A further possibility of expansion is the permanent business establishment. The term "permanent business establishment" is derived from commercial law and refers to other branches or subsidiaries of the company which are established as business premises but are dependent on the head office. They are therefore branch offices which are not allowed to carry a business name other than that of the head office.
From a legal point of view, this is essentially a uniform business operation at separate physical locations. Invoices are also issued on behalf of the central office. There is no need for registration of the permanent business establishment in the commercial register. However, each permanent business establishment must be registered with the relevant commercial office.
The details of the head office (business name, registration court and commercial register number) must therefore be specified on the business letters of the permanent business establishment. In addition, the designation "Regensburg permanent business establishment" can be used. In the case of a head office which is not registered in the German commercial register, the registration information for the foreign company shall be indicated.
An essential difference between an officially registered branch office and a commercial head office is in the degree of independence of the branch, which is usually determined by the company itself.
- Consultinghouse can support expanding companies in the foundation process
- Registration to the commercial register and to the local trade office
- We help to align communications with German authorities
- We help to stay compliant when doing business in Germany
- Our cooperation partner Counselhouse can help expanding companies to reduce the legal risk when creating a permanent establishment in Germany
- Strong experience in supporting foreign companies to develop their business in Germany
- Our clients success is our success. Our objective is to grow along our clients
- We are family owned. Our long- term perspective allows for good strategy and decision-making
Related business cases
Our newsletter covers the news you need. Subscribe now.