A GmbH has a minimum paid-in capital of EUR 25.000 by law of which 50% has to be paid-in when the company is formed.
As a legal entity, the GmbH is legally independent and independent of the shareholders and managing directors.
The shareholders and / or managing directors may therefore have contracts with the GmbH.
Even if the GmbH was founded by only one person, who then becomes managing director, a separation must be observed. The company must not be disadvantaged. The terms of the contracts must be the same as between third parties. Otherwise, a so-called hidden profit distribution threatens to be taxed.
To establish a GmbH the shareholders need an appointment with a notary. The Articles of Association are notarized.