Register a Business in Germany for Your Online Store: 2026 Guide

You want to start a Shopify store and are wondering whether you need to register a business in Germany for it, what it costs and which address to use? This article clarifies the obligation, walks you through the trade registration (Gewerbeanmeldung) for your online store step by step and clears up the myths from YouTube comments. It is part of our overview Law and taxes for Shopify stores in Germany.

Do you need to register a business at all?

In almost all cases, yes. A trade exists if you work self-employed, on an ongoing basis and with the intention of making a profit. An online store in which you buy goods or have them produced and resell them meets these criteria. It doesn't matter whether you sell via dropshipping, print on demand or your own goods, or whether you run it on the side.

There is no minimum revenue threshold. The thought "I'll first test whether anything sells at all" doesn't help either: as soon as your store is live and you accept orders, you are selling with the intention of making a profit. Under § 14 of the German Trade Regulation Act (Gewerbeordnung), you must report the start "at the same time", not only once things are going well.

You don't need a trade registration in these cases:

• Private sales: You occasionally sell your own used items. That is not running a store.
• Liberal professions (freie Berufe): Some activities (e.g. artistic or literary work) count as freelance. But anyone who sells goods through a store is trading. That is commercial.
• You are only building: Setting up the store, customizing the theme, creating products, as long as the store is closed with a password. The registration should be done by the time you launch your store at the latest.

Does this also apply in Austria and Switzerland?

Austria: Yes, there too you register a trade, with the district administrative authority (Bezirksverwaltungsbehörde) or the municipal office (Magistrat), in person or online via the Business Service Portal (USP) or GISA. According to the Austrian Ministry of Economic Affairs (German), the registration is exempt from federal fees. Since 2025, the small business threshold in Austria has been €55,000 (USP (German)).

Switzerland: There is no trade registration like in Germany. As a sole proprietorship, you register as self-employed with the AHV compensation office (AHV-Ausgleichskasse). You must enter the commercial register from annual revenue of 100,000 francs (Art. 931 OR). The federal SME portal (German) offers a starting point.

What happens if you sell without registering?

In the comments under Shopify videos, figures like "€10,000 fine or 10 years in prison" circulate. That isn't accurate. Anyone who fails to register a trade, registers it incorrectly or too late commits an administrative offense (Ordnungswidrigkeit). According to § 146 Gewerbeordnung (German), the fine is up to €1,000.

The more serious issue is taxes. If you don't declare income, this can be treated as tax evasion, regardless of the trade office. So if you have already sold: register the trade now, state the actual start date honestly and include the revenue in your tax return. For larger amounts, a tax advisor helps.

Register a business in Germany: step by step

The trade registration for an online store as a sole proprietorship usually takes less than an hour. Here's how to proceed:

1. Find the responsible trade office. The municipality where your business is based is responsible; for an online store, that's usually where you live. Search for "Gewerbeanmeldung" plus your city and use the municipality's official portal. Private registration services often charge an additional service fee.
2. Fill in the form. You need your ID card, the address of your business premises, the start date of your activity and a description of the activity (more on this below).
3. Pay the fee. Each municipality sets it itself; around €15 to €65 is typical. Afterwards you receive the confirmation, the so-called trade license (Gewerbeschein).
4. Submit the tax registration questionnaire (Fragebogen zur steuerlichen Erfassung). The trade office does inform the tax office, but you still have to submit the questionnaire yourself within one month of starting your business. Since 2021, this can only be done electronically via ELSTER (§ 138 (1b) AO). If you don't have an ELSTER account yet, apply for one immediately: registration can take up to two weeks.
5. Wait for your tax number. After the questionnaire, the tax office sends you your tax number (Steuernummer). You can apply for a VAT identification number (USt-IdNr.) in the questionnaire at the same time.
6. Mail from the IHK and possibly the employers' liability insurance association (Berufsgenossenschaft). With the registration, you automatically become a member of the Chamber of Industry and Commerce (IHK). Membership is mandatory, but for founders with a small profit it usually costs nothing (see below).

The most important fields in the questionnaire

In the questionnaire, you estimate revenue and profit for the first year. Estimate realistically, not optimistically: advance tax payments depend on it. The most important decision is the question about the small business rule (Kleinunternehmerregelung) (§ 19 UStG). If you choose it, you don't charge VAT as long as your revenue was no more than €25,000 in the previous year and is no more than €100,000 in the current year. What this means for your prices and your store settings is explained in Setting up taxes in Shopify.

Which activity do you enter?

Phrase it so that it describes your business but doesn't become too narrow with every new product. Wordings like these have proven useful:

• "Online-Handel mit Bekleidung, Accessoires und Wohnaccessoires" (online retail of clothing, accessories and home accessories)
• "Einzelhandel über das Internet mit Waren verschiedener Art (ohne erlaubnispflichtige Waren)" (internet retail of goods of various kinds, excluding goods requiring a permit)
• "Vertrieb von personalisierten Druckerzeugnissen über einen Online-Shop" (sale of personalized printed products via an online store)

For a new product name, a new brand or a second store, you don't need a new trade registration. But if your activity changes significantly (e.g. from clothing to food), you report the change as an amended registration (Ummeldung). Be careful with food, food supplements, cosmetics or weapons: additional registration or permit requirements apply here. In such cases, ask the trade office or the IHK beforehand. The article Prohibited and regulated products on Shopify gives an overview.

Under which name do you register?

As a sole proprietor without an entry in the commercial register, you register the trade under your first and last name. You don't need to know your store name yet. You may later use it as a business designation, for example "Sternwelt – Inh. Max Muster" (owner Max Muster). On invoices, business letters and in the imprint (Impressum), however, your first and last name must also appear, and the designation must not look like a registered company (IHK Frankfurt (German)). So if you change your store name or start a second store, you don't have to register the trade again.

Which address do you use?

This is the most frequently asked question, and the honest answer has two parts.

In the trade registration, you state your business premises. If you work from home, that's your home address. Initially, only the authority sees this address.

In the imprint (Impressum) of your store, § 5 DDG requires an address at which you can be reached and mail can be delivered. According to the IHK (German), a P.O. box is explicitly not sufficient. In addition, you need your email address and another fast way of contacting you, in practice usually a phone number. It doesn't have to be your private mobile number; a separate business number is enough.

If you don't want to publish your private address, you have these options:

The same question arises with the sender and return address: the customer sees it too, on the parcel and in the withdrawal instructions. If you use a business address, use it everywhere. Your supplier's or Printful's address does not belong in the Impressum. That's where you appear as the seller. What else belongs in the Impressum is covered in the article Protecting your Shopify store from cease-and-desist letters.

What does the business cost on an ongoing basis?

A common objection is: "Then I'm in the trade system and have ongoing costs even though I'm not earning anything yet." For most beginners, that isn't true.

So the real costs of your store lie elsewhere: the Shopify subscription, apps, advertising and legal texts. You can find an overview under How much starting capital do I need for an online store?

Kleingewerbe, sole proprietorship or UG?

These terms get mixed up all the time. This is how they relate:

• Sole proprietorship (Einzelunternehmen) is the legal form: you alone are the business. It arises automatically with the trade registration, without a notary and without starting capital.
• Kleingewerbe (small trade) means: by its nature and scale, your business doesn't require commercial bookkeeping, and you are not a merchant (Kaufmann) within the meaning of the German Commercial Code (HGB). You may voluntarily register in the commercial register (then "e. K."), but you don't have to.
• Kleinunternehmer (small business) is purely a tax term (§ 19 UStG) and has nothing to do with Kleingewerbe.
• UG or GmbH are limited companies with a notary, commercial register, mandatory balance sheets and more administrative effort. In return, as a rule only the company's assets are liable.

Liability comes up often: as a sole proprietor, you are liable with your private assets, including when a product you sold causes damage. For most beginners, the sole proprietorship is still the sensible start. You can reduce the liability risk more cheaply with business liability insurance including product liability cover, especially if you sell electronics, children's products or cosmetics. Make sure the policy covers online retail and, if you sell abroad, the destination countries. A UG is more worthwhile when larger risks or investments are involved. You don't have to decide right away: many start as a sole proprietorship and later found a UG or GmbH when revenue and risk grow. That is then a new company formation with a notary; plan it with a tax advisor.

Many English-language videos recommend a US LLC, others a company in Estonia. For founders resident in Germany, this is generally not a substitute for a German trade registration, but additional effort with tax pitfalls: if you work from Germany, you generally remain taxable here. Only have something like this reviewed with a tax advisor.

Founding as a pair: the GbR

If you want to run the store with a partner or colleague, a civil-law partnership (Gesellschaft bürgerlichen Rechts, GbR) arises automatically as soon as you run a business together. At the trade office, each partner usually registers the trade. The same naming rules apply as for a sole proprietorship, often with the suffix "GbR". Important: in a GbR, each partner is personally and fully liable, including for the other's mistakes. So set out in a written partnership agreement who contributes what, how you share profits and what happens if you split up. Shopify Payments accepts the GbR as a business type.

What Shopify and payment providers want to see

You can create a Shopify account without a registered trade. When setting up Shopify Payments, however, Shopify asks for your business type (sole proprietorship is allowed), ID, proof of address and, depending on the case, your trade registration or VAT registration. You can find the details on the Shopify Help Center page on the requirements in Germany and in our article Setting up payment methods in Shopify.

If TikTok, PayPal or a supplier asks for a "business license": in Germany, in practice this means the trade registration. You get a VAT ID from the Federal Central Tax Office (Bundeszentralamt für Steuern) after your tax registration. If a platform asks for a commercial register number, you don't have one as an unregistered sole proprietor. Look for the option for sole proprietors or ask support which document is accepted instead. You don't need to register in the commercial register for this.

FAQ

Is a Kleingewerbe enough for an online store?

Yes. "Kleingewerbe" is not a separate application but a normal trade in which you are not a merchant (Kaufmann). You simply register a trade as a sole proprietorship. As long as your store is manageable in size, it counts as a Kleingewerbe. Whether you charge VAT is decided separately in the tax registration questionnaire via the small business rule (Kleinunternehmerregelung).

Do I need a separate trade registration for every new product or store?

No. One trade registration covers all stores and brands as long as the registered activity fits. So don't phrase the activity too narrowly, for example "Online-Handel mit Waren verschiedener Art" (online retail of goods of various kinds). Only if you switch to a completely different field or sell goods requiring a permit is an amended registration with the trade office necessary.

Can I register a trade on the side as an employee?

Yes, a side business is possible and common. Check your employment contract for an obligation to report secondary activities, and inform your employer if required. For tax purposes, your store profit is added to your salary, so the basic tax-free allowance is usually already used up by your salary. For the small business threshold of €25,000, however, only your store's revenue counts, not your salary.

Which tax number do I give Shopify and put on invoices?

Not your personal tax identification number (Steuer-Identifikationsnummer, 11 digits), which everyone has from birth. For your business, you use the tax number (Steuernummer) the tax office assigns you after the questionnaire, or the VAT ID (DE plus 9 digits) if you applied for one. The VAT ID is practical because you then don't have to put your tax number on invoices. What else belongs on an invoice is covered in Invoices and bookkeeping in your Shopify store.

How long does the online trade registration take?

The form itself takes 15 to 30 minutes to fill in. Depending on the municipality, the confirmation arrives immediately or after a few days. The ELSTER registration for the tax office questionnaire often takes longer; expect up to two weeks. The tax number then arrives by post, often after a few weeks.

Can I deregister the trade if the store doesn't work out?

Yes, you can deregister a trade (Gewerbeabmeldung) at any time, free of charge or for a small fee depending on the municipality. At the same time, deregister with the tax office and file your tax returns for the active years. A trade with hardly any revenue usually costs you nothing apart from tax returns, though.

Do I have to register my trade before I start on Shopify?

Not for creating the account and building the store. But the registration must take place at the same time as you start your activity, i.e. at the latest when you go live and accept orders. For Shopify Payments, you need information about your business anyway.

As of: October 2026. Fees and procedures vary by municipality. This article is not legal or tax advice.