Germany · Temporary Residence
Germany Residence Permit for Self-Employment
A founder's residence permit in Germany is time-limited and tied to the business. It runs for up to three years, can be extended when the company performs, and offers family reunification on favorable terms.
- Startup route
- Residence permit for self-employment (section 21)
- Minimum capital
- No fixed minimum; financing must be secured
- Permanent residence
- 3 years (section 21 settlement permit)
- Citizenship
- 5 years (3-year route repealed Oct 2025)
Residence permit for self-employment (Aufenthaltserlaubnis, section 21)
The permit issued after a successful self-employment application is valid for at most three years. The Federal Foreign Office explains that if the business succeeds and supports the founder and family, the permit can be extended. Fees are set nationally in the Residence Ordinance: EUR 100 for issuing a residence permit and EUR 93 for an extension covering a further stay of more than three months. Spouses can join through family reunification, and the basic German requirement for spouses does not apply when the sponsor holds a section 21 permit.
- Validity
- Up to 3 years
- Issue fee
- EUR 100
- Extension fee
- EUR 93 for a further stay over three months
- Extension test
- Business success and income for the household
- Family
- Spouse joins without basic German proof
- Leads to
- Settlement permit under section 21(4)
Requirements
- Continued operation of the business that the permit was granted for.
- Business income that supports the founder and any family members.
- Adequate old-age provision if the founder is older than 45.
- An extension application filed with the local foreigners authority.
How to apply
- Keep business records, tax filings and proof of income throughout the permit period.
- Apply to the local foreigners authority for an extension before the current permit expires.
- Show how the business has developed and how its income supports the household.
Founder permit for graduates and researchers (section 21(2a))
Graduates of a recognized German university or comparable institution, EU Blue Card holders and certain other residence permit holders named in the law should generally receive a self-employment permit, even if the economic-interest test in section 21(1) is not met. The planned business must relate to the knowledge gained through their studies or research. Time on this permit can lead to the three-year settlement permit for the self-employed: Berlin's foreigners authority accepts permits issued under section 21(1) and 21(2a) for that route.
- Who qualifies
- German graduates, EU Blue Card and certain other holders
- Business link
- Must relate to the founder's studies or research
- Validity
- Up to 3 years
- Issue fee
- EUR 100
- Leads to
- Settlement permit after 3 years
Requirements
- A degree from a recognized German university or comparable institution, or a qualifying permit such as an EU Blue Card.
- A business that relates to the knowledge gained through study or research.
- The general conditions for a residence permit, including a secured livelihood.
- Adequate old-age provision if the founder is older than 45.
How to apply
- Confirm that the degree or current permit falls within section 21(2a).
- Describe how the business builds on the founder's studies or research.
- Apply to the local foreigners authority before the current permit ends.
Founding with a scholarship (section 21(2b))
A skilled worker may receive a residence permit to prepare the founding of a company when a German business organization or a public body funds a scholarship that covers living costs during the preparation phase. The permit lasts as long as the scholarship, with a maximum of 18 months. The route suits founders admitted to funded programs rather than those relying on their own capital, and it bridges the period before a full self-employment permit is needed.
- Validity
- Length of the scholarship, up to 18 months
- Funding
- Scholarship from a German business or public body
- Purpose
- Preparing to found a company
- Issue fee
- EUR 100
Requirements
- Skilled-worker status as defined in the Residence Act.
- A scholarship granted by a German business organization or public body.
- Scholarship funding that covers living costs during the preparation phase.
- A plan to found a company in Germany.
How to apply
- Secure a place in a scholarship-funded founder program.
- Apply for the permit with the scholarship confirmation.
- Before the scholarship ends, apply for a permit that fits the next stage, such as self-employment.
Running the business on a section 21 permit
The section 21 permit is linked to the business case the authority approved. When the founder applies for an extension, the authority looks at whether the company has taken shape and whether its income covers the founder and any dependants. Founders who already hold another residence permit, such as one for employment, can be allowed to take up self-employment under section 21(6) while keeping the original purpose of stay, as long as any other required permits are issued or promised.
Family members follow the general family reunification rules. A practical advantage for founders is that the spouse of a section 21 permit holder does not need to prove basic German before joining, an exemption the law also grants to EU Blue Card holders. National fees are fixed by regulation: EUR 75 for the national visa, EUR 100 for a first residence permit and EUR 93 for an extension covering more than three months.
Questions and answers
How long is a German self-employment permit valid?
The Residence Act caps a self-employment residence permit at three years. The exact period on the card is set by the foreigners authority, and the permit can be extended if the business has succeeded and supports the founder and any family members.
Does a spouse need German to join a self-employed founder?
No basic German proof is required. Section 30 of the Residence Act lists the sponsors whose spouses are exempt from the basic German condition, and holders of a section 21 permit are among them. The other family reunification conditions still apply.
What does extending the permit cost?
Under the Residence Ordinance, extending a residence permit costs EUR 93 for a further stay of more than three months and EUR 96 for up to three months. A first residence permit costs EUR 100, and the national visa issued abroad costs EUR 75.
Can a researcher or Blue Card holder start a company?
Yes. Section 21(2a) gives graduates of German universities, EU Blue Card holders and certain other permit holders a strong claim to a self-employment permit when the business relates to their studies or research, without the full economic-interest test applied to other founders.
Official sources
- Aufenthaltsgesetz § 21 Selbständige Tätigkeitwww.gesetze-im-internet.de
- Aufenthaltsverordnung § 45 (residence permit fees)www.gesetze-im-internet.de
- Aufenthaltsgesetz § 30 Ehegattennachzugwww.gesetze-im-internet.de
- Is it true that foreign nationals can now come to Germany to start their own business? - Federal Foreign Officewww.auswaertiges-amt.de
Reviewed October 2026. Immigration rules change often. Confirm the current requirements with the official authority or a licensed adviser before applying.
Your path in Germany.
Startup visa
National D visa for self-employment from a German mission abroad
02Temporary residence
Section 21 permit for up to 3 years, extendable if the business works
03Permanent residence
Settlement permit after 3 years if business income covers the household
04Citizenship
5 years of lawful residence, B1 German and a test; dual citizenship allowed