German Business Relocation

A company incorporated in Germany can transfer its effective centre of management abroad without affecting its legal identity, subject to the approval of its shareholders in general meeting. As a result, the company loses its German nationality and must comply with the laws of its new host country. Equally, a foreign company may move its effective centre of management to Germany, in which case it must comply with the laws of Germany.

Despite the fact that the legal effect of a relocation has not been harmonised at the European and international levels, there has been a growing trend towards corporate mobility.

The shareholders are the people who have to take the decision to change the company's official seat. This entails amending the Articles of Association and the amendment has to be certified by a notary or notarized solicitor. The notary will also forward a notification to the German Trade Register.

The official seat has to be de-registered with the current commercial authority and re-registered at the new commercial authority. In addition, the change of the company's registration has to be reported to the German authorities. Here, the German authorities of the old as well as of the new region have to be informed about the companie's change of seat.

When planning to relocate a business, it is important to follow German regulations. Consultinghouse serves businesses by communicating with the German authorities and additionally our professional services can be provided to deal with individual business challenges, in order to ensure the smooth relocation of your business.