Corporate law / GmbH & Co. KG

The GmbH & Co. KG is a combination of entity forms that creates aa limited partnership under German law. Essentially, the GmbH & Co. KG consists of a general partner, which is the GmbH, and limited partners, who may be individuals.

In contrast to other entity types, the personal cooperation of the partners is  in the foreground.  A GmbH & Co. KG has the advantage that the general partner, which is also the personally liable partner ) is a GmbH, whose liability is inherently limited to the share capital.

In this way, the advantages of a partnership and a corporation are combined: The partners of a GmbH & Co. KG benefit by being protected from liability exceeding the share capital of the GmbH, while subjecting the limited partners as individuals to income tax rather than corporate taxes. The GmbH is taxed according to its respective fiscal regime. Additionally, the GmbH & Co. KG form also can raise capital easier than a GmbH.

Our team remains availble to provide legal advice and assistance for any questions regarding the formation, conversion, maintenance, and dissolution of a GmbH & Co. KG. Our corporate lawyers offer personal consultations to review the advantages and risks associated with various German legal entities to find the best fit for your business venture.