Employment contract template (full-time)
Temporary personnel contract template
Internship contract template
Loan contract template
Freelancer contract template
Letterhead, legal disclosure and invoice templates
Checklists and form pre-filling
Completion of the trade registration form (Gewerbeanmeldung)
Coordination and referrals
Timely preparation of your Trade registration (Gewerbeanmeldung)
Coordination of all necessary legal formalities
Timely preparation of your tax office questionnaire (Finanzamtfragebogen) for the application of your VAT ID (USt.-ID)
An expert consultant to guide you through the process
Referral to a qualified tax adviser in your area
On demand telephone support
ETL IP Patent- und Rechtsanwaltsgesellschaft mbH

Protect your brand, company name and logo in Germany

Provision of legal services is by ETL IP Patent- und Rechtsanwaltsgesellschaft mbH, Clayallee 343, 14169 Berlin.
OptionalOptional

Protect your company’s most valuable asset with an EU trademark

Provision of legal services is by ETL IP Patent- und Rechtsanwaltsgesellschaft mbH, Clayallee 343, 14169 Berlin.
OptionalOptional
Other Services
Digital handbook for founders: Firma gründen (currently only available in German)OptionalOptional
Obligation-free business address offer by REGUSOptionalOptional
Free 30-day trial of meineSCHUFA premiumOptionalOptional
Placetel all-in-one telephone solutionOptionalOptional
Obligation-free insurance check by AXA or HiscoxOptionalOptional
444€ excluding tax583€ excluding tax
StartStart

Note:
The notary fees and the costs for entry in the commercial register (Handelsregister) are not included in the price and will be charged separately.
firma.de Firmenbaukasten AG does not provide legal advice itself but works exclusively with lawyers and independent tax advisers who specialise in the field of limited liability entrepreneurial companies. Please make an appointment: +49 611 17207-0 or by e-mail at support@firma.de. complete comprehensive

Automate your gGmbH formation with us

  • benefit-star

    Limited liability

    Shareholders of a gGmbH are not personally responsible for the organisation’s debts and liabilities but only liable with their share capital. The minimum capital share for a gGmbH is € 25,000.

  • benefit-coffee

    Tax concessions

    Non-profit corporations such as gUG or gGmbH are exempt from corporate tax (Körperschaftssteuer) and trade tax (Gewerbesteuer). These corporations are also authorised to issue donation receipts and may benefit from lower VAT.

  • benefit-speed

    Greater shareholder control

    Unlike the management structures of registered societies or associations that give voting rights to their members, gUG and gGmbH shareholders are in full control of the organisation.

Set up your business with firma.de

  1. You authorise firma.de to set up your company.
  2. You receive expert advice from our consultants.
  3. We arrange your company name check with the IHK (chamber of commerce).
  4. We arrange and schedule your notary appointment in your city of choice.
  5. After your notary appointment we arrange the opening of your company bank account.
  6. Immediately after your Handelsregister (commercial register) registration, we prepare your Gewerbeanmeldung (business registration) and Finanzamtfragebogen (tax office questionnaire).
  7. We refer you to a qualified tax adviser for an opening balance sheet consultation session.
  8. You start doing business!
Start now
Customer Story

Xibit

"Many of the actors that can help young founders form companies in Germany either charge high hourly rates or want equity for their time and effort. firma.de’s services have fixed-prices because it’s a company by entrepreneurs for entreprenuers."

See all customer stories

Frequently asked questions about the gGmbH

What is a gemeinnützige GmbH (gGmbH)?

The gGmbH is a non-profit company with limited liability. The abbreviation stands for "gemeinnützige Gesellschaft mit beschränkter Haftung".

Non-profit GmbHs as well as non-profit UGs have a charitable purpose and consequently benefit from tax exemptions.

Both the gGmbH and gUG are special forms of the regular GmbH and are subject to the same German Limited Liability Companies Act (Gesetz betreffend die Gesellschaften mit beschränkter Haftung).

What is a non-profit UG (gUG)?

The gUG (gemeinnützige Unternehmergesellschaft) is a non-profit organisation, just like the gGmbH. The gUG is the smaller version of the gGmbH, just like the UG is the smaller version of the GmbH.

What is the difference between a non-profit UG (gUG) and a non-profit GmbH (gGmbH)?

The main difference between the two legal forms is the shareholders’ required share capital. gUG founders only need a minimum of € 1.00 per shareholder, while to set up a non-profit GmbH, founders have to come up with € 25,000.

Due to this difference in share capital, the gUG shareholders must build up annual reserves until the company's share capital has reached € 25,000. The differences parallel those that exist between the regular versions of the UG and GmbH.

What is the liability of a gGmbH?

The gGmbH is only liable for damages with the company's capital and not with the shareholders’ private assets.

What rights do partners of a gGmbH have?

The articles of association set out the obligations and rights of the shareholders. For example, the statues contain the right to dismiss managing directors and certain rights to information and inspection.

What advantages does a gGmbH offer?

Independent decision making

Within the other form of a not-for-profit association called a Verein, usually every member has one vote in deciding business decisions. Within a gUG or gGmbH, the shareholders make the business decisions.

Although it is possible to vote on the business procedure of a gUG or gGmbH, such voting is not legally binding.

When conducting your business within a gUG or gGmbH, you are not dependent on member decisions, as is the case when working in an association.

Limited liability

The gGmbH is only liable for damages with the company's capital and does not extend to the shareholders’ private assets.

Tax benefits

Non-profit companies like gUG or gGmbH are exempt from corporation tax and trade tax. They are also authorised to issue donation receipts and under certain conditions benefit from reduced VAT.

Professional management

A gGmbh can use its profits or donations to employ full-time management to become a more professional operation. In comparison, regular associations (Vereine) are run by members on a voluntary basis.

What is a charitable corporate purpose?

Compliance with the following German laws for non-profit organisations (Gemeinnützigkeitsrecht, §52 Abgabenordnung) ensures a gGmbH receives and maintains its non-profit legal status:

  • The company has to pursue at least one charitable, benevolent or religious corporate purpose.
  • The company's purpose must be exclusively altruistic and transparent.
  • Business activities must be designed to fulfil the company's charitable purpose.
  • The articles of association of the company must state that its assets cannot be distributed if the company is dissolved or the charitable purpose is no longer pursued (the shareholders' share capital is exempt from this rule). Distribution of its assets is only possible if the shareholders themselves are non-profit legal entities.
How can the profits of a gGmbh be used?

While shareholders of a regular GmbH can distribute the company profits annually, this option is not available to owners of a gGmbH. Building up capital reserves is also restricted.

What are the tax benefits of the gGmbh?

gGmbHs are exempt from corporation and trade tax companies can issue donation receipts which are tax deductable for donors.

If a gGmbH generates profits or other economic benefits, it is designated as a special purpose enterprise (Zweckbetrieb) and must pay VAT. However, due to its non-profit status, the VAT is at the low rate of 7%.

What is important for the annual accounts of your gGmbH?

The annual accounts of a GmbH and a gGmbH are very different. Depending on the company size, different rules apply to the balance of accounts, publication and disclosure.

Does the disclosure obligation apply to the gGmbH as well?

Whether a gGmbH has to disclose its annual accounts and publish it in the German Federal Gazette (Bundesanzeiger), depends on company size, sales and total assets.

When should you convert an association (Verein) into a gGmbH?

This option is especially beneficial if your association has a large amount of capital.

The gGmbH combines the benefits of a public charity (gemeinnütziger Verein) with those of a limited liability company.

Want to learn more about gGmbH companies?

  • gGmbH

    What is the German non-profit limited liability company?

  • Company Formation Master list

    All our articles about forming a company categorised.

  • Register a company in Germany

    A company formation checklist

  • Master list

    Accountancy

  • EÜR

    Everything you need to know about the Einnahmenüberschussrech-nung

  • Lohnsteuer

    Get to know all about wage tax in Germany

  • Jahresabschluss Checklist

    How to manage your end-of-year accounting