The name of the GmbH form emphasizes that the owners (Gesellschafter, also known as members) of the entity are not personally liable for the company's debts.
standing for in Gründung – literally "in the founding stages", with the meaning of "registration pending"); and finally the fully registered GmbH.
The members acting collectively may restrict the powers of the managing directors by giving them binding orders.
In most cases, the articles of the association list the business activities for which the directors obtain prior consent from the members.
[5] Because there is no central company registry in Germany but rather several hundred connected to regional courts, administration of the law can vary somewhat between German states.
The UG must enlarge its capital by at least 25% of its annual net profit (with some adjustments), until the general minimum of €25,000 is reached (at which point the company may change its name to the more prestigious GmbH).
A gemeinnützige Gesellschaft mit beschränkter Haftung (gGmbH) is a special form of a limited liability company with a charitable purpose.