Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!
Working with German customers in 2021, is it possible?
I don't know, but one of my LinkedIn recruiter connections has just been promoted to Head of European Contracts Division... I wonder if it's just a move to make it easier to get rid of him in the new year...
Normally the agencies are located in Germany, I have asked a couple of agencies and some of them will continue working with UK limiteds and some others not...
I see 3 different options:
Keep working through UK limited - Best case.
Create a Branch in Germany of my UK limited, BUT it depends on the Brexit output Because maybe they are not recognise as a companies anymore.
Create a company in Germany (I have EU passport), but this option implies paying 2x accountants, etc..
If anyone has a better one, I would love to hear it!
Perhaps create an LTD in an EU country and use that to deal with the German branches? Just not sure how easy that would be as normally residency is required for this me thinks.
This is what I'm planning to do if Brexit causes issues and the Danish agency I'm going through decides that enough is enough (I've got Polish citizenship, so can set up shop there).
Freiberufler status is also an option. A local steuerberater (accountant) would be helpful to ensure your application to the Finanzamt is presented correctly. There is an old post against my profile describing my experience working in Germany.
It is the only sensible option. Prepare to spend some cash if you want a GmbH.
I would not consider using a UK LTD with no withdrawal provision for service companies.
‘His body, his mind and his soul are his capital, and his task in life is to invest it favourably to make a profit of himself.’ (Erich Fromm, ‘The Sane Society’, Routledge, 1991, p.138)
The Freiberufler (Freelancing Professional) status is not the easiest solution, since you will be cross-checked by both the Finanzamt (Tax Office), and the Rentenversicherung (State Pension Fund). They both want to prove that you are not a Freelancer. Look into ways to avoid the "Scheinselbständigkeit" (fictional self employment). The state pension fund is especially interested to have their cut of your money. At the very latest in 2030 the Freelancers will also have to pay into a pension plan regulated by the Government[1]. Just set up a GmbH and buy stocks or whatever at the end of the year to not have to declare the revenues as profits.
Comment