German Permanent Residency through Germany Investor Visa

A hub of engineering, manufacturing, and industry, Germany is globally acknowledged as amongst the chief European economic powerhouses. The nation offers the opportunity to entrepreneurial overseas nationals to obtain permanent residency through Germany Investor Visa by blending immigration and business. The Permanent Residency is offered after the main applicant holds the provisional residency permit for 3 years and after 5 years for dependents. 

Germany offers its residents a very high living standard, free education in a few highly prestigious Universities and schools apart from a booming economy. They can also access unrivaled infrastructure for travel besides affordable and modern health services. The nation has earned a reputation over the years for keenly supporting diverse multi-ethnic communities all across it. It has thus emerged as a thriving and welcoming destination for investors from overseas. 

Though Germany does not offer a Golden Visa Program officially, it is possible to acquire Permanent Residency through active investment in a business. This can be done through the Germany Investor Visa or Germany Business Visa. It is suitable for entrepreneurs and business owners who have an effective business plan that can positively impact the economy and the creation of jobs. Passive investments like real estate are not eligible for the Germany Investor Visa. 

We have here outlined the requirements and the procedure that has to be fulfilled for obtaining a Permanent Residency through the Germany Investor Visa.

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Germany Business Visa: Business Investment Requirement

Business Investors and Entrepreneurs can obtain the Germany Investor Visa by making an investment of Euros 100,000 in a business venture in Germany that creates a minimum of 5 jobs. 

Self-employed personnel and entrepreneurs from third-nations can obtain the Residence Permit as per the German Residence Act. The following categories of applicants are eligible to apply:

  • Overseas entrepreneurs who intend to launch a start-up in Germany
  • Overseas entrepreneurs who intend to establish an overseas branch in Germany 
  • Freelancers 

The least investment needed is Euros 100,000 in which a legal fee of Euros 30,000 is applicable that is inclusive of a plan of business, legal fee, incorporation, etc. Legal representatives, Managers, and Directors of Business partnerships and Corporations are eligible so far as they are not working on the status of an employee. 

Germany is located in the heart of Europe and offers excellent prospects to investors across the world. Obtaining Residency Permit in Germany ensures that you can take advantage of all that the nation has to offer, especially to business people and entrepreneurs. Making an investment in Germany can be highly lucrative for those with the right business acumen and access to trustworthy advice. Moreover, it can be a pathway for obtaining a Residency and even citizenship of Germany through the process of naturalization. 

The crucial aspect for receiving the Residence Permit in Germany is that the investor has to demonstrate that the business will positively impact the economy of the nation. In other words, it means that there exists a fiscal interest in and/or regional want for the business and that the finances have been obtained. 

Entrepreneurs applying for the Germany Investor Visa have to demonstrate that their business will enhance the market potential and sales prospects of other enterprises in Germany. Also, the positive impact on the economy has to be demonstrated. 

Overseas investors become eligible for the Residence Permit (Provisional) or Long-term Germany D Visa after making an investment in the business in Germany. Entrepreneurs who are self-employed can get it through acquiring or launching a company in Germany or investing in existing ones under the German Residence Act. The validity of the Residence Permit normally is 2 or 3 years and it can be extended.

The application for a German Permanent Settlement Permit can be filed after 3 years of stay. There is no compulsion to stay in Germany permanently but one visit per year is needed.

Germany Visa Requirements for setting up an investment firm in Germany

Permanent Residency in Germany is offered to those who set up an investment firm in the nation. They are required to either set up an investment firm in Germany or make an investment in a suitable project investment. 

German Residence Act permits candidates to obtain Residency in Germany for ‘self-employment’ if they are seeking to set up their own firm. It permits entrepreneurs across the world to execute their business ideas in Germany and reap benefits from the thriving market in Germany. Nevertheless, prior to arrival to Germany, the majority of the applicants from outside the EU have to file an application for the Self-employment Visa. The application has to fulfill the following requirements: 

  • The business idea has to cater to a regional need or an economic interest. 
  • The activity needs to likely have a positive impact on the economy of Germany.
  • The finances for executing the plan of business needs to be obtained through a loan commitment or equity capital 

You have to develop a comprehensive plan of business for demonstrating that your business will cater to the above criteria. The plan must demonstrate that the business will offer employment to a minimum of 5 individuals and has to be prepared very thoroughly. This is because it will be assessed minutely by the local German Chamber of Commerce and Industry. 

The applicants have to be above 18 years of age and must not have any criminal record. They must also demonstrate adequate old-age provision if they are above 45 years of age. Apart from these, there are no major limitations on the applicants of Residency Permit through investment, and investors and entrepreneurs across the world can apply. One advantage of the process in Germany over other investment programs for residency is the absence of language proficiency criteria.

Requirements for Financial investment

A minimum investment requirement in terms of funds is not specified while applying for the Residence Permit in Germany through investment. However, investment of a minimum of Euros 350,000 is advisable. This figure often proves that the business will cater to the specified criteria. 

The funds specified here are fairly reasonable in comparison with other nations in the EU. While making an investment in Germany it is always advantageous to avail services of expert advisors for obtaining insights regarding avenues for good quality investments. Making a significant investment into a project for investment augurs well your application for a residence permit.

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Choosing the business model

If you wish to establish your business in Germany, it is important that comply with the policies outlined in the corporate law and correctly establish the company. The requirements differ based on the nature of the business that is being established. 

An accepted form of company for Residency through investment is GmbH, on par with a limited company in other nations. GmbH is a limited liability firm and an independent legal entity as far as the entrepreneur is concerned. The cost of setting up a GmbH is higher in comparison with other models of business. Nevertheless, these offer higher reliability and credibility as your firm has to cater to a regional need and be economically beneficial. This credibility will be beneficial while your application is being processed. 

Assets like real estate can be owned by a GmbH. The establishment requires a minimum of 1 shareholder and 25.00 Euros share capital. It must be noted here that while establishing the GmbH, a minimum of 25% of the currency contribution and sum of non-cash contribution is applicable has to be paid up-front prior to registration. GmbH has to be registered with a suitable commercial registry and articles of association also have to be outlined.

German citizenship through residency

Those who have German Residency can obtain the Citizenship of Germany through naturalization after staying for 8 years in the nation. The spouse and kids less than 18 years can also be included in the application for Residence Permit. Eventually, you can obtain citizenship along with the family members. 

Usually, a high standard of living can be achieved in Germany. Also, there exists no defined minimum timeline of stay in Germany for the entrepreneur for maintaining their residency status. However, you have to take care of the business in Germany. It is beneficial for investors who have a global portfolio. 

You must keep in mind that the entire process of the Germany Investor Visa application requires 4 to 6 months. Thus, availing services of expert legal advisors will accelerate the process as it will ensure that there are no major loopholes in the application. 

The application for Permanent Residency in Germany through investment is an attractive option for entrepreneurs and investors. Nevertheless, many obstacles have to be overcome for fulfilling the criteria. 

Nationwide Visas is the premier Immigration and Visa Consultancy for Investor Visas offering expert legal and immigration advice and services. The application for Germany Investor Visa can be tricky and seeking professional help is of huge advantage. Contact us today to find out how our experts can assist you in achieving your investment objectives in Germany.

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