Simplified model of business companies in Germany: features and benefits

The article deals with the introduction of the German business company with limited liability - Unternehmergesellschaft. UG is not a new legal form, but is actually a special variant of a limited liability company. It is proved that the establishment of UG allows to start business quickly and later gradually develop it to a full limited liability company without the need to re-register. In order to enhance the international attractiveness of the GmbH provides opportunity to transfer management of the company abroad. It is noted that the German limited liability companies got opportunity to choose the location of the governing body, which can now be located outside Germany, and which differs from the place of registration of the company in Germany according to memorandum of association. Changing role of the list of participants of the company, the revised list of responsibilities of the manager and the notary against him are reviewed. A number of provisions aimed at combating abuse, in practice, widespread, especially in the case of bankruptcy of the company is analyzed. The article provides information that in order to prevent the practice of evading receipt of court documents, for checking the company now it is required to entry into the register of reliable and affordable to deliver information and documents address in Germany. The author concludes that in general the changes in legislation in 2008 were aimed, first, at simplifying and speeding up procedures for the establishment and registration of limited liability companies; secondly, to increase the attractiveness of the organizational-legal form; thirdly, to combat abuse.

Unternehmergesellschaft, company’s law, private company, corporation, company’s law reform, Unternehmergesellschaft, a limited liability company, the risks, the fight against abuse