Buying an existing Business in Germany is a process that requires the transfer of shares from that company to the purchaser. However, this transfer needs to take place before a public notary in Germany. Purchasers need to provide the appropriate identification documents, which the notary will verify and authenticate. The process of purchasing a specific company is not straightforward. Therefore, it is vital to consult with experts in advance to perform the necessary due diligence to ensure that the company is as it appears.
If the transfer of shares has correctly taken place, the buyer can focus their attention on essential steps such as:
- altering the name of the company,
- provide an address for the company,
- put a new board of directors or management in place for the company,
- contacting the German Trade Register.
Depending on the company purchased, buying the company may cost more than starting a company from scratch. Altering the purchased company alongside the notary fees, the costs of making changes to the company and the purchase price will likely incur additional fees. However, for companies looking to establish themselves quickly in Germany, purchasing an established company will ensure a recognisable market presence in Germany from an early stage.