Found a Renewable Energy Company in Germany

Legal Solutions Made in Germany

Found a Renewable Energy Company
in Germany

Legal Solutions Made in Germany

The renewable energy sector is a growing area in Germany. Although, brown coal, natural gas and oil are still widely consumed, Germany has been reducing its usage of fossil fuels through a diverse mix of renewable energy sources, including wind, solar, hydroelectric, and biomass.

Overall, Germany has made significant progress in increasing its use of renewable energy and reducing its reliance on fossil fuels. Its ambitious targets for increasing its use of renewable energy and working towards a more sustainable and low-carbon future provides clear opportunities for companies looking to establish themselves in this area.

At Schlun & Elseven Rechtsanwälte, we can advise you on all legal matters relating to establishing a renewable energy company in Germany thanks to our lawyers’ expertise and experience. As a full-service, multidisciplinary law firm, we support you across all areas so that we can also offer you comprehensive legal services from a single source.

Business Planning for Renewable Energy Companies in Germany

At Schlun & Elseven Rechtsanwälte, our corporate lawyers are available to advise our clients on their business plans.

A business plan is a document that states the company’s goals and objectives and outlines the strategies and actions that will be taken to achieve those goals. It is an essential tool for any business, as it helps define the company’s direction and serves as a roadmap for decision-making and goal-setting.

The business plan for a renewable energy company in Germany should include the following elements:

  • Executive Summary: This section should provide a brief business overview, including its mission, products or services, target market, and financial goals.
  • The Company Description: Detailed information about the company, including its history, ownership structure, and any unique features or advantages it has.
  • Market Analysis: A detailed document with research and analysis of the renewable energy market in Germany, including the size and growth of the market, major players and competitors, and trends and opportunities.
  • Product or Service Offerings: A description of the specific products or services the company will offer, including any technology or intellectual property the company has developed.
  • Marketing and Sales Strategy: An outline of the company’s plans for promoting and selling its products or services, including its target market and marketing channels.
  • Management and Organisation: A description of the company’s management team and organisational structure, including any key partnerships or collaborations.
  • Financial Plan: Financial projections for the business, including projected income statements, balance sheets, and cash flow statements. It should also include a discussion of the company’s funding needs and any financial risks or assumptions underlying the projections.

In addition to these elements, a business plan for a renewable energy company in Germany may also include sections on the company’s operations, technological capabilities, environmental impact, and any regulatory or compliance issues it will need to address.

Business plans play a critical role in enticing investors to become involved with the company and guide decision-making regarding allocating resources. By following the plan, a business can ensure that it is progressing towards its goals and allocating resources most effectively.

Furthermore, a good business plan will clarify the business’s vision and objectives. Such a plan can help to ensure that all stakeholders, including employees and investors, are aligned with the business’s mission.

Moreover, it will help to identify potential risks and challenges. By identifying these risks and developing strategies to address them, a business can reduce the likelihood of encountering unexpected problems.

Overall, a business plan is an essential tool for any business, as it helps to define the direction of the company and serves as a guide for decision-making and resource allocation. At Schlun & Elseven Rechtsanwälte, our team will ensure that your business plan is suitable for its purpose.

Employment Law Aspects – Employment Contracts, Dismissal and Health and Safety

When establishing any form of company in Germany, it is vital to consider German employment law carefully. Under German employment law, there are strict rules regarding how employers treat employees. It is essential to work closely with employment law specialists to ensure that your company is aware of its rights.

At Schlun & Elseven Rechtsanwälte, our employment law team consists of certified specialists in the field. They are available to advise your company in specific cases and on an ongoing basis. By consulting with our team, your company can be assured that it will receive leading advice and solutions.

When opening a company, there are several employment law aspects to consider carefully:

  • Employment contracts: In Germany, there are strict rules governing the hiring of employees, and employment contracts need to outline crucial elements of the working relationship. These aspects include remuneration, annual leave, whether the employment is fixed-term or indefinite and clear definitions of the employees’ responsibilities.
  • Working hours and overtime: German employment law regulates working hours and overtime, including the maximum number of hours an employee can work per week and the amount of overtime required. It is crucial to ensure that your company complies with these rules.
  • Employee benefits: German employment law requires companies to provide certain benefits to their employees, such as paid vacation and sick leave.
  • Health and safety: Germany has strict rules governing health and safety in the workplace.
  • Anti-bullying and harassment: Companies should have anti-bullying and anti-harassment policies to ensure that the work environment is safe for all employees. Such policies ensure that the employees know how to respond to bullying.
  • Termination of employment: There are strict rules in Germany governing dismissing employees and when it is allowed for a company to terminate a contract without notice. Severance payments can also play a role in specific situations.

When establishing a renewable energy company, or any company, in Germany, those involved must know and comply with all relevant employment laws to ensure a positive and fair working environment for the employees. Our lawyers are available to advise on all matters relating to German employment law.

Licenses and Permits: Applications

To start a renewable energy company in Germany, your company must obtain several different licenses and permits. The specific licenses and permits you will need will depend on the type of renewable energy technology you are planning to use, as well as the location of your project.

At Schlun & Elseven Rechtsanwälte, our lawyers are ready to advise you regarding the licenses and permits needed specific to your company and its aims. We are widely experienced in dealing with German bureaucracy and can advise you regarding what you will need for the different licenses.

Although the exact permits your company will need will depend on its goals, here are some of the licenses and permits you may need to obtain:

  • Building permit: If you plan to build a renewable energy facility, you must obtain a building permit from the local building authority.
  • Environmental permit: Depending on the nature of your project, you may need to obtain an environmental permit from the local environmental agency. This permit is required to ensure that your project does not harm the environment.
  • Grid connection permit: If you are planning to connect your renewable energy facility to the grid, you will need to obtain a grid connection permit from the local grid operator.
  • Land use permits: Depending on the location of your project, you may need to obtain a land use permit from the local land use authority.
  • Power generation license: In Germany, a power generation license is required to operate a power generation facility. The Federal Network Agency issues this license.
  • Trading license: If you are planning to sell the electricity generated by your renewable energy facility, you will need to obtain a trading license from the local chamber of industry and commerce.

It is vital to research the licenses and permits carefully you will need to obtain to start a renewable energy company in Germany. Therefore, it is strongly advisable to seek the advice of our lawyers to ensure that your company complies with all relevant regulations relating to its projects.

    Raising and Securing Financing

    Raising and securing finance for a renewable energy company in Germany can require external assistance. At Schlun & Elseven Rechtsanwälte, our lawyers will advise you regarding the legal implications of each option.

    Generally, there are many ways to secure financing for a renewable energy company in Germany, including:

    • Equity financing: Equity financing involves raising capital by selling ownership stakes in the company to investors.
    • Debt financing: Debt financing involves borrowing money from a lender and can be a good option for companies that are looking to raise smaller amounts of capital and are willing to take on debt in exchange for financing.
    • Grants and subsidies: The German government offers several grants and subsidies to support the development of renewable energy projects. These include the EEG Renewable Energy Act, whereby companies can receive payments for the electricity they generate from renewable energy sources, and grants available from the KfW Development Bank and the Federal Ministry for Economic Affairs and Energy (Bundesministerium für Wirtschaft und Energie, BMWi).
    • Crowdfunding: Crowdfunding involves raising small amounts of capital from many investors through an online platform.
    • Venture capital: Venture capital firms invest in companies that have the potential for high growth and returns.

    Overall, it is essential to research the various financing options available carefully and choose the one that best meets your company’s needs.

    At Schlun & Elseven Rechtsanwälte, our legal team can assist you in various ways regarding securing financing. Our services include the following:

    • Reviewing and negotiating financing agreements,
    • Assisting with the preparation of legal documents, such as loan agreements, security agreements, and collateral documents,
    • Advising on compliance with laws and regulations, such as securities laws and debt financing regulations,
    • Guiding structuring the financing considering the company’s specific needs and goals.

    Please, do not hesitate to contact us directly if you need our legal assistance.

      Corporate Law Matters

      Once the company is established, ongoing legal advice plays an essential role in ensuring the continued growth and development of the business. Business clients of Schlun & Elseven Rechtsanwälte benefit from our full-service solutions as we provide all required legal services under one roof.

      In detail, renewable energy companies need to consider the following corporate law aspects when establishing themselves in Germany:

      • Corporate structure: A company’s corporate structure refers to the business’s legal and financial organisation. In Germany, common types of corporate systems include limited liability companies (GmbH), joint-stock companies (AG), and partnerships (OG or KG). Choosing the proper corporate structure for your company is essential based on factors such as the size and scope of your business, the level of liability you are willing to accept, and your funding needs. At Schlun & Elseven, our corporate lawyers will guide you through aspects you should consider.
      • Corporate governance: Corporate governance refers to the system of rules, practices, and processes by which a company is directed and controlled. In Germany, companies must follow specific rules and regulations related to corporate governance, including appointing and dismissing directors, convening shareholder meetings, and issuing financial reports. Allow our team to oversee the legal aspects of these considerations to ensure that your business is fully compliant.
      • Corporate finance: Corporate finance refers to the financial management of a company, including raising capital and allocating financial resources. A renewable energy company in Germany may need to raise capital through loans, investments, or other sources of financing to fund operations and expansion. It’s crucial to carefully manage the company’s financial resources to ensure its long-term viability.
      • Corporate social responsibility: Corporate social responsibility (CSR) refers to a company’s commitment to ethical and sustainable business practices. Renewable energy companies in Germany are expected to adhere to high standards of CSR, including reducing their environmental impact and contributing to the development of local communities.

      Should your company face disputes with customers, suppliers or other parties, our team is available to advise on conflict resolution matters. Our lawyers guide clients in court proceedings and alternative methods, such as arbitration.

      As a full-service law firm, our lawyers will consider legal issues from all angles and provide your company with tailored solutions that factor into your company’s characteristics and goals.

      Business Immigration to Germany

      At Schlun & Elseven Rechtsanwälte, business immigration for investors and entrepreneurs is one of our areas of speciality. We have advised business clients worldwide on the prospect of moving to Germany for self-employment. Such a step is more straightforward for those with EU citizenship, but it is also possible for non-EU citizens under § 21 German Residence Act.

      By working with our lawyers, our team will determine your eligibility and outline the steps needed to gain the self-employment visa. Our team will guide you regarding its requirements and what to expect during the entire process. Essentially, to be eligible, applicants need to demonstrate that they:

      • Have a specific business idea or project that is feasible and has the potential to generate income.
      • Have sufficient financial resources to support themselves during the start-up phase of the business.
      • Have the necessary skills and qualifications to carry out business activities.
      • Have a solid business plan that outlines the goals and objectives of the business, as well as the strategies they will use to achieve them.
      • Meet any other requirements that may be specific to the business or industry.

      Our lawyers have supported numerous clients in this matter and will carefully guide you through the process.

      Furthermore, our team will support you with researching the German business environment and advise you regarding the potential opportunities and challenges you may face as an entrepreneur.

      Working with our lawyers in Germany also acts as a first stop in establishing a suitable network that can help grow the business in Germany. Our lawyers will advise you, where possible, regarding joining local business organisations, attending networking events, and building relationships with potential suppliers, customers, and partners.

      Contract Law Elements

      As a full-service law firm, the Schlun & Elseven Rechtsanwälte team advises businesses in aspects of German contract law. Our team thoroughly prepares contracts suited to the needs of our clients and ensures that they are aware of potential issues in specific contract reviews.

      In our role, we advise on necessary contracts, such as employment contracts and others that apply to all companies. However, we are also ready to provide industry-specific insight relating to contracts that relate to your business. Although the exact agreements will be based on the nature of the company, here are some examples of contracts that our lawyers are ready to review, draft and analyse:

      • Power purchase agreements (PPAs): These contracts outline the terms under which a renewable energy company will sell the electricity it generates to a buyer, such as a utility company or a large industrial customer.
      • Construction contracts outline the terms under which a renewable energy project will be built, including the scope of work, the schedule, and the payment terms.
      • Equipment supply contracts outline the terms under which a renewable energy company will purchase the equipment it needs to build and operate its projects, such as turbines, solar panels, or batteries.
      • Operations and maintenance (O&M) contracts: These contracts outline the terms under which a renewable energy company will maintain and operate its projects once they are built, including the scope of work, the schedule, and the payment terms.
      • Financing agreements: These contracts outline the terms under which a renewable energy company will finance its projects, including the types of financing instruments that will be used, the interest rate, and the repayment terms.

      Companies cannot underestimate the value of carefully reviewing, analysing, preparing and negotiating these contracts to protect the interests and ensure the success of projects. By working with our team, you can be assured that you will receive leading advice and support in this area.

      Schlun & Elseven Logo

      Practice Group: German Corporate Law

      Practice Group:
      German Corporate Law

      Dr. Simon Krämer
      Dr. Simon Krämer, LL.M.

      Lawyer | Freelance

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      Locations & Office Times

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      24h Contact: 0221 93295960
      Email: info@se-legal.de
      Appointments made by telephone only.

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