Can I become self-employed?

What residence permit do I need and what requirements do I have to meet?
Would you like to become self-employed in Germany? Then you have the option of starting a business as a tradesperson or freelancer.
If you come from a so-called ‘third country’ and want to become self-employed, there are certain things you need to bear in mind. For example, you need a residence permit in accordance with Section 21 of the Residence Act. Depending on your profession, you may also have to meet additional requirements, such as recognition of your professional qualifications. You can find the necessary information on this page.
We provide all further details specifically for tradespeople and freelancers on the topic pages ‘Freelance self-employment’ and 'Trade-based self-employment’.
What do I need to know?
Can I come to Germany to become self-employed?
Yes. If you want to enter Germany from a so-called ‘third country’ to become self-employed here, you need a visa in accordance with Section 21 of the Residence Act. You can find out more about it on our page on ‘Visas for self-employment’.
You can find a detailed description of the visa and entry process at ‘Wir gründen in Deutschland’. The website is multilingual.
Can I become self-employed with my residence permit?
In order to be allowed to work on a self-employed basis, your residence permit must expressly state ‘employment permitted’ or ‘self-employment permitted’ (i.e. „Erwerbstätigkeit gestattet“ or „selbstständige Tätigkeit gestattet“). If you are recognised as an ‘asylum seeker’, “refugee” or ‘subsidiary protection beneficiary’, this information is usually stated on a green supplementary sheet that you receive from the Immigration Office together with your residence permit. If you are eligible, you must change your residence permit to self-employment in accordance with Section 21 of the Residence Act. You can find more information in the section ‘Can I switch to a residence permit for the purpose of self-employment?’.
If your residence permit does not allow self-employment, you can apply to the Immigration Office for a residence permit in accordance with Section 21 (6) of the Residence Act under certain conditions.
Can I switch to a residence permit for the purpose of self-employment (change of purpose)?
Yes, if you already have a residence permit that allows you to work on a self-employed basis. You must submit the application to change your residence permit to your local Immigration Office. For a trade, there is the residence permit under Section 21 (1) of the Residence Act, and for a ‘liberal profession’, there is the residence permit under Section 21 (5) of the Residence Act. Check which requirements you must meet for the new residence permit. You can find more information in the sections
● “Applying for a residence permit for trade-based self-employment: What do I need to consider?” and
● “Applying for a residence permit for freelance self-employment: What do I need to consider?”
Detailed information on changing your residence permit in accordance with Section 21 of the Residence Act can be found at “Wir gründen in Deutschland”. Select your current residence permit and find out whether and how you can switch to a residence permit for self-employment. The website is multilingual.
Applying for a residence permit for trade-based self-employment: What do I need to consider?
The better you can show the Immigration Office that your business idea will be successful, the higher the chances of your application being approved. This requires a business plan with a market analysis. This is usually reviewed by the Chamber of Industry and Commerce or the Chamber of Crafts.
The exact form of evidence is determined by the Immigration Office. There are no uniform requirements nationwide.
An application can only be approved if the following conditions are met:
1. There is an economic interest or regional need for your business,
2. the activity is likely to have a positive impact on the economy,
3. and the financing of your business idea is secured.
If you are over 45 years of age, you must also provide evidence of sufficient pension provision.
Good to know: Requirements 1-3 do not have to be met if you
● have a German university degree
or
● have a residence permit as a researcher or scientist in accordance with Sections 18b, 18d, 19c (1) of the Residence Act
or
● an EU Blue Card.
However, your self-employment must be related to your university degree.
Applying for a residence permit for freelance self-employment: What do I need to consider?
To apply for a residence permit for freelance self-employment, you do not need to provide the same evidence as for a trade. However, you must:
● secure financing for your business idea,
● demonstrate sufficient pension provision if you are over 45 years of age,
● and submit a business plan that outlines the chances of success of your business idea.
A university degree is required for many ‘liberal professions’. In some professions, however, proof of qualifications through self-study (without a formal degree) is sufficient. For more information, see the section ‘Does my profession have to be recognised and do I need certain qualifications?’.
You will also need a permit (‘professional licence’) or approval to practise your profession from the relevant authority (e.g. for doctors, lawyers, architects).
You should also find out whether your profession is recognised in Germany and whether you have all the necessary qualifications to practise your profession in Germany. You can find more information on our topic page “Recognition of foreign qualifications”.
Does my profession need to be recognised and do I need certain qualifications?
That depends on the profession in which you want to become self-employed. A distinction is made between “unrestricted” and “restricted” professions ("zulassungsfrei" vs "zulassungsbeschränkt"). For many professions, your qualifications will be checked and must be recognised. This applies in particular to highly qualified professions, such as lawyers and doctors, as well as to skilled trades. In the profession encyclopaedia of ‘Wir gründen in Deutschland’, you can see which qualifications and requirements are necessary for the profession and whether you need recognition of your profession.
You may have to obtain certain qualifications, such as a master craftsman's certificate in a skilled trade.
There are also exceptions to the requirements and qualifications. Further information is available at ‘Wir gründen in Deutschland”. The website is multilingual.
Can I obtain a residence permit for self-employment if I do not have enough money?
Yes, skilled workers can apply for a so-called ‘start-up grant’ (“Gründerstipendium”) and then obtain a residence permit in accordance with Section 21 (2b) of the Residence Act if they have:
● a scholarship from a German business organisation
or
● a German public position from public funds.
The scholarship is intended to help you prepare to start a business and to cover your living expenses. The residence permit is valid for as long as the scholarship lasts, up to a maximum of 18 months.
Additional financial support is also available, e.g. from the Jobcenter or the Employment Agency. It is also possible to take out a loan. You can find out more on the respective topic pages ‘Freelance self-employment’ and Trade-based self-employment’.
Where can I get further information, support and advice?
Your first point of contact is ‘Wir gründen in Deutschland’ (Starting a business in Germany). This multilingual website is specifically for migrants who want to become self-employed in Germany. Here you will find lots of helpful information in more than 10 languages. There is also an advice network where you can find free advice centres in your federal state.
At gruenderplattform.de, you will find lots of information, offers and ideas for your self-employment. The website is in German.
Offers for women who want to become self-employed can be found here, among other places:
● At the nationwide Gründerinnenagentur (bga), you will find event tips, advice centres and support services in your area.
● Subsidised start-up programme ‘CoCo - Frauen gründen’ (CoCo - Women Start Up) by Social Business Women e. V.
● List of support services for women from the Federal Ministry for Economic Affairs and Energy.
● You can also search online for services in your area. For example, enter ‘Frauen gründen’ (women starting businesses) and your federal state in the search field.
Important
In order to become self-employed, you need permission from the Immigration Office and a residence permit in accordance with §21 Residence Acts. Whether you are granted a residence permit depends on your current residence status and the requirements.
Similar topics
Additional links
Information on the topic of “Starting a business in Germany”
Here you will find all the important information you need about starting a business and freelance self-employment in Germany – in 13 different languages!
BMWE start-up portal
Here you will find essential information for successful self-employment, including for start-ups, unemployed people, people in the social sector and in commerce.
Advice and support with the recognition of foreign qualifications
The IQ Recognition and Qualification Centre is a point of contact for questions relating to the recognition of foreign qualifications. It supports immigrants in obtaining qualifications. To this end, it offers training courses and exchange programmes.
Information portal of the Federal Institute for Vocational Education and Training on professional recognition
Here you will find all the information you need about the recognition of your vocational training in Germany in many languages.
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