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First steps towards self-employment

Business registration, tax office, health insurance, small business owners – the order in which you should tackle these, and what it costs.

10 Reading time: minutes

You’ve bought the truck, the concept is in place – and now comes the bit that nobody likes doing. The good news is: there are fewer steps than most people fear, and the order in which you do them is crucial.

The first step

DE Germany

Business registration beim Gewerbeamt. Formlos, meist sofort erledigt, 20 bis 60 Euro. Ein Befähigungsnachweis ist nicht nötig.

AT Austria

Business registration bei der Bezirksverwaltungsbehörde. Das Gastgewerbe ist regulated (§ 111 GewO) – ohne Befähigungsnachweis geht es nicht.

CH Switzerland

No business registration required. Stattdessen Anmeldung als selbstständig Erwerbender bei der AHV-Ausgleichskasse. Handelsregister erst ab 100.000 CHF Umsatz.
Der grösste Unterschied liegt gleich am Anfang: In Deutschland kann jeder ein Gastgewerbe anmelden, in Österreich braucht es einen Nachweis.

Austria: the certificate of competence. The hospitality industry is one of the regulated trades. Eligibility can be demonstrated by passing a relevant apprenticeship final examination, a qualification examination at the Chamber of Commerce, or through several years of professional experience. Without it, the only option left is a Managing director under commercial law – a person with valid identification who is employed by the business.

The order

  1. Register a business at your local business registration office
  2. Tax office questionnaire Submit electronically via ELSTER within one month
  3. Health certificate at the Public Health Department
  4. Travelling Trade Licence, if you’re selling without a fixed location
  5. Health insurance inform
  6. Occupational Safety and Health Association Log in
  7. Business account Open

Step one first – many other steps require you to register your business.

Business registration

At the Trade Licensing Office – now available online in many local authorities. You’ll need your identity card and a description of your business activities.

Details
Costs€20–60, depending on the local authority
Durationusually immediately
Role‘Running a mobile food stall’ is sufficient

Describe the role in broad terms. Anyone who registers to ‘sell burgers’ and then starts offering a catering service two years later will need to amend their registration. ‘Operation of a mobile snack bar, catering and party service’ covers more and doesn’t cost any more.

The questionnaire from the tax office

Don’t wait for a letter. You must generally submit the tax registration questionnaire electronically via ELSTER within one month of starting your business. This involves, amongst other things, clarifying VAT and profit calculation.

VAT and the small business threshold

DE Germany

Sätze 19 % and 7 %. Kleinunternehmer nach § 19 UStG bis 25.000 € im Vorjahr und höchstens 100.000 € im laufenden Jahr.

AT Austria

Sätze 20 % and 10 %. Kleinunternehmer bis 55.000 € Jahresumsatz.

CH Switzerland

Value Added Tax Instead of VAT: 8.1% standard, 2,6 % auf Lebensmittel zum Mitnehmen. Pflicht erst ab 100,000 CHF Umsatz.
Schweiz, aufgepasst: Verzehr vor Ort gilt als Gastgewerbeleistung mit 8,1 % – dasselbe Essen zum Mitnehmen mit 2,6 %. Wer beides anbietet, muss trennen.

Small business owners or standard taxation

The small business scheme generally requires that the relevant turnover for the previous year does not exceed 25,000 euros and that turnover in the current year does not exceed 100,000 euros. In the year the business is set up, the limit of 25,000 euros applies. Exceeding these limits can have immediate tax consequences. Where the exemption applies, input VAT is generally not deductible.

Small business ownersStandard taxation
VAT on invoices no Yes, 7 per cent or 19 per cent
Input VAT on purchases no ja
Pre-registrations Not applicable monthly or quarterly
Scope of work minor noticeable

Compare input VAT and final prices side by side. Whether standard taxation is more favourable depends on the purchase price, running costs and customer base. In the case of a private purchase or margin scheme, there is no separately deductible VAT. Opting out of the small business scheme commits you for at least five calendar years.

Apply for taxation on an actual basis

Under the ‘tax on supply’ regime, VAT generally becomes chargeable upon performance of the service. Special rules apply to advance payments. Where ‘tax on receipt’ has been authorised, the date of receipt of payment is generally decisive.

For catering businesses with payment terms, this makes a noticeable difference to cash flow. It must be applied for and is available for turnover of up to 800,000 euros – a box on the questionnaire that many people overlook.

Health certificate

Formally, this is known as the training required under Section 43 of the Infection Protection Act. Without it, you are not permitted to handle food – and anyone working with you must also have completed it.

  • At the Public Health Authority or with authorised doctors
  • Cost: €20–40
  • Duration: one hour; can often be done online
  • Upon commencement of employment and every two years thereafter: documented induction by the employer

Travelling Trade Licence

Under Section 55 of the Trade Regulation Act (GewO), you need one if you’re selling on the move without a fixed sales outlet. This usually applies to a food truck that travels to different locations.

Details
Costs€200–700, depending on the federal state
Duration4–8 weeks
DocumentsCertificate of good conduct, extract from the Central Trade Register, clearance certificate from the tax office

Apply early. The application process often takes longer than converting the truck. Anyone who only applies two weeks before their first booking will be left without a licence – and without it, selling food is an administrative offence.

Social security and accident insurance

DE Germany

Krankenkasse frei wählbar, Mindestbeitrag rund €250 per month. Unfallversicherung über die BGN – Anmeldung binnen einer Woche.

AT Austria

SVS (Sozialversicherung der Selbständigen), Pflichtmitgliedschaft. Unfallversicherung über die AUVA. Dazu WKO-Pflichtmitgliedschaft mit Grundumlage.

CH Switzerland

AHV/IV/EO über die Ausgleichskasse, Beitrag nach Einkommen. Krankenversicherung ist Privatsache und ohnehin Pflicht. Unfallversicherung nach UVG bei einem für den Betrieb zuständigen Versicherer. Für Selbstständige ist eine freiwillige Versicherung zu prüfen.
In Österreich kommt die Kammermitgliedschaft dazu – sie ist nicht freiwillig und kostet auch im ersten Jahr.

Health insurance

As a self-employed person, you pay your contributions yourself. The minimum contribution is around 250 euros a month, even if you don’t earn much.

If you start a side business whilst remaining in paid employment, you may be able to stay on the employees’ insurance scheme – this depends on whether your self-employment is your ‘main occupation’. A quick call to your health insurance provider beforehand can save you from having to make back payments.

Occupational Safety and Health Association

The BGN (Occupational Safety and Health Association for the Food and Hospitality Industry) is responsible. Registration is compulsory and must take place within one week of commencing operations.

Insurance is usually optional for you personally, but compulsory for every employee – including temporary staff working for just a single festival weekend.

Business account

Legally mandatory only for limited companies. In practice, there’s no getting round it: anyone who mixes personal and business finances will run into problems at the first tax audit – and face extra work with every tax return.

Total cost

PostsCosts
Business registration20 – 60 €
Health certificate20 – 40 €
Travelling Trade Licence200 – 700 €
Certificate of good conduct and extracts30 – 50 €
Initial consultation with a tax adviser150 – 400 €
Together420 – 1.250 €

Also ongoing: health insurance, contributions to the employers’ liability insurance scheme, tax advice. And the Chamber of Commerce and Industry, whose membership fee is usually waived in the first year.

How much time you should allow

Registering a business and obtaining a health certificate takes just a few days. The itinerant trade licence takes weeks, as does the gas inspection for the food truck. Anyone wanting to start in the spring should begin in January – not in March.

An appointment with a tax adviser before registering the business is money well spent. Voluntarily opting out of the small business scheme commits you for at least five calendar years. To make this decision, you’ll need a robust turnover and cost plan.

Quellen zu den überarbeiteten Angaben

The right toolsWhat licences do you need?Get a country-specific checklist tailored to your location, land use, alcohol licence and gas system.→

This does not constitute legal advice. This article reflects the current situation to the best of our knowledge and is not a substitute for advice from a public authority, solicitor or tax adviser. Many matters are regulated at local authority level and vary from town to town – if in doubt, check with the relevant authority before making any firm decisions.

Regarding country-specific information. The comparisons for Germany, Austria and Switzerland provide a general framework, not details of individual cases. Amounts and thresholds are subject to change; in Switzerland, moreover, each canton regulates many matters independently. Use the information as a starting point for asking the right question in the right place.

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