Investor Visa and Company Formation in Germany: Costs, Process and Why There Is No Guarantee
Investor Visa and Company Formation: The Questions That Come Before the Mandate
Anyone planning to invest in Germany and set up a company from abroad almost always asks the same three questions first: What does it cost? How long does it take? And is there a guarantee that the residence permit will be granted?
These questions often come not from the investor personally, but from advisors, intermediaries or business partners clarifying matters on their behalf. That is understandable - nobody instructs a lawyer in a foreign country without some idea of cost and process.
This article answers those questions openly. Including where the answer is uncomfortable.
"Serious legal advice begins by stating what is not possible. Anyone promising a guaranteed visa is promising something they have no authority to decide."
- →Tom Beisel, Attorney at Law
Is There a Guarantee the Visa Will Be Granted?
No. And anyone who promises one should be questioned closely.
The visa decision lies with the competent German mission abroad, the residence permit with the immigration authority - regularly with the involvement of further bodies such as the Chamber of Industry and Commerce or the trade office. A lawyer is not part of that decision and cannot bring it about.
What legal work can do:
- →assess whether the project is legally viable at all
- →give an honest evaluation of the prospects in the specific case
- →identify weaknesses before the authority finds them
- →structure and build the application
- →prepare the business plan, proof of financing and source of funds in a form the authority accepts
- →handle communication with the embassy, immigration authority and other bodies involved
- →take legal action in case of refusal or administrative inaction
Why Costs Cannot Be Quoted as a Flat Figure
The question of price comes early, and rightly so. A reliable answer, however, is only possible once the essential facts are known.
The workload depends in particular on:
- →the investor's background and personal history
- →the amount and origin of the capital involved
- →the planned business model and its plausibility
- →the chosen legal form and shareholder structure
- →the number of people involved
- →the country of origin and the procedures applicable there
- →the competent mission abroad and immigration authority
- →whether family members are to join
- →any previous refusals or complications
A single investor with a clear source of funds and a straightforward business model involves an entirely different workload than a group of several participants with a layered structure and capital from multiple sources.
How the Costs Are Structured
Transparency is possible here - about the structure, not about a figure quoted in a vacuum.
Initial consultation. A first consultation establishes the starting position: who wants what, with what capital, in what structure? Only then can it be said whether and how the project is feasible. The initial consultation is subject to a fee, which is credited against the fee agreement if a mandate follows.
The mandate. For further work, a fee agreement is concluded. It defines scope and remuneration before the work begins.
Further procedural steps. If a refusal, an action for failure to act or an urgent application becomes necessary, this is agreed separately and in advance.
Third-party costs. Official fees, notary costs, translations, certifications and apostilles are additional and are not received by the lawyer.
How Long Does It Take?
Here too: a range, not a commitment.
The duration depends in particular on:
- →appointment availability at the competent mission abroad
- →the completeness of the documents submitted
- →the involvement of further bodies such as the Chamber of Commerce or trade office
- →the workload of the competent immigration authority
- →queries and requests for further documents during the procedure
In practice, the greatest time factor is not the authority but the preparation: incomplete documents, missing translations or a business plan that does not address the statutory requirements will extend the procedure considerably - or lead to refusal.
When an Intermediary Is Involved
Many enquiries reach law firms through intermediaries, advisors or business partners who establish the contact. This is permissible and often sensible in international matters.
The following, however, must be clearly settled:
The client is always the person themselves. Even where contact is made through a third party, the client, point of contact and instructing party is exclusively the investor. Legal advice is given in their interest, not in the interest of the intermediary.
A third party may pay. A company or intermediary covering the costs is generally possible, provided this is agreed transparently in advance. It does not change the client relationship.
The prospective client must be named. Meaningful advice regarding an unnamed client is not possible. Without a specific person, capital figure and business idea, any statement remains non-binding.
Confidentiality applies towards everyone. What the client communicates is covered by legal professional privilege - including towards the intermediary, unless the client releases it.
What Should Be Clear Before the First Consultation
The clearer the starting position, the more concrete the advice. Helpful information includes:
- →name and nationality of the investing person
- →copy of passport
- →planned investment amount
- →source of the capital
- →business idea and planned activity in Germany
- →intended legal form
- →number and role of further participants
- →intended location
- →professional background and qualifications
- →previous visa applications or refusals
- →whether family members are to join
Where there are several prospective clients: each case is examined separately. Persons, amounts and business models cannot be bundled together.
Frequently Asked Questions
Can you guarantee the visa will be granted?
No. The mission abroad and the immigration authority decide on the grant. A lawyer can assess the prospects, prepare the application as effectively as possible and challenge a refusal - but cannot give an assurance.
Why won't you quote me a price over the phone?
Because the workload depends on factors that are not yet known at that point. A price quoted without that knowledge is either inflated or incomplete.
Is the initial consultation free?
No. The initial consultation is a legal service and is subject to a fee. It is credited if a mandate follows.
Can I instruct you as an intermediary on behalf of my client?
You can establish the contact and take part in the consultation. The mandate, however, is granted by the investor personally. You may cover the costs if this is agreed in advance.
There are several of us - can this be handled together?
A joint consultation is possible. The legal assessment, however, is carried out individually for each person, as requirements and prospects must be evaluated case by case.
How much capital do I need?
There is no longer a fixed statutory minimum. What matters is whether the business idea, financing and expected economic effect are convincing overall. The amount alone is not decisive.
Can my family come with me?
Family reunification is generally possible but follows its own requirements. It should be planned from the outset rather than added retrospectively.
What languages can we speak?
Advice is provided in German, English and Russian.
Contact
Are you planning an investment or company formation in Germany and would like to know whether your project is legally viable?
Attorney Tom Beisel assesses the starting position, names the risks openly and accompanies the procedure from preparation through to the decision.
- →Mobile: +49 172 8974716
- →Office: +49 201 4517 380
- →Email: kanzlei@rechtsanwalt-beisel.de
- →Address: Bredeneyer Str. 2b, 45133 Essen, Germany
Advice in German, English and Russian. Representation throughout Germany.
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