Business account in Germany: what it is and how to open one (step-by-step guide)

If you're setting up a business or working as a freelancer in Germany, the topic of business banking will come up sooner or later. And for good reason: Opening a business account is one of the foundational steps to running your finances professionally.

It provides structure, separates private and business finances, and makes bookkeeping much easier.

In this article, you’ll learn why a business account is essential in Germany, who needs one, and how to open it step by step – without paperwork or legal headaches. Whether you're launching a side hustle or running a growing company, this guide helps you make smart, legally compliant decisions for your finances.

A business account is a dedicated bank account used solely for professional or commercial transactions. It keeps your business-related income and expenses separate from your personal finances.

How it differs from a personal account

Unlike a private Girokonto, a business account is tailored to the daily operations of self-employed professionals, companies, and organisations. It typically includes features such as:

• multiple sub-accounts with their own IBANs
• user access for team members
• automated receipt analysis and data exports for accounting

Most banks prohibit the use of private accounts to be used for business purposes. So if you're regularly invoicing clients or paying business expenses, you can prevent issues by setting up a separate account from the start.

But keeping your private and business finances apart is not just good practice — in many cases, it’s a legal requirement. It helps you stay organised, reduces tax reporting errors, and builds trust with clients, partners, and financial authorities.

For many entrepreneurs and self-employed professionals, having a dedicated business account is a game-changer for staying efficient, and in control of your finances.

Here’s what makes it so valuable:

Separation of personal and business finances

When you manage income and expenses through a separate account, your personal banking stays clean. That means fewer errors, smoother tax prep, and no confusion when the tax office comes knocking.

A more professional impression

A business account is registered in your company’s name – which looks far more trustworthy on invoices, payment confirmations, and supplier forms than a personal name would.

Simplified accounting and tax filing

Tracking income and expenses becomes much easier with a dedicated business account – especially if you’re doing your own bookkeeping or working with a tax advisor.

Most business accounts can be connected directly to accounting tools like Lexware Office, sevDesk, or DATEV, making document handling and reporting seamless. Often, team members and tax service providers can co-manage an account by creating various profiles with limited access inside the same account. 

Innovative providers of banking solutions also introduce features to delegate routine tasks to ¨digital assistants¨ and automate as much as possible with AI.

Better overview of your finances

A dedicated business account gives you a clear picture of your liquidity. See how much is available, what’s set aside for taxes or savings, and how your cash flow is developing – all at a glance.

Stay compliant with legal requirements

If you’re running a corporation in Germany – like a GmbH or UG – having a separate business account is not optional. It’s required by law for managing things like share capital and formal company transactions.

Business banking features built for entrepreneurs

The most popular business accounts offer tools that go well beyond standard banking:

• Sub-accounts (pockets) for reserves, taxes, or projects
• Cashback on business expenses
• Interest on account balances
• Integration of tools for invoicing or receipt analysis
• Individual access rights for team members
• POS terminals for mobile, on-the-spot acceptance of card payments
• Digital assistants to delegate routine tasks

Looking for the full package? Open your Vivid Business account today to unlock all the perks mentioned above!

Whether you are legally required to open a business account in Germany depends on your company’s legal form. For some businesses, it’s mandatory. For others, it’s optional – but highly recommended.

Mandatory for corporations

German law requires all corporations to open and maintain a separate business account. This applies to the following legal entities:

• GmbH (private liability company)
• UG (entrepreneurial company)
• AG (stock corporation)
• KGaA (partnership limited by shares)
• eG (registered cooperative)
• SE (European company)

These types of businesses need a business account to carry out essential activities – like depositing share capital and keeping business finances separate from personal assets.

Not required – but definitely recommended

If you're operating as a sole proprietor or a partnership, there’s no legal requirement to use a separate business account. This includes:

• GbR (civil-law partnership)
• OHG (general commercial partnership)
• KG (limited partnership)
• Partnership companies
• Freelancers & sole traders
• Small business owners under the simplified tax regime (Kleinunternehmerregelung)

Even without legal obligations, having a business account makes life much easier – especially when it comes to keeping track of income, expenses, and taxes. It also signals professionalism to clients and service providers.

Why startups and SMEs especially benefit

If you’re just launching or scaling your company, a business account offers real, everyday advantages:

• easier bookkeeping and tax prep
• streamlined money management across teams or multiple projects
• more professional image when working with clients, partners, or authorities

Business accounts aren’t one-size-fits-all. The ideal setup depends on your company’s legal form, size, and day-to-day needs. Whether you're a freelancer, running a small business, or managing an established business, the right account should reflect how you actually work.

To help you decide, we’ve outlined typical business profiles — along with the account features that matter most for each:

Freelancers

The best freelancer accounts are flexible, low-maintenance, and cost-effective — so you can focus on your work, not your banking.

Simple & affordable: You don’t need bells and whistles – just a lean, transparent account with no hidden fees.

Mobile-first: Open your account online, manage everything from your phone, and connect it with your accounting tools.

Instant access: Transfers should be fast and easy to manage, earnings should be accepted from various card types.

Sole proprietors

Multiple cards & sub-accounts: Practical for team management, taxes, and business expenses.

Full SEPA support: Enjoy fast and smooth daily operations

Essential features only: Skip complex packages and stick to what you actually use.

Small businesses & side hustlers

Easy integrations: Connect to accounting & online tools for smooth tax filing.

Optional team access: Ideal if you want to involve a tax consultant, assistant, or co-founder.

Clear financial reporting: Use real-time insights to stay on top of your finances.

Small and medium-sized enterprises (SMEs)

Card and team access management: Easily allocate limited budgets and set permissions.

Multi-currency support & credit options: Remove all limitations for international growth.

Advanced bookkeeping features: Export various data formats, annual reports and transaction overviews.

GmbH & UG 

Legally required: These company types must use a separate business account.

Budget separation & shareholder access: Ideal for structured finance and multiple stakeholders.

Detailed financial reporting: Provide insight for directors and tax consultants.

Tip: Check out our in-depth guide on UG vs. GmbH: A comparison of legal forms to find out which type of business account is suitable for each of them.

Partnerships (GbR, OHG, KG & others)

No obligation: It is highly recommended to open one, as many banks restrict the use of private accounts for business.

Multi-user setup: Allow access for partners or co-founders to co-manage funds.

Transparent fund management and shared access.

Bottom line: Whether you're a freelancer, running a GmbH, UG, or GbR — the best business account is one that fits how you actually work.  Want a quick side-by-side view of fees, features, and account types? Check out the Vivid Business account comparison to see what best fits your business needs.

Opening a business account in Germany has never been easier – especially with modern, digital-first providers. Still, there are a few steps and requirements you should be aware of before getting started.

1. Choose the right provider

You have several types of providers to choose from:

• Traditional banks (e.g. Sparkasse, Volksbank)
• Online banks (e.g. N26, Holvi, Finom)
• All-in-one platforms (e.g. Vivid, Qonto), combining banking with features like accounting tools, cashback, and sub-accounts

Tip: Compare fees, digital features, customer support, and added benefits like interest on balances or automation tools.

Not sure which option fits your business best? Take a look at our in-depth comparison of best business accounts on the German market — featuring independent user reviews, fees, and core features.

2. Check the requirements

Depending on your business type, the required documents may vary. Here’s a typical breakdown:

3. Apply online

Most modern providers let you complete the entire process online. Just fill out your details in the app or web interface, and follow the guided steps.

4. Verify your identity

In Germany, identity verification is legally required. This typically happens via:

• Video ID verification: A quick video call using your ID and phone
• Post ID verification: In some cases, this may require visiting a post office
• Photo ID verification: Not offered often, very simple and fast

5. Activate and start using your account

Once your details have been verified, you’ll receive:

• Your new IBAN
• Access to your online account or app
• Optional physical or virtual business cards
• Access to potential additional features such as sub-accounts, interest accounts, or cashback offers

With online providers, you can set up your new business account within minutes — sending payments, receiving invoices, setting up reserves.

Ready to get started? Open your Vivid Business Account online in under 10 minutes. Get started now →

Bottom line: Opening a business account isn’t complicated or time-consuming – especially if you choose a digital solution. With providers like Vivid, you can get started in minutes and unlock a full suite of features tailored to your business.

Not every company starts out with perfect credit. Especially in the early stages – or after financial setbacks – a negative credit score can become a barrier when opening a business account in Germany.

But there’s good news: Some banks and fintechs now offer business accounts even if your credit report (Schufa) is not spotless.

How does a business account without a Schufa check work?

Most traditional banks include a Schufa credit check as a standard part of the application process. If they find negative entries – such as unpaid debts or defaults – your application is likely to be rejected, even if you're setting up a legitimate business.

However, some providers now offer business accounts with no credit check, often in the form of:

• Basic accounts (Basiskonto)
• Fully digital accounts with no overdraft or credit features (no loans, no credit card)

Since these accounts carry little or no risk for the bank, credit screening is either skipped or significantly simplified.

Tip: These types of accounts can be a lifeline for startups or companies with weak credit profiles – including GmbH and GbR structures.

Where can you get a business account without Schufa?

Here are some common provider types:

• FinTechs & Neobanks: Digital-first platforms like Vivid use automated systems and often skip the Schufa check on specific plans.
• Specialist providers: Some banks focus specifically on accounts without credit screening, often offering a fixed set of core features.
• Traditional banks: These almost always run a Schufa check – especially if the account includes credit lines or overdraft protection.

What you should know before you apply

• Limited features: No Schufa check often means credit line, no overdraft, and sometimes no physical cards.
• No guarantee for admission: Even without a Schufa check, your application can still be rejected for reasons like inconsistent or missing business documentation.
• Fees can be higher: Some no-credit-check accounts come with above-average monthly charges – so it pays to compare.

Looking for a modern, flexible, and powerful business account? Vivid Business is built exactly for that. It’s tailored to the needs of founders and small to medium-sized businesses – offering features that simplify your workflow and support your growth.

Key benefits at a glance

Fast, paperless account setup

Open your account in under 10 minutes – fully online, no forms, no delays.

Free Starter Plan

Perfect for freelancers, side hustlers, and founders. Get started with no monthly fee and access all essential features.

Earn interest on your balance

Depending on your plan, you can earn up to 2% interest per year – a rare perk in the world of business accounts.

Cashback on business spending

Get up to 10% cashback on card purchases – from software to digital marketing tools to office supplies.

Unlimited 50 IBANs (Pockets)

Easily create sub-accounts for taxes, reserves, or projects – each with its own IBAN, managed in one app.

Integrated accounting tools

Export data for DATEV, manage receipts, and sync with tools like lexoffice or sevDesk to save time.

Smart team access & roles

Add bookkeepers, assistants, or co-founders – with custom permissions and no need to share full account access.

Open your Vivid Business account for free and enjoy interest, cashback, and as many IBANs as you need — all directly via the app.