Starting a small business is an attractive opportunity for many aspiring entrepreneurs in Munich to become self-employed. With a small business, you can realize your business idea without immediately dealing with all the complex regulations of the Commercial Code (HGB). In this guide, you will learn about:

What a small business is.
How to register a small business in Munich.
What requirements you need to meet.
What documents are necessary.

What is a Small Business?

A small business exists when you register a business and become self-employed as a sole proprietor, earning less than € 80,000 in profit and less than € 800,000 in revenue per year. This regulation exempts you from the obligation to register in the commercial register and from the provisions of the HGB. In practice, this often concerns smaller companies or part-time self-employment. It is important to note that the term “small business” does not indicate whether you can charge VAT or take advantage of the small entrepreneur regulation.

Registering a Small Business in Munich
Step-by-Step Guide to Business Registration

In Munich, the registration of a small business is done directly online at business licence office. Here are the steps you should follow:

Create a BayernID: This only requires a username and a password.
Fill out the online business registration form for Munich.
Pay the fee online; costs in Munich currently range from €50 to €60.
Automatically receive an acknowledgment of receipt and a summary.
Processing by the trade office.
Receive your business license from the trade office by mail.

In some industries, additional requirements apply:

For crafts:
Activities that require a master craftsman qualification (zulassungspflichtiges Handwerk) can only be registered if they have been previously entered into the craft register, and you can upload a craft card when registering your business. You can receive advice on crafts directly from the Chamber of Crafts for Munich and Upper Bavaria.
For regulated activities:
Please upload the corresponding permission directly when registering your business for activities that require a permit.
For supervised activities:
The business licence office will request additional documents for you, such as a police clearance certificate and an extract from the trade central register.

Liberal Profession or Business?

Good to know: Only business activities need to be registered with the business licence office. You can check with the Institute for Liberal Professions whether your planned activity falls under the liberal professions, meaning you do not need to register a business but directly register your self-employment with the tax office.

Small Entrepreneur Regulation

The small entrepreneur regulation can be beneficial if you generate low revenues. This regulation allows you to waive the collection of VAT. More information can be found in the FAQs on small businesses and the small entrepreneur regulation from the Munich Business Startup Office.

Part-Time and Side Business Startups

Many entrepreneurs in Munich choose to start their business part-time while being employed full-time. Part-time startups are also popular, for example, alongside studies, training, school, family, or retirement. The advantages include the ability to test a business idea without financial pressure. Learn about the specifics of starting a side business.

After Business Registration: Inform the Tax Office

Registering a small business in Munich is straightforward and digital, making it easier for you to start your self-employment journey. After registering a business, you need to register your self-employment with the tax office.

Further Information for Entrepreneurs in Munich

The following offerings from the Munich Business Startup Office, the official startup consulting service of the City of Munich, can assist you in starting your self-employment journey:

With this information, you are well-equipped to successfully register and launch your small business in Munich!

Do you have any questions about registering a small business or your startup?

You can clarify individual questions immediately:

By email at start@muenchen.de with a callback service if you provide your question and phone number.
By phone Monday to Thursday from 2 PM to 5 PM at the number 089 233 21759.

Or request a fixed consultation appointment through our appointment form.

The Munich Startup Office is happy to assist you!

At the Munich Startup Office, we support Munich residents with information and advice in preparing their first steps into self-employment.