Foreign Student becomes Director of an UG: Self-Employed?

Frage

I have a question regarding a business founding for foreign students. If a foreign student signs articles of association (Gesellschaftsvertrag) as the director (Geschäftsführer). Does this mean, that the student is now automatically self-employed? Or does he still need to sign an additional contract with the newly founded UG first? This is provided that the student does not have any additional permits from the visa office and will not work above the limit of working hours for students by law.

Antwort

Thank you for your inquiry and your interest in setting up a business in Germany. Make it in Germany provides international professionals with information on working and living in Germany.

Detailed information on studying or setting up a business are also available on “Make it in Germany”.

Before starting your own business, you should clarify if your residence status allows you to do so. As a foreign student in Germany, coming from a Non-EU country, you hold a residence permit for the purpose of studying according to §16 Residence Act. With that permit you are allowed to work 120 full or 240 half days per year without approval by the competent authority, the Federal Employment Agency. Taking up a self-employed activity while studying in Germany is also possible under the Residence Act (§ 21 (6) Aufenthaltsgesetz). However, the self-employed activity needs to be authorized by the foreigners’ authority (Ausländerbehörde) separately. The work must not hinder the success of the study. If you want to start a full-time self-employed activity, you will hardly get an approval. (Source: BMI, BAMF, DAAD)

For further information please try out the Quick-Check on “Make it in Germany”.

For personal advice regarding visa issues, you can also contact the Hotline “Working and Living in Germany”. Telephone number +49 30 1815 – 1111.

We wish you all the best!

Please note that “Make it in Germany” does not issue or support any visa application even if you may be qualified for that. The information presented on Make it in Germany is a general service offering. Only the German missions and the foreigners’ authorities are responsible for the issuance of visa and residence permits. For further questions, please contact the respective authority.

Reference: Justina Godesberg
Projekt „Make it in Germany“
Institut der deutschen Wirtschaft Köln e.V.
Juni 2020

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