Sole trader

There may be several people working in your company, but you are the only owner. As the owner you are entitled to the profits your company makes.

Taxes
You pay income tax on the profits. In certain circumstances you are entitled to the self-employed tax allowance. Ask the tax authorities for more information.

Liability
There is no distinction between your business and personal assets. If you have business obligations, your creditors can demand that you pay these from your personal assets. If you have personal obligations, your creditors can make a claim on your business assets.

If you are married on the basis of communal estate, creditors can also make claims on your partner´s assets. If you are married on the basis of a marriage contract, the personal assets of your partner fall partially or completely outside the area of business liability. If you are married on the basis of communal estate, you can still arrange a marriage contract. Ask the civil notary for details.