Complete guide to German D-Visa for Self Employed Entrepreneurs

Germany has one of the strongest economies in Europe. As a global entrepreneur, you can set up your business in Germany in two ways - as a self-employed entrepreneur or freelancer. Either way, you’ll need a residence permit for self-employment. Germany offers a dedicated visa for self-employed persons and freelancers for non-European Union foreign nationals wishing to set up a business there. Read on to learn more about getting a visa to Germany for your startup or business.

What is the Germany Startup Visa?

The Germany Startup Visa allows you to set up a business as a self-employed entrepreneur or freelancer. One major step for qualifying for a startup visa is to have a viable business or at least a business plan. This visa also lets you apply for a residence permit, as long as you meet certain criteria. Your family can join you through a Family Reunion Visa.¹

The business plan must cover the following aspects.

• You should show that there is commercial interest or demand for your products or services.
• Your business would have a positive impact on the German economy.
• Your business has enough capital, whether through investment, self-funding or loans.

To note, in Germany, certain professions are considered self-employed. This includes prominent professionals including doctors, teachers, dentists, lawyers, engineers, auditors, journalists, and others.

Benefits of the Germany Startup Visa for Entrepreneurs

The German Startup Visa for entrepreneurs has several benefits for startup founders, the self-employed and their families; here are a few:

• Business-friendly environment - Germany has a business-friendly climate and founders can take advantage of the mature business economy. Starting a business in Germany opens the doors to the wider European market.
• Path to residency - The German Startup Visa allows you to take up a temporary residence permit for self-employment. If you meet the continued requirements once you’re in Germany, it opens the path to a full-fledged permanent residency for you and your family.
• Contribute to the German economy - The German Startup Visa does not stipulate any minimum investment from entrepreneurs while setting up business units in the country. However, the investment and business activity are bound to create sufficient job opportunities for the local population. Thus, it contributes to the growth of the German economy.

Requirements for Germany Startup Visa

Non-European Union nationals can apply for a German startup Visa to set up a business entity or work as a freelancer in the country. To do so, your business must meet the following conditions:²

• Your business activity should have an economic interest or a regional necessity.
• Your business should positively impact the German economy.
• Your business should have adequate capital or loan to sustain its existence in Germany.

Your business plan, as mentioned, should include all three points.

The general requirements for a German Startup Visa are:³

• A valid passport
• A passport photo
• A completed visa application form.
• Proof of health insurance.
• Evidence that there is enough financial support for your business and your stay.

Business founders should submit the following additional documents:

• Company profile
• Business plan and concept
• Capital requirements and financing plan
• Yield forecast
• Curriculum Vitae (CV)

Freelance applicants should submit the following information.

• Two letters of intent from potential or existing clients
• Existing fee contracts, if any
• CV
• Evidence of business or work contracts
• Financing plan and yield forecast

Here is the fee structure for the German Startup Visa and residence permit.⁴

Application process for Germany Startup Visa

The German Startup Visa is a long-term visa. Generally, you apply for this visa at the German Embassy in your country or approach authorized organisations. For instance, Indians must apply for a national visa through VFS Global. The German Startup Visa is a four-stage process:⁵

• Stage 1 - Prepare your application
• Complete the visa application form carefully and prepare the necessary documents.
• Print the form and sign the following declarations.

1. Declaration of true and complete information
2. Additional contact and legal representation information

• If you apply for a Family Reunion Visa, you must complete an additional questionnaire.
• Take out your health insurance.
• Submit photographs that meet the biometric requirements.
• Stage 2 - Schedule an appointment
• Schedule an appointment with the respective authorities.
• Pay the visa fees.
• Submit the application form and documents.
• Complete the biometric formalities.
• Stage 3 - Processing by the German Mission
• The German Embassy examines and decides on your application on a case-to-case basis.
• It reviews your business plans and ensures that all conditions are satisfied.
• The processing time for the German Startup Visa is around 12 weeks from receipt of the complete set of documents.
• Stage 4 - Returning the passports
• If all your documents have been submitted, the embassy will process the visa application and you get a decision.
• Collect your passport and visa from the Embassy or consulate.
• Your visa will contain the validity period.

Once you receive your German Startup Visa, you can proceed to move to Germany, set up your company, and open a German bank account. The visa is initially granted for a temporary period of six months to three years. You can apply for an extension if the visa is issued for less than three years.

If you plan on hiring staff or employees locally, try to find assistance for the process so you can make sure you are complying with the relevant regulations and laws. This can include social benefits and protections for the employees, as well as getting insurance coverage for your business. If instead, you are considering hiring freelancers or staff that live outside of Germany, check out our section below on how Wise can help you make payments to local bank accounts worldwide.

Pathway to citizenship

On getting the temporary residence permit, you can apply for permanent residency after 5 years. A minimum stay of 8 years is necessary to apply for German citizenship, which you can apply for in the country.

Moving to Germany from abroad

Once you have a visa, there are many other things to have set up before and after moving. Here are factors to consider when shifting abroad:

• Update bank and credit card accounts: Getting your bank accounts and credit cards in order before moving is a good idea. This may require you to convert your local bank accounts to a non-resident account, or at least notify your bank of possible use of your account from abroad. Identify any recurring payments you may have and create a plan for paying them while you are gone. Contact your credit card and let them know you are travelling so they don’t freeze your account, and make sure you know if there are any fees or international transactions.
• Staying connected to family and friends: Maintaining contact with your loved ones is important while you shift your base to Germany. Social media channels like Facebook and Instagram are a great way to share the journey with your community. Apps like WhatsApp also make it easy to stay in touch. Also, getting a SIM card in Germany can help you avoid international roaming charges and keep in touch with locals.
• Cultural changes: Learning German history and culture can help you make friends and ease into society. Learning German can help you communicate better, whether for personal relationships or business. Find ways to adapt to the German way of life, while also keeping rooted in your own culture in meaningful ways.
• Accommodation and logistics: The cost of living in Germany can vary between the smaller towns and larger cities like Berlin or Frankfurt. Make a plan for your living situation before you arrive- this can mean getting a hotel room for some time while looking for an apartment or finding a place to live online before leaving home.
• Healthcare: Health insurance is compulsory when applying for a German startup visa. You must be fully insured, and that goes for family members too. Once you arrive, ensure you know where a local hospital is and identify a primary care doctor.

Banking in Germany

Germany has a mature banking system which will provide you options for choosing a bank. Popular banks are Deutsche Bank, Commerzbank and KfW. Plus, there are modern financial services companies like Revolut available.

A local bank account in Germany will make it easier for you to earn locally, as well as pay necessary bills. But be sure to keep your personal account and business account separate for accounting reasons. Learn more from our guide about opening a bank account in Germany.

Bank fees can take a bite out of your money, especially when it comes to international transactions. Want a low-cost way to send money abroad? Check out Wise.

Meet Wise: International Account for Global Entrepreneurs

Wise is the fast, low-cost and simple way to send money to local bank accounts around the world. The award-winning app lets you complete global transfers whether you’re on the go, travelling or from the comfort of your home. Wise uses smart tech to make transfers secure and fast- transfers can be deposited in under a minute on popular routes.

Do you have a distributed team? Take a look at the Wise Business account below.

Wise Account for German Residents

Whether you’re sending money home to family, putting a deposit on your next holiday or sending funds to a new graduate, Wise has you covered. You can send money to local accounts worldwide with just one low transfer fee. Plus, you’ll always get the mid-market exchange rate; that's the same rate you see on Google. No extra fees or exchange rate markups here.

Make your finances even easier with the Wise multi currency account. It is one account where you can hold, send and spend in foreign currencies. You can convert funds directly in the WIse app, and use them when you need or send the money back to your bank account. The multi currency account offers a linked debit card, so you can swipe like a local wherever you are.

Sign up for Wise today and see how much easier international transfers can be.

Get Started with Wise account for Germany Residents 🚀

Wise Business Account for German Startups

A Wise Business account is perfect for startups looking to go global. It is an international business account that has all the benefits of Wise, plus more for your business. You can pay suppliers, staff, vendors and freelancers directly to their bank accounts locally with fast and simple transfers. As always, there are no hidden fees.

Get invoices from abroad paid faster too with the Wise Business account. You’ll get local bank details in foreign currencies, so clients can pay you in the currency that works best for them. The Wise Business account can connect with your existing accounting software like Xero, QuickBooks, FreeAgent and more, to keep track of your transactions.

Over 300,000 businesses use Wise Business every quarter. Sign up today and see how you can grow your business globally with Wise.

This article is only intended to provide a general overview of startup visas to Germany. It is not intended to be personalized advice or guidance. It is recommended to talk to professionals like immigration lawyers and financial and business advisors before making moves for yourself or your business.